Fubo (NYSE: FUBO) ended 2024 with strong financial results, reporting $1.59 billion in total revenue, up 19% year-over-year (YoY) in North America. The company reached 1.676 million paid subscribers in the region, a 4% YoY increase, and recorded $433.8 million in Q4 revenue, reflecting 8% growth compared to the same period in 2023.

A key milestone for Fubo was achieving its first-ever quarter of positive free cash flow, a significant step toward long-term financial sustainability. The company reported a $16.3 million free cash flow gain in Q4, marking a $22.1 million improvement over the previous year.

Fubo also saw improvements in profitability metrics, including a $115 million reduction in net loss, bringing it down to $40.9 million in Q4. Average revenue per user (ARPU) in North America reached $87.90, an all-time high.

However, the company projects a slight subscriber decline in Q1 2025, expecting 1.43M to 1.46M total subscribers, a 4% YoY decrease. This drop is attributed to the loss of TelevisaUnivision content, following a non-renewal of licensing agreements.

“Fubo continued to deliver on our promise to shareholders in 2024, achieving record total revenue and paid subscribers in North America, as well as significant improvements in Adjusted EBITDA and Free Cash Flow,” said David Gandler, co-founder and CEO, Fubo.

“Notable achievements in 2024 included the launch of standalone sports and entertainment skinny bundles as part of our mission to be a Super Aggregator, and expanded availability of our market-first user-configurated Multiview product to Roku devices. We also introduced innovative and interactive connected TV ad formats for brand marketers.

Fubo’s Strategic Shift: Hulu + Live TV Merger

Looking ahead, Fubo is betting on its merger with Hulu + Live TV, a game-changing partnership with The Walt Disney Company. Under the agreement, Disney will hold a 70% economic interest in the combined entity, while Fubo will maintain 30% ownership and retain its leadership team.

The merger is expected to strengthen Fubo’s position in the live TV streaming market, giving it access to Disney’s extensive sports content, including ESPN and ABC networks. The company also plans to launch a new Sports & Broadcasting service in 2025, further expanding its offerings.

“As we look ahead to 2025, Fubo remains focused on delivering to consumers an unparalleled streaming experience with multiple and flexible content options at appropriate price points. This is demonstrated by our recently announced business combination agreement with The Walt Disney Company’s Hulu + Live TV and our plans to launch a new Sports & Broadcasting service, both of which we expect to further scale our business, deliver additional compelling sports content to consumers and bring more competition to the industry”, said David Gandler.

INSIDER TAKE

Fubo’s Q4 results highlight the continued strength of sports-focused streaming, but the company faces hurdles ahead.

• Subscriber Growth is Slowing: While revenue and ARPU are climbing, Fubo’s subscriber base isn’t growing as fast as it once did. The expected Q1 decline raises questions about long-term retention strategies and whether price-conscious consumers will stick with the service.
  
  
• Profitability Still in Progress: Achieving positive free cash flow is a major win, but net losses remain substantial. The company must continue cost control measures while ensuring content investments drive meaningful subscriber engagement.
  
  
• Hulu Merger is a High-Stakes Play: The Disney partnership brings strategic advantages, but Fubo will be the minority partner in the deal. With 70% Disney control, Fubo must navigate potential challenges in decision-making and content negotiations.

Fubo’s trajectory offers valuable lessons in balancing content costs, subscriber retention, and long-term profitability—especially as streaming consolidation continues to reshape the industry.