Peloton Interactive, Inc. (NASDAQ:PTON) Q2 2024 Earnings Conference Call February 1, 2024 8:30 AM ET

Company Participants

Peter Stabler - Head of Investor Relations

Barry McCarthy - President and Chief Executive Officer

Liz Coddington - Chief Financial Officer

Conference Call Participants

Douglas Anmuth - JPMorgan

Ronald Josey - Citi

Andrew Boone - JMP Securities

Shweta Khajuria - Evercore ISI

Aneesha Sherman - Bernstein

Edward Yruma - Piper Sandler

Youssef Squali - Truist Securities

Simeon Siegel - BMO Capital Markets

John Blackledge - TD Cowen

Lee Horowitz - Deutsche Bank

Operator

Good day and welcome to the Peloton Interactive Q2 2024 Earnings Call. At this time, all participants are in a listen-only mode. After a few brief opening remarks, we will begin immediately going into our Q&A session. [Operator Instructions] Please be advised that today's conference is being recorded.

I would now like to hand the conference over to your speaker, Mr. Peter Stabler, Head of Investor Relations. Mr. Stadler, the floor is yours.

Peter Stabler

Thanks, Sherry. Good morning, and welcome to Peloton's Second Quarter Fiscal Year 2024 Conference Call. Joining today's call are CEO, Barry McCarthy, and CFO, Liz Coddington.

Our comments and responses to your questions reflect management's views as of today only and will include statements related to our business that are forward-looking statements under federal securities law. Actual results may differ materially from those contained in or implied by these forward-looking statements due to risks and uncertainties associated with our business.

For a discussion of the material risks and other important factors that could impact our actual results, please refer to our SEC filings and today's shareholder letter, both of which can be found on our Investor Relations website.

During this call, we will discuss both GAAP and non-GAAP financial measures. A reconciliation of GAAP to non-GAAP financial measures is provided in today's shareholder letter.

I'll now turn the call over to the operator for our first question.

Question-and-Answer Session

Operator

Thank you. One moment for our first question. And that will come from the line of Doug Anmuth with JPMorgan. Your line is open.

Douglas Anmuth

Great. Thanks so much. Hi, Barry and Liz. A couple of questions. You called out that the Treadmill market is 2x that of Bikes. Can you just help us understand how you're going to lean into those products more going forward? And if Tread+ demand is strong, why isn't that helping free cash flow more in the back half of this year, just given the considerable existing inventory that you have? And then secondly, can you just help us understand the current mix of sales or perhaps sub additions across Peloton direct and third-party and Bike rental and any thoughts on how this could trend going forward? Thanks.