Live sports TV streamer FuboTV reported better than expected results today, with total revenue up 34% to $316.5 million and 22% subscription growth, now totalling 1.285 million.
FuboTV also raised its full year subscriber guidance to 1.550 million-1.570 million subscribers (representing 8% year-over-year growth at the midpoint) and total revenue guidance to $1.235 billion-$1.265 billion (representing 27% YoY growth at the midpoint) in North America, adding that it expects to see positive cash flow by 2025.
The company delivered ad revenue of $22.5 million in the quarter, remaining flat YoY against what it says is continued pressure on the advertising market. Fubo expects a reacceleration of growth in the second quarter.
Fubo’s Rest of World (ROW) streaming business also posted double digit growth in total revenue ($7.8 million, up 41% YoY) and paid subscribers (379,000, up 24% YoY) during the first quarter. ROW includes the results of Molotov, the French live TV streaming service acquired by Fubo in December 2021.
The first quarter also marked a substantial YoY improvement in Fubo’s cash usage, Net Loss and Adjusted EBITDA (AEBITDA) due to what it said was a continued focus on unit economics, cost controls and path to profitability. Fubo ended the quarter with $364.8 million in cash, cash equivalents and restricted cash.
The company also said it will soon unveil new AI-enabled features for its streaming service based on its 2021 acquisition of AI and computer vision company Edisn.ai.
“We are pleased with Fubo’s execution to start 2023—beating expectations across our KPIs—and our increased North America guidance for the year reflects our confidence in our continued leadership in streaming,” said David Gandler, co-founder and CEO, Fubo. “In addition, we remain confident in our path to generate positive cash flow in 2025. While the macro uncertainty continues, the second quarter has started well, with customer engagement ongoing and advertising accelerating sequentially. We look forward to keeping shareholders updated on our progress in the quarters to come.”
