Fitbit has published preliminary financial figures, and they are not encouraging
The company Fitbit has published a preliminary report for the fourth quarter of 2016 financial year and the whole year in General. In this case, for the company’s fiscal year coincides with the calendar so that it ended on 31 Dec.
According to the manufacturer, revenue for the quarter was approximately 572-580 million dollars. For comparison, early forecasts indicated revenues at the level of 725-750 million dollars. The company expects that annual revenues will increase by 17%, although previously it was thought that growth will be 25-26%. Also for the quarter, expected a net loss at the level of 0.51- $ 0.56 per share.
A quarter of a Fitbit sold 6.5 million devices, while a year earlier they had sold 8.2 million For 2017, the company expects to receive revenue in the amount of 1.5-1.7 billion dollars, that is significantly less than even in 2015, when the indicator was equal to 1.86 billion dollars.
In connection with these results, Fitbit will have to resort to layoffs. Yesterday we reported about, but now it became known that the company fired 110 people, which is approximately 6% of the state. The reorganization will save Fitbit $ 4 million in the first quarter.
A full report will be published at the end of February.