Revenue Performance - Q4 total revenue was $644 million, up 0.2% Y/Y, with subscription revenue at $431 million, up 2.3% Y/Y[2] - Total revenue for Q2 2024 was $643.6 million, a slight increase from $642.1 million in Q2 2023, while annual revenue for FY 2024 was $2,700.5 million, down from $2,800.2 million in FY 2023[43] - Subscription revenue grew to $431.4 million in Q2 2024, up from $421.7 million in Q2 2023, and annual subscription revenue increased to $1,708.7 million in FY 2024 from $1,670.1 million in FY 2023[43] - Connected Fitness Products revenue declined to $212.1 million in Q2 2024 from $220.4 million in Q2 2023, and annual revenue for this segment dropped to $991.7 million in FY 2024 from $1,130.2 million in FY 2023[43] - Total Revenue for Q1 FY25 is projected to be between $560.0 million and $580.0 million, a 4% Y/Y decline[26] - FY25 Total Revenue is expected to be between $2,400.0 million and $2,500.0 million, a 9% Y/Y decline[31] Profitability and Margins - GAAP Net Loss improved to $30 million, a $211 million Y/Y improvement, and Net Cash Provided By Operating Activities was $33 million, up $88 million Y/Y[2] - Adjusted EBITDA reached $70 million, up $105 million Y/Y, and Free Cash Flow was $26 million, tripling Q/Q[3] - Total Gross Profit was $312.0 million, yielding a gross margin of 48.5%, slightly ahead of guidance[20] - Gross profit improved significantly to $312.0 million in Q2 2024 from $201.1 million in Q2 2023, and annual gross profit rose to $1,206.5 million in FY 2024 from $923.5 million in FY 2023[43] - Net loss narrowed to $30.5 million in Q2 2024 from $241.8 million in Q2 2023, and annual net loss decreased to $551.9 million in FY 2024 from $1,261.7 million in FY 2023[43] - Adjusted EBITDA for Q2 2024 was $70.3 million, compared to a net loss of $30.5 million, with significant adjustments including $105.4 million in stock-based compensation and $25.8 million in depreciation and amortization[56] - Subscription Gross Profit for Q2 2024 was $294.4 million, with a Subscription Gross Margin of 68.2%, reflecting strong performance in the Connected Fitness Subscription segment[61] - FY25 Adjusted EBITDA is projected to improve significantly, ranging between $200.0 million and $250.0 million, a 6,266% Y/Y increase[31] Cash Flow and Liquidity - Net cash provided by operating activities was $32.7 million and Free Cash Flow was $26.0 million, with $697.6 million in unrestricted cash and cash equivalents at the end of the quarter[23] - Net cash used in operating activities improved to $66.1 million in FY 2024 from $387.6 million in FY 2023[45] - Capital expenditures and capitalized internal-use software development costs decreased to $19.7 million in FY 2024 from $82.4 million in FY 2023[45] - Cash, cash equivalents, and restricted cash decreased to $750.9 million at the end of FY 2024 from $885.5 million at the beginning of the period[47] - Free Cash Flow for Q2 2024 was $26.0 million, derived from $32.7 million in net cash provided by operating activities and $6.7 million in capital expenditures[64] - The company expects to deliver meaningful Free Cash Flow of at least $75 million for FY25[29] Subscription Metrics - Ending Paid Connected Fitness Subscriptions were 2.98 million, with Average Net Monthly Paid Connected Fitness Subscription churn at 1.9%[17] - Q1 Paid Connected Fitness Subscription guidance expects a Y/Y decline in hardware sales due to seasonality and macroeconomic uncertainty, with a similar Average Net Monthly Paid Connected Fitness Churn rate to Q4 FY24[24] - Q1 Paid App Subscription guidance anticipates a sequential decline in gross additions due to seasonality, with a sequential improvement in Average Monthly Paid App Subscription Churn[25] - Ending Paid Connected Fitness Subscriptions for Q1 FY25 are expected to range between 2.88 million and 2.89 million, reflecting a 3% Y/Y decline[26] - Full-year FY25 guidance expects a Y/Y decline in hardware sales and a modest increase in Average Net Monthly Paid Connected Fitness Churn[27] - FY25 Ending Paid Connected Fitness Subscriptions are projected to range between 2.68 million and 2.75 million, a 9% Y/Y decline[31] - Subscription Revenue for Q2 2024 was $431.4 million, with a Subscription Contribution of $312.3 million and a Subscription Contribution Margin of 72.4%[61] Operational Efficiency and Cost Management - Sales & Marketing expense decreased by $26 million, or 19% Y/Y, with further reductions expected in FY25[4] - Operating expenses decreased to $375.3 million in Q2 2024 from $426.8 million in Q2 2023, and annual operating expenses dropped to $1,735.5 million in FY 2024 from $2,120.6 million in FY 2023[43] - The company's restructuring expenses for Q2 2024 were $2.8 million, primarily related to severance and exit costs[56] - The company's capital expenditures and capitalized internal-use software development costs for Q2 2024 were $6.7 million, contributing to a Free Cash Flow of $26.0 million[64] Debt and Financial Structure - Debt decreased by $200 million, with average maturity extended to 2029[5] - The company reported a net gain on debt refinancing of $53.6 million in Q2 2024 and FY 2024[43] Product Performance and Market Trends - Bike+ rental program in the UK outperformed expectations, with net monthly paid subscription churn for rental down 110 bps Y/Y[6] - Connected Fitness revenue from treadmills grew 42% Y/Y, with Tread+ achieving a 76 NPS, the highest across all Connected Fitness products[9] - Precor revenue grew over 20% Y/Y, with gross margin improving more than 22 percentage points Y/Y[11] Impairments and Adjustments - The company incurred $10.6 million in impairment expenses during Q2 2024, primarily related to fixed assets and goodwill[56] - Product recall related matters resulted in a $5.8 million adjustment to Adjusted EBITDA for Q2 2024, reflecting costs associated with returns and logistics[56] - Litigation and settlement expenses for Q2 2024 were $0.6 million, reflecting ongoing legal proceedings outside the ordinary course of business[56]

