The Morning After: Peloton's grim post-pandemic reality
It went from $50 billion at its peak to $1 billion.
Peloton had a great pandemic. It’s a weird thing to say, but the company’s premium exercise equipment (expanding from bikes to treadmills and even weight-training tech) were the hot workout-from-home products. That boom made some people (not normal, sensible people) suggest we were never going back to bricks-and-mortar gyms once the world reopened.
But… we went back. Now, Peloton’s latest financial numbers and statements are not great, and further cuts, nips and tucks are now on the cards. Its shares have gone from $156 in 2021 to less than $3 today. Peloton is laying off 15 percent of its workforce, shuttering more of its showrooms and getting rid of its CEO, again. It also killed Mr. Big.
The company says it’s planning to expand overseas (it’s gained a foothold in the UK), but it might just be a case of the company resizing to fit the reality of at-home fitness in 2024.
— Mat Smith
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