Peloton hires Amazon Web Services executive Liz Coddington as new CFO in latest shakeup – TechCrunch

Peloton has announced that its chief financial officer, Jill Woodworth, is leaving the company and will be replaced by Amazon Web Services executive Liz Coddington, effective June 13. Woodworth has served as Peloton’s chief financial officer since 2018 and will serve as a consultant for Peloton on an interim basis. base.

Coddington, who now faces the task of turning Peloton’s finances around, most recently served as vice president of finance for Amazon Web Services. Prior to this role, Coddington held senior positions at companies such as Walmart and Netflix.

“Liz is an extremely talented finance executive and will be an invaluable addition to Peloton’s leadership team,” Peloton CEO Barry McCarthy said in a statement. “Having worked for some of the strongest and most recognizable technology brands, she not only brings the expertise needed to run our finance organization, but she has a critical understanding of what it takes to drive growth and excellence. operational. I have seen her intellect, ability, and leadership firsthand and am excited to work closely with her as we execute the next phase of Peloton’s journey.

The change marks a fresh start from the top ranks of the company, after McCarthy, a former Spotify and Netflix executive, took over the reins of the company following the departure of former Peloton CEO John Foley in February 2022. At the same time, Peloton announced that it was cutting 2,800 jobs worldwide, or approximately 20% of its workforce, “at all levels of the organization”.

McCarthy took over the reins from Foley at a time of uncertainty for the connected fitness brand, culminating in a drop in demand. Although the brand was doing well before the COVID-related shutdowns and amassed an almost cult following, the widespread closure of gyms proved to be a massive accelerator. This year, meanwhile, has so far seen reports of slowing demand and corrective action.

Peloton’s financial results released on May 10 showed the company missed revenue estimates by $6 million, bringing in $964.3 million, which was down from the $1.26 billion reported at the time. same quarter last year. Losses for the quarter reached $757.1 million.

Following the earnings release, McCarthy cited three primary goals: “(1) Stabilize cash flow (2) Get the right people in the right roles and (3) Grow again.” He noted that Peloton hired former Grove Collaborative COO Andy Rendich to manage the company’s supply chain and help better align inventory with demand.

The company also increased its monthly subscription fees on June 1, with the cost of the all-access plan rising from $39 to $44 in the United States and from $49 to $55 in Canada. At the same time, Peloton also announced that it was lowering the price of its exercise equipment in an effort to make its gear more affordable. The company had emphasized that the price changes were part of McCarthy’s vision to grow the company’s community.

Last month it was reported that Peloton was courting investors to take a 15-20% stake in a bid to provide additional cash amid continued struggles. Earlier reports suggested he was considering an outright sale to bidders, including Amazon. It has since been suggested that the company is looking to increase revenue before executing an outright sale.

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