PTON earnings analysis
What we found in PTON's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Peloton reported stronger than expected Q3 FY2026 results with revenue of $630.9 million, beating estimates by $6 million, while EPS came in at $0.06, slightly below the forecast of $0.07. The company raised its FY26 revenue guidance to $2.42-$2.44 billion, supported by a Free Cash Flow estimate of around $350 million, indicating a positive operational outlook despite ongoing challenges.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue Growth
- Total revenue increased 1.1% YoY from $624.0 million to $630.9 million.
- Free Cash Flow Surge
- Free Cash Flow reached $150.5 million, up from $94.7 million YoY.
- Improved Subscription Metrics
- Subscription revenue increased by $9.4 million YoY, totaling $428 million.
- Reduction in Operating Expenses
- General and administrative expenses dropped by 27.1%, from $151.4 million to $110.4 million.
- Raising FY26 Revenue Guidance
- Management increased their revenue guidance to $2.42-$2.44 billion.
- Adjusted EBITDA Growth
- Adjusted EBITDA was up 41% YoY to $126.2 million, compared to $89.4 million last year.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Subscriber Decline
- Paid Connected Fitness Subscriptions decreased from 2.880 million to 2.662 million, indicating a decline.
- High Total Debt
- Total debt includes $982.5 million from the Term Loan, impacting financial flexibility.
- Product Recall Costs
- As of March 31, 2026, a total of $7.2 million was accrued for the Recall of Original Series Bike+, with potential for further costs.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.06
- Gross margin
- 51.8%
- Operating margin
- -5.2%
- Segment
- Connected Fitness Products
- Segment
- Subscription
What they said about what is next.
Outlook includes increased revenue guidance for FY26 due to better operational performance.
The filing reads better than the one before it.
What came before.
- 10-Q · May 8, 2025
- Peloton reported revenue of $624.0 million for the quarter ended March 31, 2025, down $93.7 million (‑13.1%) versus $717.7 million in the prior-year quarter. Gross margin expanded to 51.0% (gross profit $318.1M) versus…
- 10-Q · February 6, 2025
- Peloton reported quarterly revenue of $673.9 million, down from $743.6 million a year ago, while gross profit increased to $318.4 million (improved margin). The company incurred a net loss of $92.0 million (EPS –$0.24)…
- 10-Q · October 31, 2024
- Peloton reported quarterly revenue of $586.0 million, down modestly from $595.5 million a year ago, with Subscription revenue up to $426.3 million (+$11.3M) while Connected Fitness Products declined to $159.6 million…
- 10-K · August 22, 2024
- Peloton positions itself as an integrated fitness platform combining hardware, software and exclusive content, with 6.4 million Members as of June 30, 2024 and new product initiatives (Guide, Row, Peloton…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
Read the next one first.
We read every filing PTON makes the day it lands, and put it next to what the options market did about it. Members get both, and an alert when a filing arrives.
Cancel anytime · Month to month · Switch tiers whenever