Core Viewpoint - FuboTV is positioned for potential growth, with two promising paths ahead, particularly following its deal with Disney, which could significantly enhance its market presence and financial stability [1][4]. Company Overview - FuboTV is one of only eight stocks with market caps over $1 billion that have more than doubled in value this year, driven by a deal with Disney that involves a 70% stake exchange for Hulu + Live TV [2]. - The company had 1.7 million paid subscribers at the end of 2024, with an average revenue per user of $87.90 per month, leading to $1.6 billion in revenue for the previous year, marking a 19% increase from 2023 [6]. Financial Performance - FuboTV's losses are decreasing, and it generated positive free cash flow for the first time in its latest quarter. Analysts project revenue to grow to $2.2 billion by 2027, a 35% increase from current levels [7]. - The company is expected to achieve profitability on an adjusted basis by 2026 and on a reported basis by 2027, with a compounded annual revenue growth rate of 10% to 11% [8]. Strategic Partnerships - The deal with Disney could provide FuboTV with a $220 million cash settlement from Venu Sports, which collapsed shortly after Fubo's legal intervention [3][9]. - If the Disney deal does not materialize, FuboTV would still receive a $130 million termination fee, enhancing its financial position [9]. Market Position and Growth Potential - FuboTV's current market cap is less than $1.1 billion, with an enterprise value close to $1.3 billion. The addition of potential cash settlements could significantly improve its financial standing [10]. - With Disney as a 70% stakeholder, FuboTV could leverage Disney's marketing capabilities and subscriber base, which includes 4.6 million Hulu + Live TV subscribers, potentially increasing its market cap to over $3.6 billion [11][12]. Future Outlook - The combined entity of FuboTV and Disney could become the second-largest live TV platform in the U.S., with a combined audience of 6.3 million premium accounts [13]. - While FuboTV alone may be more speculative, the partnership with Disney presents a stronger opportunity for growth, with a potential to double or even triple its market cap [14].

fuboTV (FUBO) shares have rallied 53.5% over the past year compared with the Zacks Consumer Discretionary sector’s appreciation of 11.5% and the Zacks Broadcast Radio and Television industry’s return of 52.6%.The company’s performance has been fueled by its agreement with Disney (DIS) to merge Hulu + Live TV and fubo, which made FUBO the sixth largest player in the pay TV space by subscribers. It is behind large players like Comcast (CMCSA) and Charter (CHTR) . Comcast provides high-speed Internet with reli ...

PART I [Item 1. Business](index=7&type=section&id=Item%201.%20Business) Fubo is a sports-first live TV streaming platform, leveraging content and tech for subscriber growth and monetization, recently announcing a business combination with Disney and Hulu - Fubo's mission is to aggregate premium sports, news, and entertainment content into a single app, aiming to transcend the current TV model[26](index=26&type=chunk) - The core business model is 'come for the sports, stay for the entertainment,' leveraging sports to acquire subscribers efficiently, then using technology and data to drive engagement and monetize through subscription fees and digital advertising[37](index=37&type=chunk)[31](index=31&type=chunk) - On January 6, 2025, Fubo entered a business combination agreement with Disney and Hulu, forming 'Newco,' where Hulu will hold a **70% economic and voting interest**, with Fubo holding **30%**[33](index=33&type=chunk)[34](index=34&type=chunk) Paid Subscribers (as of December 31) | Region | 2024 (millions) | 2023 (millions) | Change (YoY) | |:---|:---|:---|:---| | North America | 1.7 | 1.6 | +0.1 | | Rest of World | 0.362 | 0.406 | -0.044 | | **Total** | **2.062** | **2.006** | **+0.056** | Average Revenue Per User (ARPU) (Years Ended December 31) | Region | 2024 | 2023 | Change (YoY) | |:---|:---|:---|:---| | North America ARPU | $85.97 | $82.25 | +$3.72 | | Rest of World ARPU | $7.49 | $6.82 | +$0.67 | [Our Mission](index=7&type=section&id=Our%20Mission) Fubo's mission is to aggregate premium sports, news, and entertainment content into a single app, redefining traditional TV - Fubo aims to aggregate premium sports, news, and entertainment content through a single app to transcend the current TV model[26](index=26&type=chunk) [Overview](index=7&type=section&id=Overview) Fubo is a sports-first, Pay TV replacement platform using proprietary tech and data to enhance user experience and advertising - Fubo is a sports-first, Pay TV replacement product offering live and on-demand sports, news, and entertainment content[27](index=27&type=chunk) - The platform utilizes proprietary technology and first-party data to personalize content discovery, enhance user experience, and improve advertising capabilities[29](index=29&type=chunk)[30](index=30&type=chunk) - The majority of Fubo's revenue in 2022, 2023, and 2024 was generated from subscription services and advertising sales in the United States, with operations also in Canada, Spain, and France[31](index=31&type=chunk) [Recent Developments — Business Combination](index=8&type=section&id=Recent%20Developments%20%E2%80%94%20Business%20Combination) Fubo announced a business combination with Disney and Hulu on January 6, 2025, forming Newco with Hulu holding a 70% interest - Fubo entered a business combination agreement with Disney and Hulu on January 6, 2025, to form a new entity, Newco[33](index=33&type=chunk) - Hulu will contribute assets related to its 'Hulu + Live TV' service to Newco, gaining a **70% economic and voting interest**, while Fubo will hold a **30% interest**[33](index=33&type=chunk) - The completion of the Business Combination is contingent on several conditions, including shareholder approval, regulatory clearances, and the absence of prohibitive laws[34](index=34&type=chunk) [Industry Overview](index=8&type=section&id=Industry%20Overview) The streaming industry is growing rapidly as consumers shift from traditional Pay TV, creating opportunities for comprehensive replacements - Streaming services are rapidly growing as consumers cut the cord from traditional Pay TV, favoring superior customer experience, competitive pricing, and better value[35](index=35&type=chunk) - Sports and news content, traditionally a stronghold of Pay TV, are now a key driver for streaming platforms like Fubo to offer a compelling Pay TV replacement[36](index=36&type=chunk) [Our Business Model](index=9&type=section&id=Our%20Business%20Model) Fubo's model focuses on acquiring subscribers via sports, driving engagement with tech, and monetizing through subscriptions and advertising - Fubo's business model is centered on acquiring subscribers via sports content, enhancing engagement through technology and data, and increasing Average Revenue Per User (ARPU) via subscriptions and advertising[37](index=37&type=chunk) - The company's core strategies include growing its paid subscriber base, optimizing content and retention, and increasing monetization through subscription and advertising[41](index=41&type=chunk) [Our Offerings](index=9&type=section&id=Our%20Offerings) Fubo offers flexible subscription packages with 100+ channels, providing value to advertisers and content providers through engaged audiences - Fubo offers flexible subscription packages with over **100+ channels**, including top Nielsen-rated networks and Regional Sports Networks (RSNs), with optional 'Attachments' for customization[38](index=38&type=chunk) - The platform provides advertisers with a growing, engaged live audience and unskippable ad inventory, leveraging innovative ad formats and data for measurability and relevancy[39](index=39&type=chunk) - Content providers benefit from Fubo's platform by monetizing and distributing their content to a highly engaged audience, counteracting shrinking viewership in traditional Pay TV[40](index=40&type=chunk) [Seasonality](index=9&type=section&id=Seasonality) Fubo experiences significant seasonality, with higher revenue and subscriber growth in Q3 and Q4 driven by major sports and holiday advertising - Fubo generates significantly higher revenue and subscriber additions in the third and fourth quarters, driven by the National Football League and college football seasons[41](index=41&type=chunk) - Operating results can also be affected by non-annual major sporting events (e.g., World Cup, Olympics) and typically see a decline in total subscribers from Q4 to Q1/Q2[41](index=41&type=chunk) [Our Growth Strategies](index=10&type=section&id=Our%20Growth%20Strategies) Fubo's growth strategies focus on expanding subscribers, increasing ARPU via pricing and advertising, optimizing content, and international expansion - Fubo aims to efficiently grow its subscriber base, which reached approximately **1.7 million in North America** and **362,000 in Rest of World** as of December 31, 