Peloton reveals its financials for the first time in IPO filing

Peloton, best known for at-home fitness equipment and accompanying streaming fitness services,  revealed Tuesday growing sales but widening losses ahead of its IPO, in documents filed with regulators. 

Peloton reported $915 million in sales for fiscal year ended June 30, 2019, up 110% from $435 million in fiscal 2018. In fiscal 2019, its net loss widened to $245.7 million, from a net loss of $47.9 million.

From 2018 to 2019, it grew its connected fitness subscriber base from 245,667 to 511,202. It defines “connected fitness” subscribers as an individual with a paid subscription or one that has been paused for up to three months. It boasts 1.4 million members, which it defines as any individual with a Peloton account. 

The fitness company expects to raise $500 million in the offering. Previous estimates have pegged its valuation at roughly $8 billion.

Peloton, which previously said it had filed the paperwork confidentially, makes cycles and treadmills with screens for users to join live and recorded fitness classes from their homes, hotel rooms or offices.

Peloton was founded in 2012 and sold its first cycle in 2014. It has since since expanded beyond its $2,000 bicycles into and treadmills sell for $3,995. Subscriptions to access classes cost $39 per month.

The company started selling digital memberships last year for $19.49 per month, catering to people who may not want to invest in its pricey equipment. It has roughly 102,000 of these digital subscribers, who can stream  yoga, meditation, bootcamp, running and walking classes. 

It said in the registration documents it plans to further expand its international foothold, which it cautioned will bring with it new costs. 

Peloton, which will list under the ticker “PTON,” expects to trade its shares on Nasdaq. It is working with underwriters including Goldman Sachs & Co and J.P. Morgan.

Peloton made it onto CNBC’s “Disruptor 50” list the past two years.

Disclosure: CNBC parent Comcast-NBCUniversal is an investor in Peloton.

Correction: Peloton expects to raise $500 million in the offering. An earlier version incorrectly said the amount wasn’t disclosed.