Peloton's stock is well off its highs, but there are a lot of problems to fix. Is this turnaround story worth getting into?Peloton Interactive (PTON 5.00%) was a household name during the coronavirus pandemic. Consumers were lined up to buy the company's connected exercise equipment. But the company's fortunes have turned for the worse. Is there a chance that it could get back the old magic and turn shareholders into millionaires?Peloton and Wall Street wisdomThere's a saying on Wall Street about how danger ...

Peloton Interactive, Inc. (PTON) is scheduled to report fourth-quarter fiscal 2024 results on Aug 22, before the opening bell. In the last reported quarter, the company’s earnings missed the Zacks Consensus Estimate by 15.4%.The Trend in Estimate RevisionThe Zacks Consensus Estimate for the fourth quarter is pegged at a loss of 18 cents per share. It reported a loss of 68 cents per share in the year-ago quarter.For revenues, the consensus mark is pegged at $626.3 million, indicating a decline of 2.5% from t ...

In its upcoming report, Peloton (PTON) is predicted by Wall Street analysts to post quarterly loss of $0.18 per share, reflecting an increase of 73.5% compared to the same period last year. Revenues are forecasted to be $626.29 million, representing a year-over-year decrease of 2.5%.Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted upward by 0.2% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this p ...

Peloton (PTON) is expected to deliver a year-over-year increase in earnings on lower revenues when it reports results for the quarter ended June 2024. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on August 22, 2024, might help the stock move higher if these key numbers are better than expectat ...

Peloton (NASDAQ:PTON) stock is making a rather surprising move lower today. At the time of this writing, PTON stock is down more than 4% despite the company announcing a rather intriguing partnership with Google and Fitbit parent Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) to bring Peloton classes to Fitbit smartwatches.This partnership is aimed at improving the utility that Fitbit watches provide users. In addition to a number of other upgrades Alphabet announced during its Google event this week, providing users ...

ab 13 August 2024 Global Research and Evidence Lab Powered by YES UBS Evidence Lab Peloton Interactive Inc July Web Traffic for Interactive Visits down -12% YOY; Q4 Preview July is down less than June-May declines of -17-19% Our analysis of total interactive visits to the Peloton website, with interactive visits defined as total visits excluding bounced visits (those that enter a site, take no action and then leave), shows July web traffic is down -12%, improving from steeper declines in May down -19% and J ...

NEW YORK, Aug. 08, 2024 (GLOBE NEWSWIRE) -- Peloton Interactive, Inc. (NASDAQ: PTON) will release its fourth quarter fiscal 2024 results before the U.S. stock market opens on Thursday, August 22, 2024. The company will host a conference call and live audio webcast to discuss the results at 8:30 a.m. (Eastern Time) that day. To access the call by phone, please visit this link for registration (phone registration link) to be provided with dial in details. To avoid delays, we encourage participants to register ...

Peloton did something very important, but it will still make the company's quest for sustainable profits even harder.Peloton Interactive (PTON 1.39%) is still trying to figure out what it wants to be when it grows up. It tried making exercise equipment, but that didn't work as well as hoped. Now, it is trying to be a subscription exercise service, which doesn't appear to be working out as well as hoped, either.That said, the company's recent debt restructuring has managed to buy some time for management to ...

Momentum investors typically don't time the market or "buy low and sell high." In other words, they avoid betting on cheap stocks and waiting long for them to recover. Instead, they believe that "buying high and selling higher" is the way to make far more money in lesser time.Who doesn't like betting on fast-moving trending stocks? But determining the right entry point isn't easy. Often, these stocks lose momentum once their valuation moves ahead of their future growth potential. In such a situation, invest ...