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Equity-Based Compensation (Tables)

9 Months Ended

Mar. 31, 2022

Share-based Payment Arrangement [Abstract]

Schedule of Stock Option Activity

The following summary sets forth the stock option activity under the 2019 Plan:

			Options Outstanding
			Number of Stock Options						Weighted-Average Exercise Price						Weighted-Average Remaining Contractual Term (years)						Aggregate Intrinsic Value (in millions)
Outstanding — June 30, 2021			57,946,608						$	18.47					7.3						$	6,119.2
Granted			18,290,794						$	45.86
Exercised			(8,068,769)						$	6.11											$	369.5
Forfeited			(4,286,726)						$	45.74
Outstanding — March 31, 2022			63,881,907						$	26.04					7.0						$	643.3
Vested and Exercisable— March 31, 2022			34,799,942						$	14.31					5.3						$	557.6

Unvested option activity is as follows:

			Options						Weighted-Average Grant Date Fair Value
Unvested - June 30, 2021			28,160,034						$	13.52
Granted			18,290,794						$	23.07
Early exercised unvested			(13,501)						$	2.02
Vested			(13,122,980)						$	11.06
Forfeited or expired			(4,232,382)						$	20.61
Unvested - March 31, 2022			29,081,965						$	19.61

Schedule of Fair Value Assumptions

The fair value of each option was estimated at the grant date using the Black-Scholes method with the following assumptions:

			Nine Months Ended March 31, 2022
Weighted average risk-free interest rate(1)			1.6%
Weighted average expected term (in years)			6.0
Weighted average expected volatility(2)			54.8%
Expected dividend yield			—

____________________________

(1) Based on U.S. Treasury yield curve in effect at the time of grant.

(2) Expected volatility is based on a blended average of average historical stock volatilities of several peer companies over the expected term of the stock options, historical volatility of the Company's stock price, and implied stock price volatility derived from the price of exchange traded options on the Company's stock.

Schedule of Restricted Stock and Restricted Stock Units

The following table summarizes the activity related to the Company's restricted stock and restricted stock units:

			Restricted Stock Units Outstanding
			Number of Awards						Weighted-Average Grant Date Fair Value
Outstanding — June 30, 2021			1,785,946						$	99.43
Granted			10,095,959						$	46.07
Vested and converted to shares			(995,317)						$	98.62
Cancelled			(1,083,529)						$	85.40
Outstanding — March 31, 2022			9,803,059						$	46.10

Schedule of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions

The Black-Scholes option pricing model assumptions used to calculate the fair value of shares estimated to be purchased at the commencement of the ESPP offering periods were as follows:

			Nine Months Ended March 31, 2022
Weighted average risk-free interest rate			0.2%
Weighted average expected term (in years)			1.2
Weighted average expected volatility			71.6%
Expected dividend yield			—

Schedule of Stock-Based Compensation Expense

The Company's total stock-based compensation expense was as follows:

			Three Months Ended March 31,												Nine Months Ended March 31,
			2022						2021						2022						2021
			(in millions)
Cost of revenue
Connected Fitness Products			$	5.7					$	3.3					$	16.7					$	6.8
Subscription			6.3						4.3						15.0						13.9
Total cost of revenue			12.0						7.6						31.8						20.6
Sales and marketing			7.5						5.7						23.0						13.7
General and administrative			41.1						22.5						108.9						60.4
Research and development			11.7						5.9						33.4						14.1
Restructuring expense			44.9						—						44.9						—
Total stock-based compensation expense			$	117.1					$	41.7					$	241.9					$	108.8

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