Peloton Interactive Inc. (PTON) shares rose 7.7% in premarket trading Wednesday to an 8-month high after the home fitness company reported a big jump in sales for its fiscal second quarter and offered an upbeat outlook had. Net losses for the quarter ended December 31 decreased to $335.4 million, or 98 cents per share, from $439.4 million, or $1.39 per share, in the year-ago period. FactSet consensus for net losses was $243.6 million. Revenue fell 30.1% to $792.7 million, but was well above the FactSet consensus of $709.8 million as members declined 1% but the termination of connected fitness -Subscriptions increased by 10%. The company expects revenue of $690 million to $715 million in the third quarter, compared to the FactSet consensus of $690.5 million. “Despite seasonally strong hardware sales, we generated more subscription revenue than hardware sales for the third consecutive quarter,” Chief Executive Barry McCarthy said in a letter to shareholders. “This was by far our best quarterly performance in my 12 months at Peloton.” The stock is down 40.5% in the three months ended Tuesday, while the S&P 500 is up 5.7%.
-Tommy Kilgore
(ENDS) Dow Jones Newswires
02-01-23 0718ET
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