The share price increase comes as Peloton recovers from losses and declining sales after the pandemic|SpartyZag|CC BY-SA 4.0

Peloton’s shares surged over 35% on Thursday, buoyed by its first sales increase in over two years. The fitness brand also posted ~$643 million in revenue, beating Wall Street’s expectations.

The company also said its sales increased 0.2% in the quarter ending June.

Peloton also reduced its net quarterly loss to $30.5 million.

The share price increase comes as Peloton recovers from losses and declining sales after the pandemic.

The company has been restructuring since May, cutting 15% of its workforce, reducing hardware sales, and offering strength training at gyms. It is also trying to increase subscribers to its monthly membership programs, which cost $12–$44.

Despite the rally, Peloton’s stock is still nearly 22% down for the year and remains well below its 2020 peak of over $160.

The company’s subscriber base held steady at 6.4 million, with a slight decrease in the churn rate from 9.2% to 8.4%.