The epidemic boosted American home fitness, and Peloton’s share price hit another record high.
Editor’s note: This article comes from the WeChat public account “Sophisticated GymSquare” (ID: GymSquare) , The author opened.
The epidemic has hit the American gym, but it has caused a surge in home fitness needs.
On May 6, Beijing time, American home fitness company Peloton released its Q3 quarterly financial report. The financial report showed that Peloton’s overall revenue soared 66% to US $ 524.6 million, exceeding Wall Street’s forecast of US $ 486.1 million.
Subsequently, Peloton shares rose 10% in after-hours trading, and the share price set a new record, reaching more than $ 42, and the final closing price was $ 38.03, a 5% increase.
Peloton home fitness content
On the evening of May 7, Beijing time, Peloton continued to explode to $ 44.17 after opening, more than double the price in mid-March, much higher than the September issue price of Peloton in September last year, and the current market value exceeds $ 12 billion .
This home live fitness company, which has been on the market for less than a year and has purchased less than 1 million users, has almost become a group of dark horses in the US stock market during the global outbreak.
■ Peloton stock price
According to Peloton ’s Q3 financial report, the company ’s fitness equipment end users increased by 94% in the last quarter to reach more than 886,000. Among them, the number of online fitness course subscribers increased by 64%, reaching more than 176,000. There are currently 2.6 million subscribers to online content.
In terms of user usage, Peloton users exercised 17.7 times per month in the Q3 quarter, compared with 13.6 times in the same period last year. Overall, the retention rate of Peloton within 12 months is 93%.
That is to say, during the Q3 epidemic, users began to exercise more frequently with the Peloton home fitness live broadcast device, and more new users joined.
The large-scale closure of gyms in the United States and the Social Distancing requirements implemented in the United States have made home fitness a rare entertainment and lifestyle for users in the United States. As a result, the share price of Peloton, the first US home fitness live broadcast, has skyrocketed.
Peloton subscriber growth trend
Peloton CEO John Foley, in the shareholder letter, first emphasized the company’s response to the epidemic.
Mainly includes measures to protect employees ’health, such as extending sick leave, working from home, and setting up a Hive-Five employee health fund. At the same time, a 90-day free card for online courses and 50 to 200 Peloton bicycles and masks donated each month are provided to provide health equipment support for relevant individuals and organizations.
But more importantly, Peloton responds to sales and logistics restrictions caused by the closure of nearly 100 display stores across the United States through strategies such as product self-promotion, free courses, and e-commerce promotions.
The epidemic has severely plagued large American gym chains including Planet Fitness and 24 Hour Fitness, but it has boosted Peloton’s sales and share price soaring since its listing.