2024[42](index=42&type=chunk) - ARPU expansion efforts include price increases, attachment sales, and advertising revenue growth, with North America ARPU at **$85.97 in 2024** (vs. $82.25 in 2023) and Rest of World ARPU at **$7.49 in 2024** (vs. $6.82 in 2023)[42](index=42&type=chunk) - The company plans further investment in its advertising sales team, technology, and infrastructure, leveraging data to deliver relevant advertising and improve campaign optimization, with advertising revenue approximately **$115.2 million in 2024**, a slight decrease from $115.4 million in 2023[42](index=42&type=chunk) - Other strategies include enhancing the content portfolio with cost vigilance, investing in technology and data capabilities (e.g., MultiView, AI, Molotov integration), and expanding international operations in Canada, Spain, and France[42](index=42&type=chunk) [Intellectual Property](index=11&type=section&id=Intellectual%20Property) Fubo protects its intellectual property through patents, trademarks, copyrights, and licenses, holding multiple patents and trademarks globally - Fubo relies on a combination of patent, trademark, copyright, and other intellectual property laws, confidentiality agreements, and license agreements to protect its rights[43](index=43&type=chunk) - As of December 31, 2024, Fubo had **five issued U.S. utility patents**, **five granted foreign utility patents**, and **eighteen granted foreign design registrations**[45](index=45&type=chunk) - The company also held **thirty-seven registered trademarks globally**, including 'fuboTV' in the United States and the European Union[46](index=46&type=chunk) [Competition](index=11&type=section&id=Competition) Fubo operates in a highly competitive TV streaming market, competing with traditional and virtual providers based on content, features, and pricing - The TV streaming market is highly competitive, with Fubo competing against traditional Pay TV operators (e.g., DirecTV, Comcast) and vMVPDs (e.g., YouTube TV, Hulu + Live TV, Sling TV)[47](index=47&type=chunk) - Competition is based on content offerings (especially live sports), platform features, user experience, brand awareness, and value proposition[48](index=48&type=chunk) - Fubo also competes for advertisers with other streaming platforms and traditional media, emphasizing its ability to provide a large, engaged audience and innovative ad formats[49](index=49&type=chunk) [Our People and Human Capital Management](index=12&type=section&id=Our%20People%20and%20Human%20Capital%20Management) Fubo prioritizes its 590 global employees, investing in talent development, competitive compensation, and health and safety programs - As of December 31, 2024, Fubo had approximately **590 employees globally**, with **400 in North America** and **190 in Europe and India**[52](index=52&type=chunk) - The company focuses on talent development, ongoing learning, and fostering engagement and transparency through training programs, all-hands meetings, and newsletters[53](index=53&type=chunk) - Fubo offers competitive compensation packages, including base salary, performance-based cash bonuses, and equity awards, along with a variety of benefits like 401(k) and health insurance[55](index=55&type=chunk) [Government Regulation](index=13&type=section&id=Government%20Regulation) Fubo is subject to various domestic and foreign regulations, with high and increasing compliance costs and potential business impacts - Fubo is subject to numerous domestic and foreign laws and regulations covering user privacy, data protection, consumer protection, and Internet-delivered streaming services[57](index=57&type=chunk) - Compliance costs are high and likely to increase, with potential for significant liabilities and penalties if laws and regulations are not met[57](index=57&type=chunk) [Data Protection and Privacy](index=13&type=section&id=Data%20Protection%20and%20Privacy) Fubo is subject to evolving global data protection and privacy laws, with non-compliance risking reputational and financial harm - Fubo is subject to various laws and regulations governing the collection, use, and security of personal information, which are rapidly evolving in the U.S. and internationally[58](index=58&type=chunk) - Any actual or perceived failure to comply with these requirements could lead to investigations, fines, and adverse effects on reputation and financial condition[58](index=58&type=chunk) [Corporate Information](index=14&type=section&id=Corporate%20Information) FuboTV Inc., incorporated in 2009 and renamed in 2020, has its principal executive offices in New York - FuboTV Inc. was incorporated in 2009 and changed its name to fuboTV Inc. on August 10, 2020[60](index=60&type=chunk) - The company's principal executive offices are located at 1290 Avenue of the Americas, New York, NY[60](index=60&type=chunk) [Available Information](index=14&type=section&id=Available%20Information) Fubo provides investor information, including SEC filings and reports, on its Investor Relations website and through public announcements - Fubo provides investor information, including SEC filings, on its Investor Relations website (ir.fubo.tv)[61](index=61&type=chunk) - Material information is disseminated through SEC filings, the investor relations website, press releases, and social media (X, Instagram, Facebook, LinkedIn) to ensure broad, non-exclusionary distribution[62](index=62&type=chunk) [Item 1A. Risk Factors](index=15&type=section&id=Item%201A.%20Risk%20Factors) Fubo faces risks from operating losses, capital needs, seasonality, intense competition, content acquisition, the Disney/Hulu combination, and regulatory and IP challenges - Fubo has incurred operating losses and expects to continue doing so, potentially requiring additional capital that may not be available on acceptable terms[65](index=65&type=chunk)[66](index=66&type=chunk) - Revenue is subject to seasonality, with higher levels in Q3 and Q4 due to sports, making results difficult to predict and potentially harming the business if subscriber behavior falls below expectations[69](index=69&type=chunk)[70](index=70&type=chunk) - The TV streaming market is highly competitive, with many large technology and entertainment companies, posing challenges for Fubo to differentiate itself and attract/retain subscribers[141](index=141&type=chunk)[142](index=142&type=chunk)[144](index=144&type=chunk) [Risks Related to Our Financial Position and Capital Needs](index=15&type=section&id=Risks%20Related%20to%20Our%20Financial%20Position%20and%20Capital%20Needs) Fubo faces risks from ongoing losses, capital needs, revenue seasonality, substantial debt, and limitations on net operating loss carryforwards - Fubo has incurred net losses from inception, with a net loss from continuing operations of **$177.8 million** for the year ended December 31, 2024, and expects future operating expenses to increase[65](index=65&type=chunk) - The company may require additional capital for business growth, platform enhancements, marketing, and international expansion, which might not be available on acceptable terms or could dilute existing shareholders[66](index=66&type=chunk)[67](index=67&type=chunk) Outstanding Indebtedness (as of December 31, 2024) | Debt Type | Principal Amount (millions) | |:---|:---| | 2026 Convertible Notes | $144.8 | | 2029 Convertible Notes | $177.5 | | Other notes | $8.1 | | **Total Outstanding Indebtedness** | **$330.3** | - Fubo's revenue is subject to seasonality, with significantly higher revenue and subscriber additions in Q3 and Q4, primarily driven by the National Football League and college football[69](index=69&type=chunk) - As of December 31, 2024, Fubo had federal net operating loss carryforwards of approximately **$1,458.4 million**, but their utilization may be limited by Section 382 of the Internal Revenue Code due to ownership changes[71](index=71&type=chunk)[72](index=72&type=chunk) [Risks Relating to the Business Combination](index=19&type=section&id=Risks%20Relating%20to%20the%20Business%20Combination) The Disney/Hulu Business Combination faces risks of non-completion, termination fees, business uncertainties, and Fubo's post-combination dependence on Newco distributions - The Business Combination is subject to several closing conditions, including shareholder and regulatory approvals, and may not be completed on the contemplated terms or timeline, or at all[84](index=84&type=chunk)[85](index=85&type=chunk) - Failure to complete the Business Combination could result in Fubo paying a **$50 million termination fee** and increased volatility or decline in its stock price[86](index=86&type=chunk) - Post-Business Combination, Fubo will be a holding company dependent on distributions from Newco to pay taxes and expenses, including substantial payments to Hulu under a Tax Receivables Agreement[94](index=94&type=chunk)[95](index=95&type=chunk)[99](index=99&type=chunk) [Risks Related to Our Relationships with Content Providers, Customers and Other Third