Peloton, the beleaguered home gym equipment maker, is laying off about 500 employees in the company’s latest effort to bolster its battered finances.
Ben Boyd, a Peloton spokesman, said the company will remain with about 3,825 employees after the latest round of job cuts, which represent about 12 percent of its workforce. This is the fourth round of peloton haircuts this year. At the end of June 2021, the company employed more than 6,700 people.
The job cuts were reported earlier by the Wall Street Journal.
The layoffs are the company’s latest attempt to restructure its operations after the explosive growth it recorded during the height of the pandemic has fizzled out as lockdowns are lifted and economies reopen. Fitness and stationary classes in Peloton became popular when people were quarantined at home and gyms closed, but it has since run into financial difficulties due to supply chain issues and low demand.
Barry McCarthy was named CEO in February, replacing Peloton co-founder John Foley, who said it was an “exciting time” for the company when he stepped aside. Peloton said in July it would do so Outsourcing of all its industries To overseas company, more executive departures came in September. company About a loss of 1.2 billion dollars In its last quarter, its sixth straight losing quarter.
Peloton shares have lost three-quarters of their value this year. At the end of June, the company reported that it had had more than $1 billion in cash on its balance sheet.. “There comes a point in time either we are successful or we don’t have it,” McCarthy told the Wall Street Journal.
