Peloton beats fourth-quarter revenue estimates, shares jump

(Reuters) -Peloton Interactive beat Wall Street estimates for fourth-quarter revenue on Thursday, driven by the fitness-equipment maker's partnerships and bike rental program, sending its shares up more than 10% in premarket trading.

The maker of high-end stationary exercise bicycles and treadmills has rolled out a turnaround plan, including job cuts, to ride out a sales slump after a pandemic-led boom.

"We achieved modest Y/Y revenue growth in Q4 for the first time since Q2 FY22," the company said.

Peloton (NASDAQ:PTON ) reported fourth-quarter revenue of $643.6 million, above analysts' expectations of $630.5 million, according to LSEG data.

The company also delivered adjusted core profit and free cash flow for the second consecutive quarter.



Former CEO Barry McCarthy had pushed to achieve free cash flow by shrinking the company's bloated cost structure and reaccelerating growth by increasing its subscriber base through its app offerings and rental bike program.

The company reported an adjusted core profit of $70.3 million, compared to a loss of $34.7 million a year earlier.

Source: Investing.com