Peloton Passes One Million User Mark as Revenue Grows 172%

Users logged an average of 24.7 workouts per month, compared to 12 just a year ago.

Need to Know

  • The fitness company’s total revenue for its fourth fiscal quarter was $607.1 million, a 172% year-over-year increase, as sales of Peloton’s home stationary bike and treadmill surged during the COVID-19 pandemic.
  • Peloton now counts more than 1.09 million connective users, with each user logging 24.7 monthly workouts, compared to 12 monthly workouts during the same period last year.
  • The company expects fiscal first-quarter sales to hit between $720 million and $730 million, a 218% year-over-year growth.


As more people turned to home fitness due to the ongoing COVID-19 pandemic, Peloton posted huge sales numbers for its fourth fiscal quarter on Thursday, with overall revenue hitting $607.1 million, marking a 172% year-over-year increase.

In its letter to shareholders, Peloton also reported that its number of Connected Fitness Subscriptions users grew 113%, to more than 1.09 million users, while total members grew to approximately 3.1 million. Connected Fitness Subscription users are individuals who pay $39 a month to sync classes to their Peloton equipment; other members access the programs without a Peloton device, through a smartphone or tablet, and pay $12.99 a month. Total subscription revenue to the company’s app and at-home workout programs hit $121.2 million in Q4, a growth of 99% from 2019, representing 20% of the company’s total revenue.

Peloton also reported that the number of workouts accessed by its members increased to 24.7 per month, up from 12 workouts per month during the same period last year.

“Digital fitness is a highly competitive category, with higher churn and lower barriers to entry than our connected fitness subscription and model,” CEO John Foley said on the company’s earnings call. “While we believe we have the best digital fitness experience with the broadest and deepest assortment of high-quality programming. We continue to focus on digital as an acquisition channel, and added value for our connected fitness subscriptions, and we’re excited to say that digital is emerging as our fastest growing lead generation channel.”

Peloton sells two home workout devices: a stationary bike and a treadmill. Earlier this week, the company announced the launch of two new items, the new Bike+, which costs $2,495 and is already available for sale, and the Tread, which will retail for $2,495, and will be available in the US and Canada early next year. Peloton’s original bike now costs $1,895, down from $2,245; the original treadmill, the Tread+, costs $4,295.

“It has long been our goal to democratize access to fitness,” Foley said, “and lowering the price of our bike, along with the introduction of our lower-priced Peloton Tread, are important steps in achieving this goal.”

Peloton has seen substantial growth since the beginning of the coronavirus pandemic, with third-quarter sales surging 66% to $524.6 million in May.

The company ended its fourth fiscal quarter with $1.8 billion in cash, with shares on Thursday up 8%. The company, which noted that its growth over the last quarter was due largely to robust organic demand, not advertising, anticipates a strong start to 2021, as well: the company has forecasted its fiscal first-quarter sales to hit between $720 million and $730 million, a 218% year-over-year growth.