- US streaming provider's total paid subscriptions increase 47% to 286,126
- Subscription revenues up 51% to US$39.5 million
- Year-on-year advertising revenues also grow 71% to US$4.3 million
US-based streaming service FuboTV has recorded a 53 per cent increase in year-on-year second quarter revenues to US$44.2 million, owing largely to significant subscriber and advertising growth.
As of 30th June, FuboTV’s paid subscription base totalled 286,126, marking a 47 per cent increase during the past 12 months. Overall, the company’s year-on-year subscription-based revenues grew 51 per cent to US$39.5 million.
Despite the ongoing coronavirus pandemic and the disruption to media advertising spend, FuboTV also saw a 71 per cent increase in quarterly ad revenues compared to the same three-month period in 2019, totalling US$4.3 million.
FuboTV chief executive David Gandler said: “We delivered strong second quarter results. Consumer engagement continued to be strong in Q2, despite a shutdown of most major league sports both in the US and internationally, and we successfully ramped up advertising revenue."
The company’s latest financial filing, published on 13th August, is its first since completing a merger with virtual entertainment company Facebank Group in April, a move designed to diversify the over-the-top (OTT) service’s sports and entertainment offering.
The company, which operates under the FuboTV brand, stated that while the ‘legacy FaceBank business reported no revenue in the second quarter of 2019 and 2020’, FuboTV’s latest earnings ‘refer to the consolidated FuboTV and FaceBank business’.
Since the close of Q2, the company secured a US$46 million cash injection from Swiss investment bank Credit Suisse while it has also secured a distribution agreement to carry Disney’s news, sports and entertainment networks, including ESPN.
The move comes after Gandler revealed in March that the platform would lean on more news and entertainment programming due to the widespread disruption to the sporting calendar in the wake of the coronavirus pandemic.
According to the company’s latest figures, the time spent on the platform by FuboTV users – including paid and free trials – rose to 98.6 million hours, up 83 per cent compared to the same period between April and June last year.
On average, monthly active users watched 140 hours of content per month during Q2 2020, a 54 per cent year-on-year increase. The average revenue per user also grew by eight per cent to US$54.79. In July, the streaming service announced an increase in its standard subscription fee to US$59.99.
“We believe consumers will continue to choose streaming over traditional pay television, especially in the current economic climate because of its more personalised, premium viewing experience,” Gandler continued. “Macro trends towards streaming, combined with our strong second quarter results and continued momentum, reinforce our confidence in our business and the vMVPD space.
“Looking ahead to Q3, with the gradual return of sports, we anticipate an increase in subscribers, viewership and that our portion of revenue derived from advertising will grow. At the close of Q3 we expect paid subscribers to reach 340,000-350,000, which will be an increase of 20 per cent year-over-year.
“The growth of streaming is one of the most significant changes to television, and television advertising, in the last several decades. FuboTV is at the forefront of the streaming revolution and we are excited for existing and new investors to join us on this journey.”