Parties](index=24&type=section&id=Risks%20Related%20to%20Our%20Relationships%20with%20Content%20Providers%2C%20Customers%20and%20Other%20Third%20Parties) Fubo's business relies heavily on content providers and third parties, facing risks from content commitments, renewal terms, subscriber retention, and cloud service dependency - Long-term content commitments may limit operating flexibility and adversely affect liquidity if subscriber acquisition and retention do not meet expectations[104](index=104&type=chunk)[106](index=106&type=chunk) - Fubo's ability to attract and retain subscribers is impacted by its capacity to provide compelling content at competitive prices, and the loss of popular content or channels could harm the business[108](index=108&type=chunk)[109](index=109&type=chunk)[110](index=110&type=chunk) - The company relies on Google Cloud Platform (GCP) and Amazon Web Services (AWS) for critical operations, and any disruption or competitive action by these providers could adversely impact Fubo's business[131](index=131&type=chunk) - Agreements with certain distribution partners may contain parity obligations, limiting Fubo's ability to pursue unique partnerships or offer differentiated features across platforms[114](index=114&type=chunk) [Risks Related to Our Financial Reporting and Disclosure](index=29&type=section&id=Risks%20Related%20to%20Our%20Financial%20Reporting%20and%20Disclosure) Fubo faces financial reporting risks from internal control weaknesses, metric inaccuracies, and potential impairment of goodwill or long-lived assets - Failure to maintain an effective system of internal controls over financial reporting could lead to a loss of investor confidence and adverse effects on Fubo's stock price[132](index=132&type=chunk)[133](index=133&type=chunk) - Key metrics (e.g., ARPU, subscribers) and financial forecasts are subject to inherent measurement challenges and estimates, and inaccuracies or failure to meet guidance could cause the stock price to decline[134](index=134&type=chunk)[135](index=135&type=chunk)[138](index=138&type=chunk) - Impairment in the carrying value of goodwill or long-lived assets, which Fubo has experienced in prior periods, could negatively affect operating income and net assets[139](index=139&type=chunk)[140](index=140&type=chunk) [Risks Related to Our Products and Technologies and Competition](index=31&type=section&id=Risks%20Related%20to%20Our%20Products%20and%20Technologies%20and%20Competition) Fubo faces intense competition, relies on OTT advertising and technology (including AI), and risks product failure, inaccuracy, and evolving regulatory scrutiny - The TV streaming market is highly competitive, with Fubo competing against well-resourced companies that can subsidize services, making subscriber acquisition and retention challenging[141](index=141&type=chunk)[142](index=142&type=chunk)[144](index=144&type=chunk) - Fubo's future growth depends on the acceptance and growth of OTT advertising and its ability to expand content beyond its primary live sports streaming reputation[146](index=146&type=chunk)[147](index=147&type=chunk)[148](index=148&type=chunk) - The company utilizes AI and machine learning technologies, which present risks such as inadequate design, biased data, and evolving regulatory landscapes (e.g., EU AI Act), potentially affecting business efficiency and financial results[158](index=158&type=chunk)[159](index=159&type=chunk)[160](index=160&type=chunk) - Fubo ceased its Fubo Sportsbook operations in October 2022, but past involvement in sports wagering exposed it to complex and evolving gaming laws, with potential for future claims or adverse regulatory changes[153](index=153&type=chunk)[154](index=154&type=chunk) [Risks Related to Regulation](index=36&type=section&id=Risks%20Related%20to%20Regulation) Fubo is subject to diverse regulations (Internet, privacy, tax), with changes potentially increasing costs, altering business models, or causing penalties - Fubo is subject to general business regulations and laws specific to the Internet and television broadcasting, including those related to user privacy, data protection, and consumer protection[164](index=164&type=chunk) - Potential expansion of FCC regulations to vMVPDs, stricter consumer protection laws (e.g., California's Automatic Renewal Law), and evolving international tax laws could increase compliance costs and impact business operations[165](index=165&type=chunk)[167](index=167&type=chunk)[172](index=172&type=chunk) - The company faces risks related to payment processing, potential fines from the IRS for delinquent tax filings, and sales/similar tax collection obligations in various jurisdictions[168](index=168&type=chunk)[169](index=169&type=chunk)[170](index=170&type=chunk) [Risks Related to Our Operations](index=38&type=section&id=Risks%20Related%20to%20Our%20Operations) Fubo's operations face risks from legal proceedings, customer support quality, third-party reliance, international expansion, economic conditions, and strategic transactions - Fubo is subject to legal proceedings, including past class action lawsuits and antitrust claims (e.g., against Disney, Fox, WBD), which can lead to unforeseen expenses and divert management's time[174](index=174&type=chunk)[175](index=175&type=chunk)[176](index=176&type=chunk) - The company's ability to attract and retain subscribers depends on adequate customer support, which relies on managing and training third-party BPO providers[177](index=177&type=chunk) - International expansion plans in Canada, Spain, and France subject Fubo to economic, political, and regulatory risks, including differing legal requirements, competitive pressures, and currency fluctuations[178](index=178&type=chunk)[179](index=179&type=chunk)[180](index=180&type=chunk) - Worldwide economic conditions, including inflation, can adversely affect advertising spending and consumer subscription levels, impacting Fubo's financial performance[186](index=186&type=chunk)[187](index=187&type=chunk) [Risks Related to Privacy, Consumer Protection and Cybersecurity](index=42&type=section&id=Risks%20Related%20to%20Privacy%2C%20Consumer%20Protection%20and%20Cybersecurity) Fubo faces extensive privacy, consumer protection, and cybersecurity risks, with non-compliance or breaches potentially causing significant costs and reputational harm - Fubo is subject to various international, federal, and state laws (e.g., CCPA, GDPR, VPPA) governing personal information processing, with increasing scrutiny and potential for significant compliance costs and liabilities[192](index=192&type=chunk)[193](index=193&type=chunk)[195](index=195&type=chunk) - The company's information technology systems and third-party cloud services are vulnerable to cybersecurity threats, including cyber-attacks, malware, and data breaches, which could lead to service disruptions, data loss, or intellectual property theft[203](index=203&type=chunk)[204](index=204&type=chunk) - Despite a cybersecurity risk management program, the evolving nature of threats means Fubo may be unable to anticipate or prevent all unauthorized access, potentially resulting in legal claims, regulatory actions, and reputational harm[206](index=206&type=chunk) [Risks Related to Our Intellectual Property](index=47&type=section&id=Risks%20Related%20to%20Our%20Intellectual%20Property) Fubo faces IP litigation risks, relies on third-party licenses, and risks diminished brand value from inadequate protection or open-source software limitations - Fubo could face costly intellectual property litigation, including claims of patent, trademark, or copyright infringement, which may divert resources and restrict its ability to use current technology or market its service[209](index=209&type=chunk)[210](index=210&type=chunk) - The company's ability to stream content relies on obtaining licenses from content providers and rights holders, and an inability to secure these on favorable terms could harm its business[211](index=211&type=chunk)[213](index=213&type=chunk)[214](index=214&type=chunk) - Inadequate protection of Fubo's patents, trade secrets, trademarks, and copyrights could diminish the value of its brand and intangible assets, while the use of open-source software may impose limitations on commercialization[215](index=215&type=chunk)[216](index=216&type=chunk)[217](index=217&type=chunk)[218](index=218&type=chunk) [Risks Related to the 2026 Convertible Notes](index=49&type=section&id=Risks%20Related%20to%20the%202026%20Convertible%20Notes) Fubo risks default on 2026 Convertible Notes due to insufficient funds, with conversion features impacting liquidity and accounting affecting EPS - Fubo may not have sufficient cash or financing to settle conversions or repurchase its 2026 Convertible Notes upon a fundamental change or at maturity, potentially leading to default[220](index=220&type=chunk)[221](index=221&type=chunk) - The conditional conversion feature, if triggered, could adversely affect liquidity by requiring cash payments[222](index=222&type=chunk) - The accounting method for convertible debt (ASU 2020-06) requires the 