Connect with us

Published

on

Peloton’s chief executive officer is stepping down from the role as the fitness company plans to cut roughly 15% of its global workforce.

Chief Barry McCarthy told Peloton’s roughly 3,500 employees of his resignation in a note sent Thursday morning that his “one lasting legacy at Peloton” is the “GREAT lead team” he’s recruited since stepping into the top job in 2022.

“Although the stock market hasnt recognized this yet, they will. Its simply a matter of time,” McCarthy added in reference to the nearly 45% drop in share price Peloton has experienced so far this year.

“Hard as the decision has been to make additional headcount cuts, Peloton simply had no other way to bring its spending in line with its revenue,” McCarthy added of the forthcoming layoffs, which will affect roughly 400 roles.

McCarthy — who struck deals with the likes of Lululemon, Amazon and Dick’s Sporting Goods during his tenure — said the cuts are the only way to generate positive free cash flow.

“Achieving positive FCF makes Peloton a more attractive borrower, which is important as the company turns its attention to the necessary task of successfully refinancing its debt.”

News of McCarthy’s exit comes just an hour before Peloton is set to release its fiscal third quarter earnings report, when it’s expected to post a 3.5% sales loss.

Peloton shares jumped 11% in early trading.

In the previous quarter, Peloton said sales fell to $744 million — a whopping 6% decline from the year prior and 34% less than two years ago as the exercise-class company struggled to continue its pandemic hot streak, where tons of cooped-up customers bought its at-home stationary bike during COVID lockdowns.

At the time, Peloton also dialed back its fourth-quarter revenue projections to a range between $700 million and $725 million — below analyst estimates of $750 million.

The company also slashed its full-year guidance to a range between $2.68 billion and $2.75 billion, down from its previous forecast of $2.8 billion.

Subscribe to our daily Business Report newsletter!

Please provide a valid email address.

By clicking above you agree to the Terms of Use and Privacy Policy.

Never miss a story.

In McCarthy’s last-ditch effort to bolster revenues, on his last day as CEO on Wednesday, New York City-based Peloton announced a partnership with Hyatt hotels, offering World of Hyatt loyalty members points when they use Peloton equipment at Hyatt properties.

A press release on the partnership said that the deal will see more than 800 Hyatt properties decked out with Peloton equipment, including access to Peloton classes via in-room TVs.

To get access to those classes at home while using Peloton’s exercise bike or treadmills, customers have to dish out $24 per month to use the Peloton App+ — after purchasing the actual equipment.

A brand-new Peloton bike, for reference, retails for between $1,445 and $2,495 depending on the model, while the treadmill, called the Peloton Tread, ranges from $2,995 to $5,995.

Peloton also offers a rowing machine for a steep $2.995.

Strength, yoga, outdoor running and gym workout classes are also offered via the app for a more modest $12.99 monthly.

Continue Reading

Sports

Oilers forward Hyman injured in 1st, exits Game 4

Published

on

By

Oilers forward Hyman injured in 1st, exits Game 4

EDMONTON, Alberta — Edmonton Oilers‘ top-line forward Zach Hyman was ruled out for the rest of Game 4 of the Western Conference finals Tuesday against the Dallas Stars after taking a hit from forward Mason Marchment, ESPN’s Emily Kaplan reported on the game broadcast.

The first-period collision appeared to immediately rattle Hyman, who dropped his stick and seemed to favor his right arm or wrist. Hyman went directly to the Oilers’ dressing room and did not return.

Hyman has been a key member of the Oilers’ postseason success, registering a league-leading 119 hits in 14 playoff games and scoring five goals and 11 points. He’s a fixture on the team’s top forward unit with Connor McDavid and is part of both the Oilers’ power play and penalty kill.

Edmonton was already down a forward going into Game 4 with Connor Brown sidelined after a hit from Dallas defenseman Alexander Petrovic in Sunday’s Game 3. Viktor Arvidsson returned to the lineup as Brown’s replacement on the fourth line.

