GoPro's financial struggles deepened in the first quarter as the camera maker reported a loss of $80.8 million, widening from $46.7 million a year earlier. The company simultaneously announced it has engaged consulting firm Oliver Wyman to support its strategic review, which includes exploring a potential sale or merger amid declining consumer demand.

Revenue plunged 26% to $99.1 million during the quarter ended March 31, reflecting continued challenges in GoPro's core consumer camera market. The adjusted per-share loss came to 35 cents, worse than analyst expectations. The strategic pivot toward defense and aerospace industries represents a significant shift for a company built on adventure sports enthusiasts.

The dual developments come as GoPro faces mounting pressure to find sustainable growth amid declining market share in its traditional consumer segment. The company's exploration of strategic alternatives suggests management recognizes the need for substantial change. No timeline has been provided for potential sale discussions or the defense expansion initiative.