Fitness firm Peloton published its latest quarterly financials this week, and it includes some information on the company’s music plans.
“In order to amplify our commitment to music, we plan to increase the number of ‘Artist Series’ offerings,” announced the company. That means classes based on specific artists’ music for its exercise bike-owning subscribers. “We recently produced a Jennifer Lopez dual-instructor ride with Robin Arzon and Jess King, as well as a Lizzo ride, and both placed in the top 10 live classes of all time on our platform. Recent classes based on music by Paul McCartney, Red Hot Chili Peppers, The Chainsmokers and Shakira similarly drove strong engagement from our members.”
The results also reveal that Peloton’s ‘content costs for past use’ – payments as part of music-licensing deals that release the company from potential copyright claims by those rightsholders for past use of music – were $0.9m in Q3 2019, compared to $2.9m in Q3 2018.
The company’s letter to shareholders didn’t provide an update on lawsuits from US music publishers, and analysts (disappointingly) didn’t ask about them in Peloton’s earnings call.
As for the actual financials: the company’s revenues more-than doubled year-on-year to $228m in Q3 2019, although its net loss narrowed from $54.5m to $49.7m over that period. Peloton increased its ‘connected fitness subscribers’ from just under 277,000 at the end of September 2018 to nearly 563,000 a year later.