Peloton, the maker of connected exercising hardware has publicly released its documents for the forthcoming Initial Public Offering (IPO) in a filing with the SEC. The exercise machine maker plans to raise $500 million with its Nasdaq offering. Peloton IPO will happen under the ticker symbol PTON.
For the year ended June 30, 2019, Peloton reported $915 million in revenue. This was an increase of 110% compared to $435 million the previous year. Losses for the company reached $245.7 million in 2019, which was also an increase compared to the net loss of $47.9 million in 2018.
So far, the company has 1.4 million total community members. These are individuals who have a Peloton account. Customers of the company subscribe to their digital library of fitness content, streaming content and on-demand content. The monthly subscription is $39. Hardware is an additional purchase for subscribers, which costs in the range of $2000 to $4500.
In a letter to investors, Peloton founder John Foley mentioned, “On the most basic level, Peloton sells happiness.” He added, “But of course, we do so much more.”
A favourite of venture capitalists, PitchBook suggests that the company has raised $994 million so far.