Peloton (PTON) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates

Core Insights - Peloton reported revenue of $656.5 million for the quarter ended December 2025, reflecting a year-over-year decline of 2.6% and an EPS of -$0.09 compared to -$0.24 a year ago [1] - The revenue fell short of the Zacks Consensus Estimate of $672.68 million, resulting in a surprise of -2.41%, while the EPS surprise was -31.2% against a consensus estimate of -$0.07 [1] Financial Performance Metrics - Ending Paid Connected Fitness Subscriptions remained stable at 2.66 million, matching the average estimate by analysts [4] - Ending Paid App Subscriptions were reported at 522,000, below the average estimate of 552,508 [4] - Average Net Monthly Paid Connected Fitness Subscription Churn was 1.9%, consistent with analyst estimates [4] - Subscription revenues totaled $412.6 million, slightly below the average estimate of $418.68 million, marking a year-over-year decline of 1.9% [4] - Revenues from Connected Fitness Products were $243.9 million, falling short of the estimated $253.07 million, representing a year-over-year decline of 3.8% [4] - Gross profit from Subscription services was $297.3 million, exceeding the average estimate of $289.57 million [4] - Gross profit from Connected Fitness Products was $34 million, slightly above the average estimate of $33.86 million [4] Stock Performance - Peloton shares have returned -10.5% over the past month, contrasting with the Zacks S&P 500 composite's +0.5% change [3] - The stock currently holds a Zacks Rank 2 (Buy), suggesting potential for outperformance in the near term [3]