fuboTV (NYSE: FUBO) stock skidded over 8% on Friday, even though the company reported better-than-expected fourth-quarter fiscal 2023 results.
FuboTV (FUBO) has reported fourth-quarter results that have outstripped analysts’ expectations. The company revealed an adjusted EPS of -$0.17, a significant beat compared to the analyst consensus of -$0.31. Revenue for the quarter also exceeded forecasts, reaching $410.2 million compared to the expected $397.66 million.
The streaming service showcased robust growth, witnessing a 12% year-over-year (YoY) increase in paid subscribers, concluding the quarter with an impressive 1.618 million subscribers. The quarter saw a surge in total revenue by 29% YoY, and there was a substantial rise in ad revenue, which concluded at $38.6 million, marking a 15% increase YoY. FuboTV’s average revenue per user (ARPU) reached a record high of $86.65, reflecting a 15% YoY improvement.
FuboTV forecasts continued growth in the first quarter of 2024, with expected paid subscribers ranging between 1.415 million and 1.435 million, reflecting an 11% growth at the midpoint. Total revenue will range between $365 million and $375 million, representing a 17% increase YoY at the midpoint.
Looking ahead to the full year 2024, the company anticipates 1.665 million to 1.685 million paid subscribers, indicating a 4% growth YoY at the midpoint. The company expects the total revenue for the year to range from $1.505 billion to $1.525 billion, indicating an approximate 13% increase year-over-year when considering the average of this range.
In contrast, the Rest of World (ROW) segment will likely see a slight decline in paid subscribers for 2024, with a forecasted range of 390,000 to 410,000, marking a -2% change YoY at the midpoint. However, total revenue for ROW is estimated to grow by 2% YoY at the midpoint, ranging between $31 million and $35 million.
The company’s robust balance sheet, boasting $251 million in cash, cash equivalents, and restricted cash, positions it well to fund its current operating plan and work towards achieving its long-term financial goals.
fuboTV (NYSE: FUBO) Stock Performance
FUBO stock fell 8.21% to close at $1.90 on Friday. The traders had exchanged hands with 49,220,500 (49.22 million) shares compared to the average daily trading volume of 11.56 million.
