GoPro Inc cut its revenue and profit forecasts for the rest of the year due to a delay in the production of its latest Hero8 Black cameras.

The company, which launched two new cameras including a ramped-up version of its “HERO” line on Tuesday, said it would ship the cameras in the fourth quarter instead of the third quarter as planned earlier. GoPro said in a regulatory filing, “Due to a late-stage production delay, HERO8 Black shipments will shift from the third quarter to the fourth quarter of 2019, resulting in a significant revenue shift between the quarters.”

For the second half of 2019; the company is revising guidance as follows:

  • Revenue: $680 million to $715 million, representing 6 percent to 9 percent annual growth, which is below the company’s previous estimated growth of between 9 percent to 12 percent;
  • Non-GAAP gross margin: approximately 36.5 percent, +/- 50 basis points, compared to the company’s previous estimate of 37.5 percent +/- 50 basis points due to several factors entirely related to the production delay;
  • Non-GAAP operating expenses to be less than $200 million versus previous guide of $202 million +/- $3 million; and
  • Non-GAAP EPS: $0.33 to $0.39 versus previous guide of $0.37 to $0.49. • Detailed financial information will be provided during the regularly scheduled third quarter earnings call in November 2019.

The company is currently expecting the following results for Q3 2019:

  • Revenue to be approximately $125 million +/- $2 million and Non-GAAP net loss to be approximately $70 million +/- $5 million;
  • End Q3 with cash and cash equivalents of approximately $80 million.
  • Borrowing capacity under its Asset-Backed line of credit as of September 30 is approximately $90 million; and
  • Expect to increase cash sharply during Q4 and to end the year with cash and cash equivalents of approximately $200 million.

For the full year 2019, the company expects:

  • 2019 revenue to be in the range of $1.215 to $1.25 billion, representing growth of 6 percent to 9 percent;
  • Non-GAAP EBITDA of $85 million +/- $5 million for 2019, a nearly 4x improvement over the $22 million the company reported in 2018;
  • 2019 GAAP EPS $(0.02) to $(0.09) and Non-GAAP EPS $0.30 to $0.35, a significant improvement over Non-GAAP EPS of ($0.23) in 2018.