As part of a turnaround strategy, Peloton will reduce its workforce by about 12%, or approximately 500 jobs, according to a company spokesperson.
CEO Barry McCarthy said the company lost “more than $100M on retail last year,” which is why the company is restructuring in order to reach break-even cash flow by the end of the fiscal year, according to an internal memo to Peloton employees shared with Retail Dive.
The news follows a deal with U.S. Hilton hotels to put a Peloton Bike in every fitness center that was announced on Monday. The brand said 90% of its members indicated they are more likely to stay at a hotel that utilized its bike equipment.
Source: Retail Dive