With gyms closed down, Peloton surprised Wall Street with major increase in subscribers, showing fitness can be a profitable business under lockdown conditions.
Peloton released extremely positive financial reports yesterday after-market, to everyone’s surprise.
Wall Street was expecting a 18 cent drop in EPS, and a revenue of $486 million. The actual earnings report showed a loss of 20 cents per share, and a revenue rise of 66%, reaching $524.6 million. The product revenue also exceeded 60% to $420.2 million.
It mostly happened because of the pandemic, say market analysts. People stuck in their houses brought an increase in subscription revenue of more than 90%, up to$98.2 million. The number of digital payers increased by 64%. Also, in March, the company announced that it would extend the free trial period from 30 to 90 days for digital subscribers.
The yearly revenue is expected to be between $1.72 billion - $1.74 billion, much higher than $1.56 billion consensus. For the next quarter, Peloton expects $500 million to $520 million in revenue.
Last month, the Live From Home cycling class proved to be “the largest live workout count of any class ever” with more than 23,000 live workouts.
Peloton stock price gained 18% in pre-market today, continuing yesterday’s after-hours 4% increase. Since the beginning of the year, shares gained 30%.
See the difference when trading with CAPEX.com by accessing elite features:
- Stellar custom service
- Powerful WebTrader platform and mobile app
- High-end integrated trading tools
- Full license and regulation from top regulators
Sources: finance.yahoo.com, investors.com, techcrunch.com
The information presented herein is prepared by CAPEX.com and does not intend to constitute Investment Advice. The information herein is provided as a general marketing communication for information purposes only and as such it has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and it is not subject to any prohibition on dealing ahead of the dissemination of investment research.
Users/readers should not rely solely on the information presented herewith and should do their own research/analysis by also reading the actual underlying research. The content herewith is generic and does not take into consideration individual personal circumstances, investment experience or current financial situation. Therefore, Key Way Investments Ltd shall not accept any responsibility for any losses of traders due to the use and the content of the information presented herein. Past performance is not a reliable indicator of future results.
Los usuarios / lectores no deben confiar únicamente en la información presentada aquí y deben hacer su propia investigación / análisis leyendo también la investigación subyacente real. El contenido adjunto es genérico y no tiene en cuenta las circunstancias personales, la experiencia de inversión o la situación financiera actual.
Por lo tanto, Key Way Investments Ltd no aceptará ninguna responsabilidad por las pérdidas de los comerciantes debido al uso y el contenido de la información presentada en este documento. El rendimiento pasado no es un indicador confiable de resultados futuros.