(Reuters) – Peloton Interactive Inc beat analysts’ estimates for quarterly revenue on Thursday as the exercise bike maker benefited from a surge in subscribers and demand for its fitness products during the coronavirus pandemic.
Shares of the company rose 8% in extended trading as it forecast full-year revenue above Wall Street expectations.
Stay-at-home stocks like Peloton have benefited from increased demand during the COVID-19 pandemic as closed gyms and fitness clubs turned people towards streaming exercise services and home work-out equipment. The stock has more than tripled this year.
Sales of Peloton’s electric bikes and other fitness equipment tripled to $485.9 million in the quarter. Its subscriptions rose 113% to 1.09 million.
The company forecast revenue for fiscal year 2021 between $3.50 billion and $3.65 billion. Analysts on average were expecting $2.72 billion, according to Refinitiv data.
Net income attributable to Class A and Class B shareholders was $89.1 million, or 27 cents per share, in the fourth quarter ended June 30, compared with a loss of $47.4 million, or $2.07 per share, a year earlier.
Total revenue surged 172% to $607.1 million.
Analysts on average had expected revenue of $583 million.
Reporting by Sanjana Shivdas in Bengaluru; Editing by Maju Samuel