FuboTV, the popular streaming provider, has made a significant decision to close its Fubo Gaming subsidiary and Fubo Sportsbook, citing concerns about impacting their long-term profitability goals. Alongside this announcement, the company released its impressive preliminary results for Q3 2022, showcasing substantial growth in North American revenue and a thriving subscriber base. Despite exiting the online sports wagering business, FuboTV remains focused on expanding its live TV streaming platform and recently welcomed the sports wagering streaming network SportsGrid to its platform in the US and Canada.
FuboTV’s Strategic Move:
FuboTV’s co-founder and CEO, David Gandler, has revealed that after a careful strategic review, the company has decided to shut down Fubo Gaming and Fubo Sportsbook with immediate effect. The decision comes as FuboTV aims to prioritize its long-term profitability objectives and address challenges posed by the current macroeconomic environment. The move may signal the company’s dedication to focusing on its core business and maximizing growth opportunities in the streaming market.
Strong Q3 2022 Results:
FuboTV’s preliminary results for Q3 2022 demonstrate robust growth and financial performance. The company expects a remarkable 34% year-on-year increase in North American revenue, reaching around $120 million. Additionally, Rest of World (ROW) revenue is projected to reach at least $5.5 million, indicating a healthy expansion beyond its home market.
Impressive Subscriber Base Growth:
The streaming provider is experiencing substantial growth in its subscriber base, both in North America and ROW. North American paid subscribers for Q3 are anticipated to exceed 1,220,000, marking a notable 27% increase compared to the previous year. ROW subscribers are also expected to rise significantly, potentially reaching up to 350,000. These figures illustrate FuboTV’s ability to attract a growing audience and assert its position as a leading global live TV streaming platform.
Financial Projections:
Despite its impressive growth, FuboTV estimates an adjusted EBITDA of approximately negative $100 million for Q3 2022. Nonetheless, the company remains optimistic about its financial health, boasting cash and cash equivalents of at least $300 million. These financial projections reflect FuboTV’s commitment to achieving positive cash flow by 2025.
SportsGrid Joins FuboTV:
In exciting news for sports enthusiasts, FuboTV has welcomed SportsGrid to its streaming platform in the US and Canada. SportsGrid, a 24-hour sports wagering network, offers an impressive 18 hours of programming hosted by sports and betting experts and guests. The platform provides real-time sports news, data, analytics, and statistics across various sports leagues, including the NFL, NBA, MLB, NHL, college sports, golf, tennis, and soccer.
SportsGrid’s Features and Content:
SportsGrid’s reporting and analytic platform offers a comprehensive range of information, including daily odds, lines, matchups, reports, and statistics, making it a valuable resource for sports enthusiasts and bettors alike. The content is broadcasted from production facilities in New York City and the SG Studios & Production Hub in Holmdel, New Jersey, ensuring high-quality and timely coverage.
FuboTV’s decision to close its Fubo Gaming and Sportsbook subsidiaries showcases its dedication to achieving long-term profitability. The company’s robust Q3 2022 results and expanding subscriber base reflect its strong position in the live TV streaming market. By welcoming SportsGrid to its platform, FuboTV continues to enhance its offerings and provide sports fans with a compelling and interactive experience. As the streaming provider advances toward its positive cash flow target by 2025, its growth trajectory seems promising, driven by an extensive breadth of premium content and dedication to customer satisfaction.