Peloton sales increase by 172% as people subscribe to gym for home fitness

peloton (PTON) This year has seen its fate due to the virus. Homegrown customers have been rolling out peloton stationary bikes and treadmills in recent months, and according to the company’s outlook, the trend is not fading.

Better-than-expected fiscal fourth quarter earnings sent Peloton’s stock up 6% in early trading. The shares are up over 220% this year.

However, increased demand has also resulted in longer production and delivery times. Peloton said it hopes the “liberal,” epidemic has eradicated the supply and demand imbalance in many geographies, leading to long-order-to-delivery windows for our customers.

The peloton does not expect low delivery windows until at least next year.

But for those with their bikes and treadmills in hand, there is evidence that they are bent: Peloton said the average number of monthly workouts has doubled to 25 squares per customer in the past year. The company offers various classes beyond cycling, including core, running and weight lifting.

During the onset of the epidemic, Peloton offered a three-month free trial subscription to new customers of its app. People are sticking around, and are still paying the $ 12.99 monthly fee. The churn rate was just 0.52% in the quarter, which means that some people end the payment period.

The peloton this week announced a 15% reduction in the price of its most popular bike and introduced a higher-priced bike. Its treadmill is priced at $ 4,295, but the company is adding a lower-priced treadmill next year.

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