FUBO — fuboTV Inc.

Summary of FUBO Q4 2025 Earnings Call

1. Key Financial Results and Metrics

• Revenue: Reported revenue for Q1 2026 was $1.54 billion, up from $1.11 billion year-over-year. On a pro forma basis, revenue was $1.68 billion, reflecting a 6% increase from the previous year.
• Subscribers: The company ended the quarter with approximately 6.2 million North American subscribers, slightly down from 6.3 million year-over-year.
• Net Loss: Reported net loss was $19.1 million, an improvement from a $38.6 million loss in the prior year. Pro forma net loss improved to $46.4 million compared to $130.4 million last year.
• Adjusted EBITDA: Positive pro forma adjusted EBITDA of $41.4 million, nearly doubling from $22 million in the prior year.
• Cash Position: The company ended the quarter with $458.6 million in cash and equivalents.

2. Strategic Updates and Business Highlights

• Hulu Live Acquisition: The completion of the business combination with Hulu Live is expected to drive greater scale and improved economics. The integration of ad tech into Disney's ad server is nearing completion, anticipated to enhance CPM and fill rates.
• Product Offerings: Strong traction for the fuboTV Sports Service, which includes major networks like ESPN and ABC. A partnership with ESPN is underway to market fuboTV Sports directly to a sports-centric audience.
• Spanish Language Focus: Record-high subscribers for the Latino product, with the launch of a Spanish language bundle on Hulu Live.
• Content Cost Efficiency: Plans to achieve content cost efficiencies and evaluate content alignment as major distribution agreements come up for renewal.

3. Forward Guidance and Outlook

• Growth Focus: The company aims for growth in 2026, emphasizing subscriber expansion through differentiated sports offerings and improved monetization strategies.
• Subscriber Growth: Management is optimistic about subscriber growth, particularly with upcoming events like the Super Bowl and Olympics, although they traditionally do not invest heavily in marketing for the Olympics due to retention concerns.
• Reverse Stock Split: A planned reverse stock split is intended to make shares more accessible to investors and reduce volatility.

4. Bad News, Challenges, or Points of Concern

• NBCUniversal Negotiations: Ongoing challenges with NBCUniversal regarding content renewal discussions, which have been paused and may impact subscriber retention. The removal of NBC content has had a modest impact on subscriber numbers, better than expected.
• Competitive Pressures: The competitive landscape remains challenging, particularly with YouTube TV as a major competitor, which has a larger subscriber base.
• Market Conditions: The company is navigating uncertainties in the market, particularly regarding programming and advertising revenue, which could affect future guidance.

5. Notable Q&A Insights

• NBC Content: Management expressed confidence in their ability to retain and grow subscribers despite the loss of NBC content, citing strong performance metrics in their sports-focused offerings.
• Synergies from Merger: Clarification on expected synergies from the Hulu Live acquisition, with a focus on ad sales integration and content procurement efficiencies.
• Future Innovations: Discussion on potential innovations in mobile and betting capabilities in collaboration with Disney and ESPN, indicating a focus on enhancing user engagement and experience.
• Market Strategy: The company is looking to leverage Disney's extensive reach for more effective marketing strategies, aiming to reduce customer acquisition costs.

Overall, FuboTV's Q1 2026 results reflect a strong start as a combined entity with Hulu Live, showcasing growth in revenue and improved profitability metrics, while also addressing challenges in content negotiations and competitive pressures.