Could Peloton be destined to go down as a one-hit wonder?

The CEO of the indoor fitness brand seems to think losing $1.2bn is a sign of progress – Chris Blackhurst is unconvinced

The ‘connected’ fitness equipment firm has reported a fourth-quarter earnings loss of $1.2bn (Getty)

Every so often a headline brings you up short. So it was with: “Peloton CEO thinks losing $1.2billion is a sign of ‘substantial progress’”.

Wow. I want what he is having. The optimistic chief in question is Barry McCarthy and he is trying to convince anyone who will listen that the fitness equipment firm – “connected” fitness in the jargon because customers buy the bike or treadmill and pay extra to sign up to at-home classes – has a bright future. Brighter than its horrifying figures suggest.

As indicated, his company reported a fourth-quarter earnings loss of $1.2bn (£1bn), together with a 28 per cent revenue drop, a fall in membership and a “churn” in monthly subscribers of more than 1 per cent for the first time. Oxygen-gulping stuff. To put it mildly, the performance was worse than Peloton or its investors anticipated.