Peloton Interactive (NASDAQ: PTON) shares fell 0.7% in premarket trading on Thursday after the U.S. Consumer Product Safety Commission (CPSC) announced a recall of approximately 833,000 units of the company’s Original Series Bike+ Model PL02, citing potential fall and injury hazards.
According to the CPSC, the seat post assembly on the affected bikes “can break during use,” creating a serious risk of injury. The agency urged owners to stop using the bikes immediately and to contact Peloton for a free repair.
The recall affects a large portion of Peloton’s bikes currently in circulation and may weigh on consumer confidence in the brand, which has been trying to regain momentum after a sharp decline in post-pandemic demand for home fitness products.
The announcement comes at a delicate time for Peloton, as the company continues efforts to streamline operations, cut costs, and diversify its business beyond its core hardware products to stabilize financial performance.
Peloton has not yet commented on the expected financial impact of the recall or the timeline for completing repairs for affected customers.