Peloton shares soar 35% as turnaround plan takes hold, losses shrink
Publishing timestamp: 2024-08-22 11:12:07
Summary
Peloton has returned to sales growth for the first time in nine quarters, posting better-than-expected quarterly results. The company is focusing on profitability over growth, cutting marketing and sales spending to improve its balance sheet. Peloton's shares spiked 35% after the announcement. The company is also seeing growth in subscription revenue and positive signs in its Tread and Bike rental programs. Peloton is projecting lower sales for the current quarter but higher adjusted EBITDA. The company is shifting its focus towards profitability and free cash flow generation.
Sentiment: MIXED
Tickers: PTON,
Keywords: breaking news: earnings, peloton interactive inc, business, karen boone, earnings, business news, barry mccarthy, breaking news: business, retail industry,
Source: https://www.cnbc.com/2024/08/22/peloton-pton-earnings-q4-2024.html