PELOTON INTERACTIVE, INC. (PTON) Form 10-Q — Nov 5, 2026
Peloton reported fiscal Q1 2027 net income of $96.2 million, up roughly 7x from $13.9 million a year earlier, on revenue of $559.2 million (+1.5% YoY). Adjusted EBITDA was $167.8 million and free cash flow was $143.4 million. Connected Fitness Products gross margin surged to 33.4% from 6.9%, primarily driven by refunds of previously paid IEEPA tariffs following the Supreme Court's invalidation of those tariffs, plus a favorable year-over-year recall expense comparison. Subscription revenue grew 3.1% helped by price increases.
Key figures
- Eps
- 0.22 basic / 0.19 diluted
- Revenue
- 559.2
- Net Income
- 96.2
- Revenue Yoy
- 1.5%
- Monthly churn
- 1.7%
- Free cash flow
- 143.4
- Adjusted ebitda
- 167.8
- Nec patent verdict
- $20.5 million past damages
- Operating cash flow
- 145.7
- Ieepa tariff refunds
- substantially all previously paid tariffs refunded
- Subscription revenue
- 410.7
- Term loan outstanding
- $977.5 million at 9/30/26; $697.5 million after 10/9/26 repayment
- Ending paid app subscriptions
- 0.487 million
- Term loan voluntary repayment
- 280
- Connected fitness gross margin
- 33.4%
- Connected fitness products revenue
- 148.5
- Prior year connected fitness gross margin
- 6.9%
- Ending paid connected fitness subscriptions
- 2.475 million
AI analysis
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