Streaming provider FuboTV has announced it is to close its Fubo Gaming subsidiary and cease operations of its owned-and-operated Fubo Sportsbook with immediate effect.
FuboTV closed

The decision was made following a strategic review of the business, which was launched in August after FuboTV said it could not operate its sports betting division alone in the current economic environment.

FuboTV said while multiple parties expressed interest in the betting business, the provider also said that none of these opportunities would have allowed FuboTV to “lower its funding requirements and generate sufficient returns to shareholders”.

As a result, FuboTV will close Fubo Gaming and cease all operations of the Fubo Sportsbook immediately.

“Following our previously announced strategic review, we have concluded that continuing with Fubo Gaming and Fubo Sportsbook in this challenging macroeconomic environment would impact our ability to reach our longer-term profitability goals,” FuboTV co-founder and chief executive David Gandler said.

“Therefore, we have made the difficult decision to exit the online sports wagering business effective immediately.”

The announcement came as FuboTV posted a selection of preliminary results for the third quarter, during which North American revenue for the business as a whole is expected to increase by 34% year-on-year to approximately $120m. Rest of World revenue is forecast to reach at least $5.5m.

Paid subscribers in North America for Q3 are expected to exceed 1,220,000, which would be more than 27% higher than last year, while Rest of World paid subscribers could reach up to 350,000.

In addition, FuboTV said it expects to post approximately negative $100.0m of adjusted EBITDA in the third quarter, with cash and cash equivalents at the end of Q3 at least $300m.

FuboTV added that the preliminary results demonstrate continued progression towards its 2025 profitability targets.

“FuboTV’s strong preliminary third quarter 2022 results reflect meaningful advancements against our continued mission to profitably scale a leading global live TV streaming platform differentiated by the greatest breadth of premium content and interactivity,” Gandler, said.

“We expect to deliver strong revenue and subscriber growth in Q3, exceeding our previously issued guidance in North America, against the backdrop of a highly competitive operating environment. We’re pleased with this expected performance, and our progress toward achieving our positive cash flow target in 2025.

“We look forward to providing more colour, as well as discussing our full third quarter 2022 results and full year outlook, on our November 4 earnings call.”

Want To Keep Up To date with our latest news and information? Please enter your email address below to be added to our mailing list

Bookielink.com is operated by Intraseculink Ltd, Registration Number: HE356617, 176 Athalassas Avenue, Office 401, 2025, Strovolos, Nicosia, Cyprus. BLUEINIC B.V. with Registration number 140279 and registered address at Abraham Mendez Chumaceiro , Boulevard 50, is licensed under Antillephone N.V. ,holder of Gaming License #8048/JAZ of the Central Government of the Netherlands Antilles. BLUEINIC B.V. is licensed and regulated in virtue of license number #8048/JAZ2016-030 granted by the Government of Curaçao to BLUEINIC B.V. The license was issued on ‎08-06-2016.

Bookielink.com © 2022 All rights reserved.