'if-converted' method, which could adversely affect diluted earnings per share[223](index=223&type=chunk) [Risks Related to the 2029 Convertible Notes](index=50&type=section&id=Risks%20Related%20to%20the%202029%20Convertible%20Notes) Fubo risks default on 2029 Convertible Notes, with conversion features impacting liquidity and indenture provisions restricting financial flexibility - Fubo may not have the ability to raise funds necessary to settle conversions or repurchase its 2029 Convertible Notes upon a fundamental change or at maturity, risking default[225](index=225&type=chunk)[226](index=226&type=chunk) - The conditional conversion feature, if triggered, could adversely affect liquidity and potentially reclassify the outstanding principal as a current liability[227](index=227&type=chunk) - The 2029 notes indenture and Exchange Agreement restrict Fubo's operating and financial flexibility, including limitations on incurring additional secured indebtedness and certain business transactions[229](index=229&type=chunk)[230](index=230&type=chunk)[231](index=231&type=chunk) [Risks Related to Ownership of our Common Stock](index=52&type=section&id=Risks%20Related%20to%20Ownership%20of%20our%20Common%20Stock) Fubo's common stock faces high volatility, potential dilution from future sales, and no anticipated cash dividends, requiring reliance on price appreciation - The market price of Fubo's common stock is subject to wide fluctuations due to macroeconomic conditions, operating results, competition, and technical trading factors[233](index=233&type=chunk) - Future sales of substantial amounts of common stock by existing shareholders or through additional equity issuances could cause the stock price to decline and dilute existing ownership[234](index=234&type=chunk)[238](index=238&type=chunk) - Fubo does not anticipate declaring cash dividends in the foreseeable future, meaning investors must rely on stock price appreciation for future gains[237](index=237&type=chunk) [General Risk Factors](index=53&type=section&id=General%20Risk%20Factors) General risks include inadequate insurance coverage and negative impacts from limited or adverse analyst coverage on stock performance - Fubo's insurance may not provide adequate coverage against all claims, and losses could exceed policy limits, adversely affecting business[240](index=240&type=chunk) - Limited analyst coverage or adverse/misleading research reports could negatively impact Fubo's stock price and trading volume[239](index=239&type=chunk) [Item 1B. Unresolved Staff Comments](index=54&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) No unresolved staff comments to report [Item 1C. Cybersecurity](index=55&type=section&id=Item%201C.%20Cybersecurity) Fubo implements an ISO 27001-based cybersecurity program with board oversight, risk assessments, and an incident response plan - Fubo's cybersecurity risk management program is based on the ISO 27001 framework and integrated into its enterprise risk management, with no identified material threats as of the report date[242](index=242&type=chunk)[244](index=244&type=chunk) - Key elements include risk assessments, a dedicated security team, use of external providers, security tools, employee training, and an incident response plan[244](index=244&type=chunk) - The Board of Directors delegates cybersecurity risk oversight to the Audit Committee, which receives quarterly reports from management and internal cybersecurity personnel[245](index=245&type=chunk)[246](index=246&type=chunk) [Cybersecurity Risk Management and Strategy](index=55&type=section&id=Cybersecurity%20Risk%20Management%20and%20Strategy) Fubo's ISO 27001-guided cybersecurity program includes risk assessments, a security team, and an incident response plan, with no material threats identified - Fubo's cybersecurity risk management program is designed and assessed based on the ISO 27001 framework and other industry standards[242](index=242&type=chunk) - Key elements include risk assessments, a security team, external service providers, security tools, employee training, and an incident response plan[244](index=244&type=chunk) - As of the report date, Fubo has not identified any cybersecurity threats that have materially affected its operations, business strategy, results, or financial condition[244](index=244&type=chunk) [Cybersecurity Governance](index=56&type=section&id=Cybersecurity%20Governance) The Board delegates cybersecurity oversight to the Audit Committee, with management and a dedicated committee responsible for risk assessment - The Board of Directors delegates cybersecurity risk oversight to the Audit Committee, which receives quarterly reports from management and internal cybersecurity personnel[245](index=245&type=chunk)[246](index=246&type=chunk) - The management team, including the CFO, CLO, and CTO, is responsible for assessing and managing cybersecurity threats and oversees the overall cybersecurity risk management program[247](index=247&type=chunk) - A Cybersecurity Governance Committee, comprising leadership from various corporate functions, meets quarterly to align on security decisions, review metrics, and assess security enhancements[248](index=248&type=chunk) [Item 2. Properties](index=56&type=section&id=Item%202.%20Properties) Fubo's headquarters are in New York, occupying 55,000 sq ft, with other global leased spaces deemed adequate - Fubo's worldwide corporate headquarters are in New York, New York, occupying **55,000 square feet** under a lease expiring in 2035[249](index=249&type=chunk) - The company also leases various office and shared workspaces throughout the United States and internationally, deeming current facilities suitable for its needs[249](index=249&type=chunk) [Item 3. Legal Proceedings](index=56&type=section&id=Item%203.%20Legal%20Proceedings) Fubo is involved in a patent lawsuit, recently settled an antitrust case for $220.0 million, and reached an agreement in principle for VPPA class actions - Fubo is defending against a patent infringement lawsuit filed by DISH Technologies, LLC, which is currently stayed pending inter partes review by the PTAB[251](index=251&type=chunk)[253](index=253&type=chunk)[254](index=254&type=chunk) - On January 6, 2025, Fubo settled its antitrust lawsuit against Disney, Fox, and WBD, receiving an aggregate cash payment of **$220.0 million** and agreeing to dismiss the lawsuit with prejudice[256](index=256&type=chunk) - The company is a defendant in putative class action complaints under the Video Privacy Protection Act (VPPA) and has reached an agreement in principle to resolve these matters on a class basis[257](index=257&type=chunk) [Item 4. Mine Safety Disclosures](index=57&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable PART II [Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=58&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) Fubo's common stock trades on NYSE under 'FUBO,' with 288 holders of record, and no cash dividends are anticipated - Fubo's common stock trades on the New York Stock Exchange under the symbol 'FUBO'[261](index=261&type=chunk) - As of February 28, 2025, there were **288 holders of record** of the company's common stock[261](index=261&type=chunk) - Fubo has not declared or paid any cash dividends on its common stock and intends to retain future earnings for business operations and expansion[262](index=262&type=chunk) [Market Information](index=58&type=section&id=Market%20Information) Fubo's common stock is listed and traded on the New York Stock Exchange under 'FUBO' - Fubo's common stock trades on the New York Stock Exchange under the symbol 'FUBO'[261](index=261&type=chunk) [Holders of Record](index=58&type=section&id=Holders%20of%20Record) As of February 28, 2025, Fubo had 288 holders of record for its common stock - As of February 28, 2025, there were **288 holders of record** of Fubo's common stock[261](index=261&type=chunk) [Dividend Policy](index=58&type=section&id=Dividend%20Policy) Fubo has not paid cash dividends and plans to retain future earnings for business expansion, with no dividends anticipated - Fubo has not declared or paid any cash dividends on its common stock and does not anticipate paying any in the foreseeable future[262](index=262&type=chunk) - The company intends to retain future earnings, if any, to finance the operation and expansion of its business[262](index=262&type=chunk) [Recent Sales of Unregistered Securities; Purchases of Equity Securities by the Issuer or Affiliated Purchasers](index=58&type=section&id=Recent%20Sales%20of%20Unregistered%20Securities%3B%20Purchases%20of%20Equity%20Securities%20by%20the%20Issuer%20or%20Affiliated%20Purchasers) No recent sales of unregistered securities or equity purchases by the issuer or affiliated purchasers are reported - There were no recent sales of unregistered securities or purchases of equity securities by the issuer or affiliated purchasers[263](index=263&type=chunk) [Stock Performance Graph](index=58&type=section&id=Stock%20Performance%20Graph) This section presents a stock performance graph comparing Fubo's common stock against industry indices from October 2020 to December 2024 - The report includes a stock performance graph comparing Fubo's common stock against the Russell 3000 Index and the S&P Media and Entertainment Index from October 8, 2020, to December 31, 2024[265](index=265&type=chunk) [Item 6. [Reserved]](index=59&type=section&id=Item%206.