Peloton maxis sing its praises, but investors have been feeling quite different about the digital workout brand this year. 😬
This year has been punishing for Peloton — supply chain woes, recalls, and unfortunate earnings are to blame. In May 2021, the company recalled its new treadmill. Peloton has since-resolved the treadmill shortcomings, but faces new problems in the supply chain.
In many ways, it’s good to have this much demand. However, Peloton has been consistently failing to meet the robust demand for its workout devices. 👎 Peloton’s reports in early 2021 were bold, setting the stage for disappointment in the latest two quarters. In August, the company reported disappointing outlook and sad revenue growth. Today, Peloton did it again. 😓
Peloton reported a net loss of $376 million in its first FY 2022 quarterly report (its calendar year ends Sept. 30.) That worked out to an EPS of ($1.25) per share. Revenue was up just 6% to $805.2 million. These numbers were upsetting to analysts, but it got worse — the company cut its full-year outlook. ✂️ 💰
$PTON fell 32% today. Ouch. It’s down 41% YTD. Read the company’s full report here.