FuboTV, the sports-themed subscription streaming video service, lost 73,700 subscribers in the ended the first quarter (ended March 31). The streamer ended the period with 1.056 million subs, down from 1.13 million at the end of 2021. The tally was up 81% from a subscriber base of 582,000 during the previous-year period.
Calling the quarter a “challenging macro environment,” CEO David Gandler said the platform achieved strong growth in subscribers and revenue when compared to Q1 2021. Indeed, the company upped its cash reserves to $453 million.
Michael Pachter, media analyst with Wedbush Securities in Los Angeles, concurred, saying the streaming platform remains a strong long-term investment.
“We think FuboTV is focusing on the right things,” Pachter wrote in a May 5 note. “Subscriber growth is continuing at a rapid pace, the company chose to increase price to better cushion itself against content cost escalation, and marketing spending is trending in the right direction as FuboTV is laser focused on the lifetime value of customers acquired, rather than growing its subscribers at any cost.”
Meanwhile, FuboTV continues to pursue a stake in the growing online sports gambling market. The company recently launched Fubo Sportsbook, an app that affords sports viewers the option to meld a sports wagering platform with live TV.
“Wagering remains an important pillar in our path to profitability and strategy to integrate interactivity into our live TV streaming experience,” Edgar Bronfman Jr., executive chairman of FuboTV, said in a statement. “While striving to be the most compelling destination for cord cutters, fuboTV has started to enact a series of approaches to increase monetization, accelerate our ad sales business and further strengthen our unit economics.”