%20%5BReserved%5D) This item is reserved and contains no information [Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=60&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Fubo's 2024 financial results show increased revenue, reduced operating loss, and improved gross profit, driven by subscription growth and strategic management of costs and liquidity Consolidated Revenues (in thousands) | Revenue Type | 2024 | 2023 | Change (YoY) | |:---|:---|:---|:---| | Subscription | $1,500,101 | $1,249,579 | +$250,522 | | Advertising | $115,200 | $115,370 | -$170 | | Other | $7,495 | $3,276 | +$4,219 | | **Total Revenues** | **$1,622,796** | **$1,368,225** | **+$254,571** | Key Financial Performance (in thousands) | Metric | 2024 | 2023 | Change (YoY) | |:---|:---|:---|:---| | Operating Loss | $(196,021) | $(289,350) | +$93,329 | | Net Loss from Continuing Operations | $(177,778) | $(293,102) | +$115,324 | | Gross Profit | $203,900 | $86,100 | +$117,800 | | Gross Margin | 12.6% | 6.3% | +6.3 pp | | Net Loss | $(176,091) | $(287,917) | +$111,826 | Paid Subscribers (as of December 31) | Region | 2024 (millions) | 2023 (millions) | Change (YoY) | |:---|:---|:---|:---| | North America | 1.7 | 1.6 | +0.1 | | Rest of World | 0.4 | 0.4 | 0 | | **Total** | **2.1** | **2.0** | **+0.1** | Average Revenue Per User (ARPU) (Years Ended December 31) | Region | 2024 | 2023 | Change (YoY) | |:---|:---|:---|:---| | North America ARPU | $85.97 | $82.25 | +$3.72 | | Rest of World ARPU | $7.49 | $6.82 | +$0.67 | [Overview](index=60&type=section&id=Overview) Fubo is a sports-first streaming platform monetizing subscriptions and advertising in North America and internationally, having ceased sportsbook operations - Fubo is a sports-first, cable TV replacement streaming platform for sports, news, and entertainment, with revenues primarily from subscriptions and advertising in the U.S., Canada, Spain, and France[271](index=271&type=chunk)[273](index=273&type=chunk) - The business model leverages sporting events for subscriber acquisition, uses technology and data for engagement, and monetizes through higher average revenue per user (ARPU)[272](index=272&type=chunk) - Fubo ceased operation of its online mobile sportsbook, Fubo Sportsbook, in October 2022, with its results presented as discontinued operations[275](index=275&type=chunk) [Recent Developments - Business Combination](index=61&type=section&id=Recent%20Developments%20-%20Business%20Combination) Fubo announced a business combination with Disney and Hulu on January 6, 2025, forming Newco with Hulu holding a 70% interest - Fubo entered a business combination agreement with Disney and Hulu on January 6, 2025, to form 'Newco,' with Hulu holding a **70% economic and voting interest** and Fubo holding **30%**[276](index=276&type=chunk) - The transaction involves Hulu contributing assets related to its 'Hulu + Live TV' service and Fubo undergoing an Up-C Reorganization[276](index=276&type=chunk) - Completion of the Business Combination is subject to several closing conditions, including shareholder and regulatory approvals[277](index=277&type=chunk) [Segments](index=61&type=section&id=Segments) Fubo now operates as a single reportable segment for its continuing streaming operations after ceasing Fubo Sportsbook - Fubo operates as a single reportable segment for its continuing operations, following the dissolution of Fubo Gaming and termination of Fubo Sportsbook[278](index=278&type=chunk) [Key Factors and Trends Impacting Performance](index=62&type=section&id=Key%20Factors%20and%20Trends%20Impacting%20Performance) Fubo's performance is influenced by brand awareness, subscriber trends, cord-cutting, ad spend shifts, content costs, seasonality, and macroeconomic factors - Key factors impacting performance include brand awareness, subscriber acquisition and retention, and the ongoing trend of cord-cutting from traditional Pay TV to streaming services[279](index=279&type=chunk)[280](index=280&type=chunk)[281](index=281&type=chunk) - The shift of advertising budgets from traditional Pay TV to Connected TV is crucial for Fubo's business model, but its growth depends on advertisers perceiving meaningful benefits of OTT advertising[282](index=282&type=chunk) - Content acquisition and renewal costs are the largest component of operating expenses, and increases or unfavorable terms could pressure margins, with seasonality, driven by sports, and macroeconomic factors also significantly affecting results[284](index=284&type=chunk)[285](index=285&type=chunk)[286](index=286&type=chunk) [Components of Results of Operations](index=64&type=section&id=Components%20of%20Results%20of%20Operations) Fubo's results comprise subscription, advertising, and other revenues, various operating expenses, and other income/expense, with discontinued operations reported separately - Revenues are categorized into Subscription (from plans sold via website and app stores), Advertising (fees for ad impressions), and Other (distribution, commissions, carriage fees)[288](index=288&type=chunk)[289](index=289&type=chunk)[290](index=290&type=chunk) - Operating expenses include subscriber related expenses (affiliate distribution rights, content streaming costs), broadcasting and transmission, sales and marketing, technology and development, general and administrative, depreciation and amortization, and impairment of other assets[291](index=291&type=chunk)[292](index=292&type=chunk)[293](index=293&type=chunk)[294](index=294&type=chunk)[295](index=295&type=chunk)[296](index=296&type=chunk)[297](index=297&type=chunk) - Other income (expense) covers interest, debt premium/discount amortization, and gains/losses on debt extinguishment, with income tax provision/benefit and net income/loss from discontinued operations also reported[298](index=298&type=chunk)[299](index=299&type=chunk)[300](index=300&type=chunk) [Results of Operations for the Years Ended December 31, 2024, and 2023](index=65&type=section&id=Results%20of%20Operations%20for%20the%20Years%20Ended%20December%2031%2C%202024%2C%20and%202023) In 2024, Fubo's total revenues increased to $1,622.8 million, operating loss decreased to $(196.0) million, and net loss improved to $(177.8) million Consolidated Statements of Operations (in thousands) | Metric | 2024 | 2023 | Change (YoY) | |:---|:---|:---|:---| | Total Revenues | $1,622,796 | $1,368,225 | +$254,571 | | Operating Expenses | $1,818,817 | $1,657,575 | +$161,242 | | Operating Loss | $(196,021) | $(289,350) | +$93,329 | | Total Other Income (Expense) | $18,902 | $(4,631) | +$23,533 | | Net Loss from Continuing Operations | $(177,778) | $(293,102) | +$115,324 | | Net Income (Loss) from Discontinued Operations | $1,687 | $5,185 | -$3,498 | | Net Loss | $(176,091) | $(287,917) | +$111,826 | - Subscription revenue increased by **$250.5 million**, driven by a **$171.8 million** increase in subscriber base and a **$78.7 million** increase from subscription package prices and attachments[302](index=302&type=chunk) - Subscriber related expenses increased by **$147.7 million** due to higher affiliate distribution rights and other distribution costs from increased subscribers and contractual rates[303](index=303&type=chunk) - Broadcasting and transmission expenses decreased by **$10.9 million** due to cloud infrastructure optimization initiatives[304](index=304&type=chunk) - General and administrative expenses increased by **$10.8 million**, primarily due to a **$23.9 million** increase in legal fees, partially offset by a **$12.1 million** reduction in indirect tax accruals[307](index=307&type=chunk) [Key Performance Metrics](index=68&type=section&id=Key%20Performance%20Metrics) Fubo monitors Paid Subscribers, ARPU, Gross Profit, and Gross Margin, reporting 1.7 million North America subscribers and $85.97 ARPU in 2024 - Paid subscribers are defined as total subscribers who have completed registration, activated a payment method, and from whom Fubo has collected payment in the month ending the relevant period[315](index=315&type=chunk) Paid Subscribers (as of December 31) | Region | 2024 (millions) | 2023 (millions) | |:---|:---|:---| | North America | 1.7 | 1.6 | | Rest of World | 0.4 | 0.4 | - ARPU is calculated as total Subscription and Advertising revenue divided by average daily paid subscribers and then by the number of months in the period[317](index=317&type=chunk) Average Revenue Per User (ARPU) (Years Ended December 31) | Region | 2024 | 2023 | |:---|:---|:---| | North America ARPU | $85.97 | $82.25 | | Rest of World ARPU | $7.49 | $6.82 | Gross Profit and Gross Margin (Years Ended December 31, in thousands) | Metric | 2024 | 2023 | |:---|:---|:---| | Gross