PELOTON INTERACTIVE, INC.PTON

PELOTON INTERACTIVE, INC. Earnings Per Share Disclosure

10-KFiled Aug 7, 20251 min read
Net Loss Per Share
The computation of basic and diluted net loss per share is as follows:
Fiscal Year Ended June 30,
202520242023
($ in millions, except per share amounts)
Numerator:
Net loss attributable to common stockholders$(118.9)$(551.9)$(1,261.7)
Denominator:
Weighted-average common shares outstanding390,037,997 365,546,334 346,670,699 
Net loss per share, basic and diluted$(0.30)$(1.51)$(3.64)
Basic and diluted loss per share are the same for each class of common stock because they are entitled to the same liquidation and dividend rights.

The following potentially dilutive shares were not included in the calculation of diluted shares outstanding as the effect would have been anti-dilutive:
Fiscal Year Ended June 30,
202520242023
Employee stock options6,412,056 7,271,719 13,742,253 
Restricted stock units and awards16,169,021 817,182 1,408,482 
Shares estimated to be purchased under ESPP240,185 — — 
Convertible senior notes77,284,420 — — 

Capped Calls
For the fiscal years ended June 30, 2024 and 2023, the denominator for basic and diluted loss per share does not include any effect from the Capped Call Transactions the Company entered into concurrently with the issuance of the 2026 Notes as this effect would be anti-dilutive. During the fiscal year ended June 30, 2024, the Capped Call Transactions were terminated. Refer to Note 11, Debt for additional information.

Historical Timeline

Fiscal YearFiled
2025Aug 7, 2025Showing above
2021Aug 27, 2021

About Earnings Per Share Disclosures

The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.

Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.

Other Available Disclosures

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