Drone sales may be on the rise, but all is not well for the second biggest company on the US market, Parrot. In a press release from its Paris headquarters today, the company has revealed that its fourth quarter failed to meet targets by 15 percent, coming in at 85 million euros, not the expected 100 million.
"The commercial performance for consumer drones in the fourth quarter was achieved based on margins that would be insufficient to deliver profitable growth for this business over the medium and long term," the announcement reads. "The Group has set itself a priority to rapidly meet this challenge with a strategy to rebalance its finances."
The company's strategy will involve restructuring its consumer drone division, with a plan to reduce the workforce by 290 employees out of a total of 840. This comes in at over a third of the division. It plans to streamline the products based on the company's commercial drone division, which has grown.
Meanwhile, the biggest player in the drone market, China-based DJI, has continued to grow, with 2016 sales expected to increase by 60 percent year-on-year.