Profit | $203,900 | $86,100 | | Gross Margin | 12.6% | 6.3% | [Liquidity and Capital Resources](index=70&type=section&id=Liquidity%20and%20Capital%20Resources) Fubo's liquidity is supported by revenue and financing, with $167.6 million cash as of December 2024, bolstered by recent debt management and a $220.0 million litigation settlement - Fubo's primary cash sources are subscription and advertising revenue, along with equity and debt financings[325](index=325&type=chunk) - As of December 31, 2024, cash, cash equivalents, and restricted cash totaled **$167.6 million**[329](index=329&type=chunk) - During 2024, Fubo repurchased **$46.9 million** of 2026 Convertible Notes for **$27.1 million** and exchanged **$205.8 million** of 2026 notes for **$177.5 million** of 2029 Convertible Notes[326](index=326&type=chunk) - In January 2025, Fubo received a **$220.0 million** cash payment from an antitrust litigation settlement and secured a commitment for a **$145.0 million** senior unsecured term loan from a Disney affiliate[327](index=327&type=chunk) - The company believes its existing cash and cash equivalents provide necessary liquidity for at least the next twelve months but may seek additional capital through its ATM program or other means[329](index=329&type=chunk)[331](index=331&type=chunk) [Cash Flows](index=71&type=section&id=Cash%20Flows) In 2024, net cash used in operating activities decreased to $75.6 million, while financing cash flow significantly decreased due to lower ATM proceeds Cash Flows (in thousands) | Activity | 2024 | 2023 | |:---|:---|:---| | Net cash used in operating activities (continuing) | $(75,627) | $(173,045) | | Net cash used in investing activities (continuing) | $(15,835) | $(25,417) | | Net cash provided by financing activities (continuing) | $11,465 | $111,233 | | Net cash used in operating activities (discontinued) | $(3,851) | $(4,577) | | Net decrease in cash, cash equivalents and restricted cash | $(83,848) | $(91,806) | - The decrease in net cash used in operating activities was primarily due to a decrease in net loss and an increase in cash receipts from accounts receivables, partially offset by increased payments for programming license fees[333](index=333&type=chunk) - The decrease in net cash provided by financing activities was driven by lower proceeds from the ATM Program, repurchases of convertible notes, and payments for financing costs[335](index=335&type=chunk) [Critical Accounting Policies and Estimates](index=72&type=section&id=Critical%20Accounting%20Policies%20and%20Estimates) Fubo's critical accounting policies involve significant estimates for business combinations, goodwill, intangible assets, and stock-based compensation - Business combinations require significant estimates for fair value allocation of acquired assets and liabilities, and useful lives of intangible assets[338](index=338&type=chunk) - Goodwill is tested for impairment annually or when triggering events occur, involving subjective estimates of reporting unit fair value[339](index=339&type=chunk)[340](index=340&type=chunk)[341](index=341&type=chunk) - Intangible assets are amortized over estimated useful lives and reviewed for impairment if circumstances indicate non-recoverability[342](index=342&type=chunk)[343](index=343&type=chunk) - Stock-based compensation fair value is estimated using the Black-Scholes option-pricing model for options and fair value of common stock for restricted stock units, requiring complex judgments and assumptions[344](index=344&type=chunk)[346](index=346&type=chunk) [Recently Issued Accounting Pronouncements](index=74&type=section&id=Recently%20Issued%20Accounting%20Pronouncements) Refer to Note 3 of the consolidated financial statements for recent accounting policies and pronouncements - Refer to Note 3 in the consolidated financial statements for details on recently issued accounting pronouncements[351](index=351&type=chunk) [Item 7A. Quantitative and Qualitative Disclosures About Market Risk](index=74&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) Fubo faces market risks from interest rates and foreign currency, but a hypothetical 10% change would not materially impact its financial statements - Fubo is exposed to market risks from changes in interest rates and foreign currency[352](index=352&type=chunk) - As of December 31, 2024, Fubo had **$167.6 million** in cash, cash equivalents, and restricted cash, primarily in money market funds, and **$330.3 million** in fixed-rate outstanding indebtedness[353](index=353&type=chunk) - A hypothetical **10% change** in interest rates or a **10% weakening** of the Euro and Canadian dollar would not have a material impact on Fubo's consolidated financial statements[353](index=353&type=chunk)[354](index=354&type=chunk) [Interest Rate Risk](index=74&type=section&id=Interest%20Rate%20Risk) Fubo's interest rate risk from cash equivalents and fixed-rate debt is not material, with no derivative use - As of December 31, 2024, Fubo had **$167.6 million** in cash, cash equivalents, and restricted cash, primarily invested in money market funds[353](index=353&type=chunk) - The company's outstanding indebtedness of **$330.3 million** as of December 31, 2024, bears interest at a fixed rate[353](index=353&type=chunk) - A hypothetical **10% change** in interest rates would not have a material impact on Fubo's consolidated financial statements[353](index=353&type=chunk) [Foreign Currency Risk](index=75&type=section&id=Foreign%20Currency%20Risk) Fubo's foreign currency risk is limited, with non-U.S. dollar revenues at 2.2% in 2024, and no material impact from a 10% currency weakening - Revenues denominated in currencies other than the U.S. dollar accounted for approximately **2.2% of consolidated revenue** for the year ended December 31, 2024[354](index=354&type=chunk) - Fubo's most significant currency exchange rate exposures are the Euro and the Canadian dollar[354](index=354&type=chunk) - A hypothetical **10% weakening** of the Euro and Canadian dollar relative to the U.S. dollar would not have resulted in a material impact on Fubo's consolidated financial statements[354](index=354&type=chunk) [Item 8. Financial Statements and Supplementary Data](index=75&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This item refers to appended financial statements and supplementary data, indexed in Item 15 of Part IV - The financial statements required by this item are appended to the Annual Report, with an index in Item 15 of Part IV[355](index=355&type=chunk) [Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=75&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) No changes in or disagreements with accountants on accounting and financial disclosure are reported - This item is not applicable, indicating no changes in or disagreements with accountants on accounting and financial disclosure[356](index=356&type=chunk) [Item 9A. Controls and Procedures](index=76&type=section&id=Item%209A.%20Controls%20and%20Procedures) Fubo's management concluded disclosure controls and internal control over financial reporting were effective as of December 31, 2024, with no material changes - As of December 31, 2024, Fubo's management concluded that its disclosure controls and procedures were effective at the reasonable assurance level[359](index=359&type=chunk) - Management assessed and concluded that the company's internal control over financial reporting was effective as of December 31, 2024, based on the 2013 COSO framework[360](index=360&type=chunk) - KPMG LLP, the independent registered public accounting firm, issued an unqualified opinion on the effectiveness of Fubo's internal control over financial reporting as of December 31, 2024[363](index=363&type=chunk)[364](index=364&type=chunk) - There were no material changes in internal control over financial reporting during the quarter ended December 31, 2024[370](index=370&type=chunk) [Limitations on effectiveness of controls and procedures](index=76&type=section&id=Limitations%20on%20effectiveness%20of%20controls%20and%20procedures) Management acknowledges that controls provide only reasonable assurance due to inherent limitations and resource constraints - Management recognizes that controls and procedures can only provide reasonable assurance due to inherent limitations and resource constraints[358](index=358&type=chunk) [Evaluation of Disclosure Controls and Procedures](index=76&type=section&id=Evaluation%20of%20Disclosure%20Controls%20and%20Procedures) Fubo's officers concluded disclosure controls and procedures were effective at a reasonable assurance level as of December 31, 2024 - Fubo's principal executive officer and principal financial officer concluded that disclosure controls and procedures were effective at the reasonable assurance level as of December 31, 2024[359](index=359&type=chunk) [Report of Management on Internal Controls over Financial Reporting.](index=76&type=section&id=Report%20of%20Management%20on%20Internal%20Controls%20over%20Financial%20Reporting.) Management concluded Fubo's internal control over financial reporting was effective as of December 31, 2024, based on the COSO framework - Management is responsible for internal control over financial reporting and concluded it was effective as of December 31, 2024, based on the 2013 COSO framework[360](index=360&type=chunk) [Audit Report of Independent Registered Public Accounting Firm](index=77&type=section&id=Audit%20Report%20of%20Independent%20Registered%20Public%20Accounting%20Firm) KPMG LLP issued an unqualified opinion on Fubo's internal control over financial reporting and consolidated financial statements as of December 31, 2024 - KPMG LLP issued an unqualified opinion on the effectiveness of Fubo's internal control over financial reporting as of December 31, 2024[363](index=363&type=chunk) - KPMG also expressed an unqualified opinion on the consolidated financial statements for the three-year period ended December 31, 2024[364](index=364&type=chunk) [Item 9B. Other Information](index=77&type=section&id=Item%209B.