Q3 2025 FuboTV Inc Earnings Call
To withdraw your question again press Star one. Thank you I'd now like to turn the call over to Amit Patel U S. V. P. F. P N a corporate development and Investor Relations you may begin.
David Gandler: I think our target was roughly around $100 of revenue, ARPU, back then. What we said was that our goal was to achieve 30% gross margins, which would then drive about 15% EBITDA margins. I'd like to say we're almost there. We are now somewhere in that north of 20 or roughly around 20% gross margin. This is a story that is just unfolding. Right now, we need about 10 points to deliver on that 30% gross margin. It's not much to believe. You're talking about 300 basis points of programming efficiencies, 2 to 300 basis points of advertising uplift, 1 or 200 basis points in GNA and technology. As you see, our efficiencies on the sales and marketing side have also been pretty impressive.
Speaker #1: Thank you for standing by, and welcome to the fuboTV Third Quarter 2025 earnings conference call. All lines have been placed on mute to prevent any background noise.
Thank you for joining us to discuss <unk> third quarter 2025 results with me today is David Candler, cofounder and CEO of Grupo and John's Anita CFO of Bubo full details of our results and additional management commentary.
Speaker #1: After the speakers' remarks, there will be a question-and-answer session. If you'd like to ask a question during this time, simply press star followed by the number one on your telephone keypad.
Speaker #1: If you would like to withdraw your question, again, press *1. Thank you. I'd now like to turn the call over to Ameet Padte, SVP of FP&A, Corporate Development, and Investor Relations.
Our available in our earnings release and letter to shareholders, which can be found on the Investor Relations section of our website at IR Dot Bubo Dot T V.
Speaker #1: You may begin.
Before we begin let me quickly review the format of today's call David will start with some brief remarks on the quarter and our business and John will cover the financials. Then we will turn the call over to the analysts for Q&A.
Speaker #2: Thank you for joining us to discuss fuboTV's Third Quarter 2025 results. With me today is David Gandler, co-founder and CEO of fuboTV, and John Janedis, CFO of fuboTV.
Speaker #2: Full details of our results and additional management commentary are available in our earnings release and letter to shareholders. Which can be found on the investor relations section of our website, at ir dot fubo dot tv.
I would like to remind everyone that the following discussion may contain forward looking statements within the meaning of the federal securities laws, including but not limited to statements regarding our financial condition and anticipated financial performance expected synergies and other benefits from our business combination is.
David Gandler: My view is that we're almost there, and this transaction will allow us to amplify all of the innovation, success, and execution that we've put into this company. I'm very excited about this. Our investors should be very excited about this. I'm hoping Disney is excited about this as we are.
Speaker #2: Before we begin, let me quickly review the format of today's call. David will start with some brief remarks on the quarter and our business, and John will cover the financials.
This strategy and plans, including our product and subscription packages market industry, and consumer trends and expectations regarding growth and profitability.
Speaker #2: Then we will turn the call over to the analysts for Q&A. I would like to remind everyone that the following discussion may contain forward-looking statements within the meaning of the Federal Securities Laws including but not limited to statements regarding our financial condition, anticipated financial performance, expected synergies and other benefits from our business combination, business strategy and plans, including our products and subscription packages, market industry and consumer trends, and expectations regarding growth and profitability.
Operator: Your next question comes from a line of Sebastiano Petty from JPMorgan. Your line is open.
These forward looking statements are subject to certain risks uncertainties and assumptions actual results could differ materially from our current expectations and we may not provide updates unless legally required.
Clark Lampen: Hi. Thank you for taking the question, and congratulations on the deal. Just maybe if you could kind of help us think about, now with the added scale that you have from the live TV combination with Hulu, I mean, how are you thinking about rest of world? Is that still core to you over time, and if so, why? As we're thinking about perhaps rest of world, I mean, are there synergies or maybe cross-bundling opportunities when you look at Disney's international streaming services? Following up on that, I guess, maybe quick one. Any benefit from the YouTube TV blackout of Disney from over the weekend? Thanks.
Potential factors that could cause actual results to differ materially from forward looking statements are discussed in the earnings release, we issued today, our letter to shareholders and in our SEC filings all of which are available on our website.
Speaker #2: These forward-looking statements are subject to certain risks, uncertainties, and assumptions. Actual results could differ materially from our current expectations and we may not provide updates unless legally required.
At IR Docs, Google Doc T V.
Except as otherwise noted the results we are presenting today are on a continuing operations basis, excluding the historical results of our former gaming segment, which are accounted for as discontinued operations.
David Gandler: Yeah. Thank you. This is David. Look, I'm very bullish on rest of the world. I have been. It's all about a timing question. Right now, as I just said, we are very focused on migrating Molotov onto the fubo platform. We'll look to partner with Disney internationally. I think this is going to create a tremendous amount of value for both companies. Disney+ will benefit from all the local programming that we're going to provide. Markets like France, there are probably three or four markets we'd like to start with in the next 18 to 24 months, and then quickly move in to other markets because the platform has been built so efficiently. It is obviously core. I don't know why there's always a question around rest of world. I mean, you tell me.
