Fubo Losses Narrow In Q3; Pay-TV Operator “Encouraged” By Support In Legal Fight Against Disney, Fox And Warner Bros. Discovery

As Fubo‘s legal battle against Disney, Fox and Warner Bros. Discovery continues, the pay-TV operator reported better-than-expected third-quarter results.

Revenue in the period ended September 30 increased 20% over the same frame a year ago to reach $386.2 million. Losses narrowed to 17 cents a share from 29 cents a year ago. Those top- and bottom-line metrics both came in ahead of Wall Street analysts’ expectations.

On a conference call with analysts to discuss the results, the company said it would not address the topic of Fubu’s lawsuit against the companies behind streaming joint venture Venu Sports. Execs did take it on in their quarterly letter to shareholders. The suit is projected to go to trial next October. In the meantime, a federal appeals court is reviewing the U.S. District Court decision to grant a preliminary injunction barring Venu from launching on antitrust grounds.

“We are encouraged that the United States Department of Justice and the New York State Attorney
General are both considering filing amicus briefs supporting Fubo in the pending appeal of the
preliminary injunction before the Second Circuit,” Fubo wrote in the shareholder letter. The letter maintained the fight is “bipartisan,” with politicians from both sides of the aisle expressing support, along with businesses like satellite operators DirecTV and Dish Network.

Fubo CEO David Gandler said on the call that the goal of turning a profit starting in 2025 “remains a priority” and noted that the company’s adjusted EBITDA has improved by $100 million over the past 12 months.

Gandler said the company sees opportunity in the “quickly maturing streaming market,” identifying the roughly 50 million subscribers to traditional MVPDs as potential customers down the line.