%20Other%20Information) No other information is required, with no Rule 10b5-1 trading arrangement adoptions or terminations reported - No director or officer adopted or terminated a Rule 10b5-1 trading arrangement or non-Rule 10b5-1 trading arrangement during the three months ended December 31, 2024[371](index=371&type=chunk) [Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections](index=77&type=section&id=Item%209C.%20Disclosure%20Regarding%20Foreign%20Jurisdictions%20that%20Prevent%20Inspections) This item is not applicable - This item is not applicable[372](index=372&type=chunk) PART III [Item 10. Directors, Executive Officers and Corporate Governance](index=79&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Fubo's Board adopted a Code of Business Conduct, with further information incorporated from the 2025 proxy statement - Fubo has a written Code of Business Conduct and Ethics applicable to all officers, directors, and employees, available on its investor relations website[375](index=375&type=chunk) - Further information for this item will be incorporated by reference from the definitive proxy statement for the 2025 Annual Meeting of Shareholders[376](index=376&type=chunk) [Item 11. Executive Compensation](index=79&type=section&id=Item%2011.%20Executive%20Compensation) Executive compensation information will be incorporated by reference from the 2025 Annual Meeting of Shareholders proxy statement - Executive compensation information will be incorporated by reference from the definitive proxy statement for the 2025 Annual Meeting of Shareholders[377](index=377&type=chunk) [Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=79&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Security ownership information for beneficial owners and management will be incorporated by reference from the 2025 proxy statement - Information on security ownership of beneficial owners and management will be incorporated by reference from the definitive proxy statement for the 2025 Annual Meeting of Shareholders[378](index=378&type=chunk) [Item 13. Certain Relationships and Related Transactions, and Director Independence](index=79&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) Information on related transactions and director independence will be incorporated by reference from the 2025 proxy statement - Information on certain relationships, related transactions, and director independence will be incorporated by reference from the definitive proxy statement for the 2025 Annual Meeting of Shareholders[379](index=379&type=chunk) [Item 14. Principal Accountant Fees and Services](index=79&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Principal accountant fees and services information will be incorporated by reference from the 2025 proxy statement - Information on principal accountant fees and services will be incorporated by reference from the definitive proxy statement for the 2025 Annual Meeting of Shareholders[380](index=380&type=chunk) PART IV [Item 15. Exhibits and Financial Statement Schedules](index=80&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists financial statements (pages F-1 to F-47) and provides an index of exhibits, including key agreements and certifications - The financial statements are included on pages **F-1 through F-47** of the Annual Report[383](index=383&type=chunk) - All financial statement schedules are omitted as the information is either not required or presented in the consolidated financial statements or notes[384](index=384&type=chunk) - A list of exhibits filed includes the Business Combination Agreement, Articles of Incorporation, debt indentures (2026 and 2029 Convertible Notes), equity incentive plans, and various certifications[385](index=385&type=chunk)[386](index=386&type=chunk)[387](index=387&type=chunk)[388](index=388&type=chunk) [Item 16. Form 10-K Summary](index=85&type=section&id=Item%2016.%20Form%2010-K%20Summary) No Form 10-K Summary is provided - No Form 10-K Summary is provided[389](index=389&type=chunk) FINANCIAL STATEMENTS [Report of Independent Registered Public Accounting Firm](index=89&type=section&id=Report%20of%20Independent%20Registered%20Public%20Accounting%20Firm) KPMG LLP issued an unqualified opinion on Fubo's 2024 financial statements and internal controls, noting subscriber-related expenses as a critical audit matter - KPMG LLP issued an unqualified opinion on Fubo's consolidated financial statements for the three-year period ended December 31, 2024[401](index=401&type=chunk) - KPMG also expressed an unqualified opinion on the effectiveness of Fubo's internal control over financial reporting as of December 31, 2024[402](index=402&type=chunk) - A critical audit matter was the sufficiency of audit evidence over subscriber-related expenses, specifically affiliate distribution rights, due to subjective judgment in evaluating subscriber data completeness and accuracy[406](index=406&type=chunk)[407](index=407&type=chunk) [Consolidated Balance Sheets](index=91&type=section&id=Consolidated%20Balance%20Sheets) As of December 31, 2024, Fubo reported total assets of $1,077.4 million, with decreased liabilities and shareholders' equity due to an accumulated deficit Consolidated Balance Sheet Highlights (in thousands) | Metric | December 31, 2024 | December 31, 2023 | Change | |:---|:---|:---|:---| | Cash and cash equivalents | $161,435 | $245,278 | $(83,843) | | Total current assets | $274,033 | $386,754 | $(112,721) | | Total assets | $1,077,428 | $1,232,640 | $(155,212) | | Total current liabilities | $515,322 | $517,345 | $(2,023) | | Convertible notes, net | $332,383 | $391,748 | $(59,365) | | Total liabilities | $896,646 | $948,815 | $(52,169) | | Accumulated deficit | $(2,017,796) | $(1,845,542) | $(172,254) | | Total shareholders' equity | $180,782 | $283,825 | $(103,043) | [Consolidated Statements of Operations and Comprehensive Loss](index=92&type=section&id=Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Loss) In 2024, Fubo's total revenues increased to $1,622.8 million, with operating loss and net loss from continuing operations significantly improving Consolidated Statements of Operations (in thousands) | Metric | 2024 | 2023 | 2022 | |:---|:---|:---|:---| | Subscription Revenue | $1,500,101 | $1,249,579 | $905,886 | | Advertising Revenue | $115,200 | $115,370 | $101,739 | | Total Revenues | $1,622,796 | $1,368,225 | $1,008,696 | | Total Operating Expenses | $1,818,817 | $1,657,575 | $1,420,553 | | Operating Loss | $(196,021) | $(289,350) | $(411,857) | | Total Other Income (Expense) | $18,902 | $(4,631) | $(14,854) | | Net Loss from Continuing Operations | $(177,778) | $(293,102) | $(425,045) | | Net Income (Loss) from Discontinued Operations | $1,687 | $5,185 | $(136,874) | | Net Loss | $(176,091) | $(287,917) | $(561,919) | | Basic and Diluted Loss Per Share | $(0.54) | $(1.04) | $(3.08) | [Consolidated Statements of Shareholders' Equity](index=94&type=section&id=Consolidated%20Statements%20of%20Shareholders%27%20Equity) Fubo's shareholders' equity decreased to $180.8 million in 2024, primarily due to net loss and foreign currency adjustments, partially offset by stock issuance Shareholders' Equity Highlights (in thousands) | Metric | December 31, 2024 | December 31, 2023 | |:---|:---|:---| | Common Stock (shares) | 339,144,854 | 299,215,160 | | Common Stock (amount) | $34 | $30 | | Additional Paid-In Capital | $2,219,002 | $2,136,870 | | Accumulated Deficit | $(2,017,796) | $(1,845,542) | | Accumulated Other Comprehensive Income (Loss) | $(4,870) | $4,218 | | Non-controlling Interest | $(15,588) | $(11,751) | | **Total Shareholders' Equity** | **$180,782** | **$283,825** | - Net loss attributable to common shareholders was **$(172.3) million** in 2024[422](index=422&type=chunk) - Proceeds from common stock issuance (at-the-market offering) were **$43.3 million** in 2024[422](index=422&type=chunk) [Consolidated Statements of Cash Flows](index=96&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) In 2024, net cash used in operating activities decreased to $75.6 