In line with analyst estimates, Peloton Interactive reported a fiscal-second-quarter loss of 54 cents per share. This is narrower than the loss of 98 cents per share reported in the same quarter last year. However, the company’s revenue outlook disappointed investors.
Financial Performance
Peloton’s revenue for the quarter was $743.6 million, exceeding Wall Street expectations of $733 million. But it represented a decline from the previous year’s revenue of $793 million.
Sales Growth and Hardware Launch
Peloton recently expanded its distribution channels by partnering with third-party retailers such as Amazon.com and Dick’s Sporting Goods. The company stated in a shareholder letter that it experienced “exceptionally strong sales growth through these channels this holiday season, with a 74% year-over-year unit growth in the second quarter.”
Connected Fitness Subscriptions
During the second quarter, Peloton reported 2.98 million paid connected fitness subscriptions, slightly below analysts’ expectations of 2.99 million.
Outlook for Fiscal Third-Quarter
Stock Performance
Peloton’s shares saw a slight increase of 0.2% in premarket trading on Thursday, reaching $5.57 per share. Meanwhile, S&P 500 futures were up 0.5%. Over the past 12 months, Peloton stock has experienced a significant decline of 67%.
