By Yasin Ebrahim
Investing.com -- Peloton on Monday said it had accepted the resignation of co-founders John Foley and Hisao Kushi as executive chairman and chief legal officer, respectively.
Peloton Interactive (NASDAQ:PTON) was up more than 1% in afterhours following the news.
Foley resigned on Monday, and Kushi will step down on Oct. 3 and be replaced by Tammy Albarrán. Chief commercial officer Kevin Cornils, meanwhile, will step down on Sept. 23.
The announcement comes as CEO Barry McCarthy seeks to turn around the fortunes of the connected fitness-equipment company, which has struggled to replicate the explosive growth seen during the height of the pandemic.
The turnaround plan, which is underway, seeks to cut costs and grow higher-margin subscription revenue.
In its most recent quarterly report, Peloton said it doesn’t expect to reach break-even cash flow on a quarterly basis until at least the second half of 2023.
Peloton is down more than 68% year to date.