Sports-centric streaming cable TV alternative Fubo TV reported a second quarter net operating loss just south of $100 million, according to the company’s latest financial disclosure.
The operating loss was driven in large part to a merger back in April with virtual/augmented reality company FaceBank Group, one intended to create a blockbuster online-only entertainment brand.
The outcome of that merger has yet to be fully appreciated, but there are signs that customers continue to flock to Fubo TV’s streaming television offering: The company said it has more than 286,000 paid subscribers, an increase of nearly 50 percent compared to last year.
The number was a slight decrease compared to last year, suggesting the ongoing coronavirus pandemic coupled with Fubo TV’s decision to drop channels owned by AT&T WarnerMedia (CNN, Cartoon Network, TBS, TNT) in favor of those programmed by Disney (ESPN, Freeform, FX) had a negligible effect on its churn rate.
Fubo TV‘s main attraction is its portfolio of sports-centric channels, including those offered by Comcast (NBCSN, regional NBC Sports networks), Fox Corporation (FS1, FS2), Sinclair Broadcast Group (Stadium, Diamond Sports), Univision (TUDN), ViacomCBS (CBS Sports Network) and Al Jazeera Media Group (BeIN Sports). The company offers those channels and a handful of other general entertainment networks starting at $65 a month with no contract.
In a statement, Fubo TV executives said they believe the eventual return of sports will draw new subscribers in while convincing existing customers to stick with the service. Those executives said they expect to grow their subscription base by another 100,000 customers by the end of the current quarter.
