GoPro Inc (NASDAQ:GPRO) is set to release its 3Q16 earnings later today. But the action camera company will be reporting earnings on the back of a string of top and bottom-line declines. GoPro hasn’t reported a profit since 4Q15 thanks to stiff competition in the camera market, lack of portfolio diversification and an aging product line.

Several analysts have weighed in on GoPro’s 3Q16 and they believe the company will still report a loss for the quarter and a weaker top line. However, the future could be promising after the company recently launched new products. GoPro launched Hero5 camera and expanded into the nascent drone market with the release of the long-awaited Karma drone. Some analysts believe these products could excite the market and put GoPro back on track to recovery. Because Hero5 and Karma were only released last month, their sales will not be reflected in 3Q16 results.

3Q16 earnings prediction

Analysts surveyed by FactSet expect GoPro to report EPS loss of $0.35, down from a profit of $0.25 in the comparable period last year. For the topline, the analysts expect revenue of $311 million, sharply below $400 million reported by the company a year earlier.

However, estimates from Estimize show GoPro will log an EPS loss of $0.34 on revenue of $305 million.

But GoPro has a mixed track record of missing or beating the estimates, sometimes by large margins. In the last quarter, for instance, the camera market beat FactSet EPS estimate by about 11%.

Creating room for Hero5

GoPro is expected to step up efforts to clear inventory of older cameras to create room for Hero5 for holiday sales. As such, 3Q16 is expected to be marked by a boost in marketing promotions and discounts for Hero4 with the hope of freeing up distribution channels ahead of the busy holiday season. Analysts and investors will be watching for a glimpse of the marketing strategy to see if it is starting to bear fruits.

GoPro stock is down more than 28% YTD, rattled by shrinking sales and deteriorating bottom-line.