Peloton Interactive Inc.’s PTON 12.54% quarterly sales surged 66%, bolstered by shut-in Americans undeterred by shipping delays, do-it-yourself installation and the exercise bike’s $2,000-plus price tag.
Peloton is known for selling stationary bikes equipped with a screen that shows subscription workout classes. The number of subscribers almost doubled to 886,100 in the quarter ended March 31, which includes the first weeks when the spread of coronavirus closed gyms and prompted many Americans to shelter at home.
“I never thought I would ever purchase a Peloton,” said Wendy Spano, 44 years old, of Mt. Kisco, N.Y. A gym loyalist, she ordered a Peloton this week that is scheduled to be delivered in late June. “But I found myself here at home and I wasn’t doing anything, like, nothing. I realized I had a bit of a problem.”
There were 44 million Peloton workouts in the March quarter, a record for the company and up from 24 million in the December quarter.
The New York company raised its financial forecasts, predicting revenue would more than double in the June quarter from a year ago despite a shortage of bikes.
Shares of Peloton climbed 7% after the company reported its latest results. The stock, which fell below $20 in mid-March, was above $40 in after-hours trading Wednesday.
Peloton Interactive’s quarterly sales surged 66%, bolstered by shut-in Americans undeterred by shipping delays, do-it-yourself installation and the exercise bike’s $2,000-plus price tag.