FuboTV announced third quarter earnings Friday that beat analyst expectations, with revenue topping $386 million as the sports-centric streaming service saw a 6% gain in subscribers to 1.99 million.
The channel bundler narrowed its net loss to $54.7 million, from $84.4 million a year ago, or $0.08 a share—well lower than consensus analyst expectations, according to data compiled by S&P Global Market Intelligence.
More from Sportico.com
-
Comcast Books Record $1.91 Billion in Paris Olympics Revenue
-
Ohtani HR Ball Boosts eBay Sports Collectibles Arm, but Shares Plunge
“We continue to be encouraged by a quickly maturing streaming market and our ability to deliver on consumer needs,” Fubo CEO David Gandler said in prepared remarks on the company’s earnings call Friday morning. “Today, there are nearly 50 million households in the United States that still subscribe to legacy pay TV, a decline of more than 50% compared to the 105 million cable TV subscribers recorded in 2010. As legacy customers turn to streaming, nearly 30% have subscribed to virtual MVPDs over the trailing 12 months, according to a recent Moffett Nathanson report.”
Not everything was bullish for Fubo, however, as the pace of growth compared to a year ago slowed: 2024’s third quarter revenue was up 20%, while last year’s was nearly 43%. Gandler pointed to a weaker U.S. advertising market and the removal of Discovery-Scripps channels earlier this year as headwinds.
Still, the business sees full year sales coming in around $1.9 billion, a projection 18% higher than current consensus estimates. That didn’t appear to satisfy Wall Street, as traders bid Fubo shares down about 10% in early Friday trading on the New York Stock Exchange. Fubo was the best-performing stock in the Sportico Sports Stock Index in October, rallying 24% to enter November at $1.74.
Gandler briefly addressed Fubo’s lawsuit against Venu, the sports-focused bundle planned by Disney, Fox and Warner Bros. Discovery. Fubo won a preliminary injunction against Venu in federal court in August. “We are confident in the merits of our claims and believe the preliminary injunction will remain in place despite defendants pending appeal,” he said, also in his prepared remarks. Fubo’s fight against Venu is a “duel to the death,” Gandler told Sportico in March.
The streamer’s trial against Venu is scheduled for October 2025, essentially giving Fubo another year of holding off what promises to be a formidable competitor in the sports streaming market. Google’s YouTube TV and Dish Network’s Sling TV are also Fubo competitors.