{"id":13268,"date":"2022-08-26T15:14:40","date_gmt":"2022-08-26T15:14:40","guid":{"rendered":"https:\/\/scienceandnerds.com\/2022\/08\/26\/peloton-ceo-thinks-losing-1-2-billion-is-a-sign-of-substantial-progress\/"},"modified":"2022-08-26T15:14:41","modified_gmt":"2022-08-26T15:14:41","slug":"peloton-ceo-thinks-losing-1-2-billion-is-a-sign-of-substantial-progress","status":"publish","type":"post","link":"https:\/\/scienceandnerds.com\/2022\/08\/26\/peloton-ceo-thinks-losing-1-2-billion-is-a-sign-of-substantial-progress\/","title":{"rendered":"Peloton CEO thinks losing $1.2 billion is a sign of \u2018substantial progress\u2019"},"content":{"rendered":"

Source: https:\/\/www.theverge.com\/2022\/8\/25\/23321488\/peloton-q4-earnings-barry-mccarthy-fitness<\/a>
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Peloton\u2019s numbers don\u2019t look great. In its Q4 2022 earnings release<\/a> this morning, the company reported a $1.2 billion operating loss, a 28 percent revenue drop, a membership decline, and a monthly subscriber churn exceeding 1 percent for the first time in a long while. (Perhaps ever?) And that\u2019s just the tip of the iceberg. In a nutshell, losses were greater than both Peloton and investors had anticipated.<\/p>\n

And yet, Peloton CEO Barry McCarthy would have you believe the numbers actually paint a picture of \u201csubstantial progress\u201d and the true start of Peloton\u2019s comeback story.<\/p>\n

\u201cThe naysayers will look at our Q4 financial performance and see a melting pot of declining revenue, negative gross margin, and deeper operating losses. They will say these threaten the viability of the business,\u201d McCarthy says in his shareholder letter. But it\u2019s clear he doesn\u2019t agree. According to McCarthy, investors should be glad that a huge chunk of that $1.2 billion figure \u2014 $415 million, to be exact \u2014 is simply what it costs to get back on track.<\/p>\n

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