Peloton Interactive has appointed former Apple executive Peter Stern as its CEO and president effective Jan. 1, the fitness-equipment maker said Thursday, to steer its turnaround efforts after a post-pandemic demand slump.

Peloton's shares jumped 12.5% before the bell.

The company has been run by interim co-CEOs since May, when Barry McCarthy, a former Spotify and Netflix executive, stepped down after just over two years as the top boss.

Stern, 52, will be tasked with steering Peloton back to growth and achieving positive cash flow by fiscal 2025, building on McCarthy's aggressive cost-cutting measures to align spending with revenue.