Peloton has announced a massive overhaul, including 784 layoffs, price hikes for its bikes and treadmills, and the shuttering of storefronts in 2023.
The changes, announced in a Friday memo to employees, come as shares for the company plummeted by 90% over the last 12 months. The reopening of gyms after pandemic restrictions were lifted blunted the remote-exercise boom the company had previously enjoyed.
“We have to make our revenues stop shrinking and start growing again. Cash is oxygen. Oxygen is life,” said Peloton CEO Barry McCarthy in the memo cited by Bloomberg.
The job cuts are coming from the company’s customer service and warehouse distribution divisions.