
Key Points:
- Fubo expects Q2 revenue to exceed $365 million and paid subscribers to top 1.35 million, both lower than Q1 but higher than its initial Q2 forecast.
- The sports streamer projects a Q2 loss of around $8 million, significantly better than last year’s $18 million loss.
- Fubo stock jumped 17.5 percent after the early release of Q2 figures and amid its pending merger with Disney.
The stock price of sports-heavy streaming service Fubo climbed more than 17 percent on Wednesday after the company released some data points related to its upcoming financial earnings report earlier than expected.
In a press release issued Tuesday afternoon, Fubo said its second quarter (Q2) revenue is expected to exceed $365 million, around $20 million more than its prior guidance. The company also said it expects to report more than 1.35 million paid subscribers for the quarter, up from prior guidance of around 1.24 million subscribers.
Fubo has consistently lost money since it became a publicly-traded company, but there are signs that the financial blood loss is stemming, with the streamer saying it expects Q2 losses to total around $8 million, a marked improvement from the $18 million loss it logged during Q2 2024.
The company’s stock price ended at $4.16 on Wednesday, up 17.5 percent from its prior-day close.
The second quarter of the year is always a tough one for streaming cable-like services that offer access to premium sports like football and basketball: With those events over or close to wrapping up, platforms like Fubo usually see a seasonal dip — something executives have affirmed in the past.
During Q1, Fubo reported 1.47 million paid subscribers in North America (down 3 percent on a year-over basis) and overall domestic revenue of $407.9 million. The company’s approximate subscriber and revenue for Q2 as previewed this week would indicate subscriber and revenue dips on a sequential basis.
Fubo is in the process of merging its pay TV business with that of the Walt Disney Company, which would create one of the largest streaming cable TV alternatives on the market. On Tuesday, Fubo withdrew its previously-disclosed profitability target for this year and said it will stop offering financial forecasts until the Disney deal closes.
The company is required to continue filing financial reports with the U.S. Securities and Exchange Commission as long as it remains a publicly-traded company while its merger with Disney is pending.
Fubo is scheduled to report its Q2 financial earnings on August 8.