million, while financing cash flow significantly decreased due to lower ATM proceeds and note repurchases Consolidated Statements of Cash Flows (in thousands) | Activity | 2024 | 2023 | 2022 | |:---|:---|:---|:---| | Net cash used in operating activities (continuing) | $(75,627) | $(173,045) | $(289,786) | | Net cash used in investing activities (continuing) | $(15,835) | $(25,417) | $(5,987) | | Net cash provided by financing activities (continuing) | $11,465 | $111,233 | $296,270 | | Net cash used in operating activities (discontinued) | $(3,851) | $(4,577) | $(26,915) | | Net decrease in cash, cash equivalents and restricted cash | $(83,848) | $(91,806) | $(32,854) | | Cash, cash equivalents and restricted cash at end of period | $167,572 | $251,420 | $343,226 | - The decrease in net cash used in operating activities was primarily due to a decrease in net loss and an increase in cash receipts from accounts receivables, partially offset by an increase in payments for programming license fees[333](index=333&type=chunk) - The decrease in net cash provided by financing activities was primarily driven by lower proceeds from the ATM Program, repurchases of outstanding convertible notes, and payments for financing costs[335](index=335&type=chunk) [Notes to the Consolidated Financial Statements](index=98&type=section&id=Notes%20to%20the%20Consolidated%20Financial%20Statements) The notes detail Fubo's organization, liquidity, accounting policies, and financial performance, including revenue, expenses, assets, liabilities, and subsequent events - Fubo is a live TV streaming platform for sports, news, and entertainment, with revenues primarily from subscriptions and advertising in North America and international markets[433](index=433&type=chunk)[434](index=434&type=chunk) - The company has incurred losses and negative cash flows from operating activities since inception, with an accumulated deficit of **$2,017.8 million** as of December 31, 2024[436](index=436&type=chunk) - Fubo's liquidity is supported by cash, cash equivalents, and proceeds from equity and debt financings, including recent repurchases of convertible notes and a **$220.0 million** litigation settlement in January 2025[436](index=436&type=chunk)[437](index=437&type=chunk) [Note 1 - Organization and Nature of Business](index=98&type=section&id=Note%201%20-%20Organization%20and%20Nature%20of%20Business) FuboTV Inc., incorporated in 2009, operates a live TV streaming platform, generating revenue from subscriptions and advertising globally - FuboTV Inc. was incorporated in 2009 and changed its name to fuboTV Inc. on August 10, 2020, with its common stock listed on the NYSE[431](index=431&type=chunk) - The company's core business is a live TV streaming platform for sports, news, and entertainmen

FuboTV (FUBO -13.92%) stock sank in Friday's trading following the company's fourth-quarter earnings release. The streaming video specialist's share price closed out the day down 13.9%.FuboTV published its Q4 results before the market opened this morning, and the company's earnings beat in the period wasn't enough to offset the market's disappointment with a big sales miss. Making matters worse, the company's forward guidance came in much worse than anticipated.FuboTV stock sinks on Q4 sales missIn the four ...

Core Insights - fuboTV Inc. reported revenue of $443.28 million for Q4 2024, an 8.1% year-over-year increase, with an EPS of -$0.02 compared to -$0.17 a year ago, indicating improvement in earnings performance [1] - The revenue fell short of the Zacks Consensus Estimate by 0.76%, while the EPS exceeded the consensus estimate by 83.33% [1] Financial Performance - The company experienced a decline in paid subscribers in North America, reporting 1,676,000 compared to the estimated 2,041,000 [4] - Paid subscribers in the Rest of World streaming segment reached 362,000, surpassing the average estimate of 351,500 [4] - Advertising revenue was reported at $34.39 million, which is 11.8% lower than the year-ago quarter and below the estimated $38.57 million [4] - Subscription revenue was $406.88 million, slightly below the estimate of $406.91 million but showing a 9.9% increase year-over-year [4] - Other revenues increased significantly by 81.5% year-over-year to $2.01 million, exceeding the estimate of $1.87 million [4] Stock Performance - fuboTV shares have returned -14.6% over the past month, underperforming the Zacks S&P 500 composite, which saw a -2.4% change [3] - The stock currently holds a Zacks Rank 2 (Buy), suggesting potential for outperformance in the near term [3]

fuboTV Inc. (NYSE:FUBO) Q4 2024 Earnings Conference Call February 28, 2024 8:30 AM ET Company Participants David Gandler - Chief Executive Officer John Janedis - Chief Financial Officer Ameet Padte - Senior Vice President, FP&A, Investor Relations Conference Call Participants David Joyce - Seaport Research Partners Patrick Sholl - Barrington Research Laura Martin - Needham & Co. Clark Lampen - BTIG Nik Aluru - JP Morgan Doug Arthur - Huber Research Operator Thank you for standing by. At this time, I would l ...

Group 1 - FuboTV reported a quarterly loss of $0.02 per share, better than the Zacks Consensus Estimate of a loss of $0.12, and improved from a loss of $0.17 per share a year ago, resulting in an earnings surprise of 83.33% [1] - The company achieved revenues of $443.28 million for the quarter ended December 2024, slightly missing the Zacks Consensus Estimate by 0.76%, but showing an increase from $410.18 million year-over-year [2] - FuboTV's shares have increased approximately 179.4% since the beginning of the year, contrasting with a decline of -0.3% in the S&P 500 [3] Group 2 - The earnings outlook for FuboTV is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The trend for estimate revisions for FuboTV is currently favorable, leading to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] - The current consensus EPS estimate for the next quarter is -$0.04 on revenues of $443.87 million, and -$0.09 on revenues of $1.81 billion for the current fiscal year [7] Group 3 - The Broadcast Radio and Television industry, to which FuboTV belongs, is currently ranked in the top 35% of over 250 Zacks industries, suggesting a positive outlook for stocks within this sector [8]

On Friday, FuboTV Inc FUBO reported earnings for the fourth quarter of 2024. Revenue of the sports-first live TV streaming platform grew 8.1% year over year to $443.277 million, marginally missing the analyst consensus estimate of $445.798 million.Adjusted EPS loss of 2 cents beat the analyst consensus estimate of 18 cents loss.Also Read: Payoneer Q4: 17% Revenue Growth, $22.5 Billion In Transactions, B2B Payments Up 37%, Revenue Target SurgesThe company’s adjusted EBITDA margin loss stood at (2.0)% versus ...

Business Combination Agreement - fuboTV Inc. and The Walt Disney Company announced a Business Combination Agreement on January 6, 2025[4] - The company plans to file a preliminary proxy statement with the SEC regarding the Transactions for shareholder approval[12] - The joint press release regarding the BCA is available on Fubo's investor relations website[4] Lawsuit Settlement - A settlement was reached in the lawsuit FuboTV Inc. v. The Walt Disney Co., resolving claims related to bundling and most-favored nations clauses[7][8] - The settlement includes mutual releases and dismissals with prejudice of the claims in the action[9] Financial Guidance and Results - The company will reaffirm guidance for Q4 and full year ended December 31, 2024 during a webcast[4] - Fubo's actual results for Q4 and fiscal year 2024 may differ from preliminary results disclosed[11] - The company emphasizes that forward-looking statements involve risks and uncertainties that could affect actual results[11] Company Status and Participation - The company is not deemed an emerging growth company under SEC rules[3] - Fubo's directors and executive officers may be participants in the solicitation of proxies from shareholders[14]

Core Insights - Wall Street analysts forecast a quarterly loss of $0.12 per share for fuboTV Inc. (FUBO), indicating a year-over-year increase of 29.4% [1] - Anticipated revenues for the quarter are projected to be $446.66 million, reflecting an 8.9% increase compared to the same quarter last year [1] - The consensus EPS estimate has remained unchanged over the last 30 days, indicating stability in analysts' assessments [1] Revenue Breakdown - 'Revenues- Advertising' are expected to reach $38.57 million, showing a decline of 1.1% from the prior-year quarter [4] - 'Revenues- Subscription' are projected at $406.91 million, suggesting a year-over-year increase of 10% [4] Subscriber Metrics - Analysts estimate 'Paid Subscribers - North America' to be 2,041,000, up from 1,618,000 in the previous year [4] Stock Performance - Over the past month, fuboTV shares have returned +8.7%, while the Zacks S&P 500 composite has decreased by -1.8% [4] - Currently, fuboTV holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near future [4]