FuboTV now has one million subscribers but even with that big landmark passed, the company is still seeing consistent operating losses.
The virtual MVPD ended the quarter with 944,605 subscribers after adding 262,884 net subscribers—more that it added throughout all of 2020—but seemingly added another 55,000 customers since the end of September. It now expects to close out the year with 1.06 million to 1.07 million subscribers, which would represent approximately 94% growth year over year.
“FuboTV’s achievement of hitting the one million subscriber mark since the third quarter ended is an extraordinary milestone by any measure but particularly remarkable given the momentum of our business over six short years. To put this in perspective, as of the end of the second quarter 2020, we had approximately 286,000 subscribers. And, even at the one million subscriber mark, we believe we are still just scratching the surface of the massive opportunity ahead of us with 72.6 million subscribers still active on traditional pay television,” said CEO David Gandler in a statement.
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FuboTV’s total revenue grew 156% to $156.7 million—advertising revenue grew 147% to $18.6 million and subscription revenue increased 158% to $138.1 million. The company also saw its average revenue per user rise 10% to $74.54.
However, operating expenses—led by subscriber-related costs along with sales and marketing costs—still significantly outpaced revenue, coming in at $260 million during the quarter. That left fuboTV with an approximately $103 million operating loss, down from $303 million in the year-ago quarter.
FuboTV said that it has made progress towards its profitability goals, including an adjusted contribution margin that rose to 12.4%, up 189 basis points compared to normalized third quarter 2020 results.
“In light of our strong execution in the quarter, and the continued strength of the macro tailwinds we have consistently highlighted and continue to see, we are increasing our full year 2021 revenue guidance to $612-617 million,” the company wrote in a letter to shareholders.
In separate news, fuboTV announced two new acquisitions that it said will help with international expansion. The company bought Molotov SAS, a live TV streaming company based in France, for approximately $190 million. FuboTV also acquired Bangalore, India-based Edisn.ai, an AI-powered computer vision platform with video recognition technologies.