Continue Reading

Sports

Referee Rooney returns, 11 days after high stick

Published

on

By

Referee Rooney returns, 11 days after high stick

EDMONTON, Alberta — NHL official Chris Rooney was back on the ice Tuesday night for Game 4 of the Western Conference finals between the Edmonton Oilers and Dallas Stars.

It was the veteran referee’s conference finals debut, and a fitting return for Rooney given the circumstances. It was Rooney’s first game since he took a high stick to the face on May 17 during Game 7 of the Eastern Conference second-round series between the Toronto Maple Leafs and Florida Panthers.

Rooney was injured 13 seconds into the second period when Panthers’ defenseman Niko Mikkola caught him with the end of his stick while fighting for a puck. Rooney fell to the ice and was tended to by trainers from both teams.

While bloodied, he was able to leave under his own power. Rooney sustained a black eye and received stitches for his injury but had no lasting damage. He was replaced at the time by Garrett Rank, in the building on standby in case on injury.

It was clear even the day after his injury that Rooney, 50, hoped to resume duties at some point in the playoffs. The Boston native was finally able to step in for Game 4 with fellow referee Dan O’Rourke.

The pair was joined by linesmen Ryan Gibbons and Matt MacPherson. Referee Graham Skilliter and linesman Ryan Daisy were in the building as alternates.

Continue Reading

Sports

Hintz (leg) back in action, joins Stars’ top line

Published

on

By

Hintz (leg) back in action, joins Stars' top line

EDMONTON, Alberta — Dallas Stars forward Roope Hintz is back in the lineup for Game 4 of the Western Conference finals Tuesday.

The club’s top skater, sidelined since Game 2, when he took a slash to the left leg from Edmonton Oilers defenseman Darnell Nurse, was placed on the top line, alongside Jason Robertson and Mikko Rantanen after taking warmups and line rushes prior to puck drop.

Hintz also took part in warmups before Game 3 on Sunday but exited early and was ruled out. He was back on the ice for Dallas’ optional practice Monday and told reporters he was “feeling good” and “trying to do everything I can” to get back in for Game 4.

It was early in the third period of Game 2 when Hintz — parked in front of the Oilers’ net — shoved Nurse from behind, and the Oilers’ blueliner responded by swinging his stick at Hintz’s leg. Hintz went down to the ice for several minutes before being helped off by Lian Bichsel and Mikael Granlund.

Nurse received a two-minute penalty for the slash but no supplementary discipline from the league. The blueliner addressed the incident publicly for the first time Tuesday, saying it didn’t come with malicious intent.

“I was backing up to net and I got shot in the back. And I think it was just a natural reaction [to respond],” Nurse said. “It’s probably a play that everyone in this room, whether you’re a net-front guy or D man, probably happens a dozen, two dozen times in a year. It’s unfortunate that I must have got [Hintz] in a bad spot. You don’t want to go out there and hurt anyone. But it was just one of those plays that happens so often.”

Having Hintz unavailable hurt the Stars in Game 3, a 6-1 drubbing by the Oilers that put Dallas in a 2-1 hole in the best-of-seven series. Hintz is the Stars’ second-leading scorer in the postseason, with 11 goals and 15 points through 15 games. He was hopeful when taking warmups Sunday that he’d feel good enough to get back in, but a quick discussion with the training staff made it clear he wasn’t ready.

Before Tuesday night, coach Peter DeBoer had since classified Hintz’s status as day-to-day.

“Of course you want to go every night, but sometimes you just can’t,” Hintz said. “I don’t know how close I [was to playing]. But I have played many years [and I] know when it’s good and when it’s not. I should be good to know that [when] it comes to that decision.”

The Oilers will have some lineup changes of their own to sort through in Game 4. Connor Brown, who is out after taking a hit from Alexander Petrovic in Game 3, will be replaced by Viktor Arvidsson. Calvin Pickard, injured in Edmonton’s second-round series against Vegas, will return to back up Stuart Skinner. And Edmonton continues to wait on defenseman Mattias Ekholm, who is getting closer to returning from a lower-body injury.

Continue Reading

Trending