Speaker #2: Potential factors that could cause actual results to differ materially from forward-looking statements are discussed in the earnings release we issued today. Our letter to shareholders and in our SEC filings all of which are available on our website.
Please note also these results reflect google's standalone operations prior to the recent completion of our business combination with the Walt Disney Company's Hulu plus live television.
Speaker #2: At ir.fubo.tv. Except as otherwise noted, the results we are presenting today are on a continuing operations basis excluding the historical results of our former gaming segment, which are accounted for as discontinued operations.
During the call. We may also refer to certain non-GAAP financial measures reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are available in our Q3 2025 letter to shareholders, which is available on.
Speaker #2: Please note also these results reflect fuboTV's standalone operations prior to the recent completion of our business combination with the Walt Disney Company's Hulu+ Live TV.
Our web site at IR Docs, Google Dot TV.
David Gandler: I think Reed Hastings used to talk about the fact that he wanted to be like YouTube because 80% of YouTube's revenue came from outside of the United States. We are no different. We think that we can be a global leader in the live TV streaming space. There are hundreds and hundreds of millions of people that still value live sports, live news, and we're going to focus on developing that strategy in the short term. I think everyone on both sides is very excited about that. As it relates to YouTube TV and their, I guess, their issues with Disney, that's not anything we can really talk about. What I can say is that just like last year, we see bumps all the time from people that are looking for programming, so there's not really much to say about that.
With that I will turn the call over to David.
Thank you Amit and good morning, everyone.
Speaker #2: During the call, we may also refer to certain non-GAAP financial measures. Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are available in our Q3 2025 letter to shareholders which is available on our website, at ir dot fubo dot tv.
This quarterly earnings call is unlike any other in our history coming just days after completing our transformative combination with the Hulu plus live television business setting a new stage for what's ahead.
Combination of <unk>, and Hulu plus live television forms one of the largest live TV streaming services in America.
Our combined nearly 6 million subscribers in North America make <unk>, the sixth largest pay TV company. According to recent UBS estimates.
Speaker #2: With that, I will turn the call over to David.
Speaker #3: Thank you, Ameet, and good morning everyone. This quarterly earnings call is unlike any other in our history coming just days after completing our transformative combination with the Hulu+ Live TV business setting a new stage for what's ahead.
It's a defining moment for our team and our shareholders and the culmination of years of innovation and execution.
Together with our strong Standalone results. This combination underscores the enormous potential ahead, a consumer first platform built on choice value and profitable scale.
David Gandler: The interesting thing is that while we have seen an influx of YouTube TV customers, we're seeing all-around improvements, as I just mentioned, including in Latino in terms of subscriber growth. We haven't really marketed that. We're not attempting to take advantage of that. We'll let that play out as it will, and we're focused on our own business here.
Speaker #3: The combination of fuboTV and Hulu+ Live TV forms one of the largest live TV streaming services in America. Our combined nearly six million subscribers in North America make fuboTV the sixth largest pay TV company according to recent UBS estimates.
Now looking at our third quarter Standalone results <unk> ended the quarter with $1 million 630000 paid subscribers in North America, our strongest third quarter performance to date and $369 million in total revenue alongside solid contributions from our international operations.
Speaker #3: It's a defining moment for our team and our shareholders, and the culmination of years of innovation and execution. Together, with our strong standalone results, this combination underscores the enormous potential ahead.
Clark Lampen: Thank you.
Operator: Your next question comes from a line of Clark Lampen from BTIG. Your line is open.
We're also proud to report that we achieved meaningful improvements in both net loss and adjusted EBITDA with the third quarter, representing our second consecutive quarter of positive adjusted EBITDA.
Clark Lampen: Thanks very much. John, maybe in light of the comments around Latino customer strength to start Q4, could we dial it back a little bit and maybe talk about early October reads across the entire spectrum? If we were to sort of focus a little bit more medium to long-term, fill race programming efficiencies. David, I think you said that you haven't had fair deals thus far. Maybe update us on revenue and expense synergies, I guess, on a go-forward basis and how that might impact profit trajectory. At what point could we start to see sustainable sort of EBITDA and net earnings profitability? Thanks a lot.
Speaker #3: A consumer-first platform built on choice, value, and profitable scale. Now, looking at our third quarter standalone results, fuboTV ended the quarter with one million six hundred and thirty thousand paid subscribers in North America.
Beneath those strong headline numbers the health of our underlying metrics continues to improve.
Trial starts increased and conversions from trial to paid meaningfully improved year over year, while churn declined nearly 50% versus last year.
Speaker #3: Our strongest third quarter performance to date and three hundred and sixty-nine million dollars in total revenue alongside solid contributions from our international operations. We're also proud to report that we achieved meaningful improvements in both net loss and adjusted EBITDA with the third quarter representing our second consecutive quarter of positive adjusted EBITDA.
At the same time, we reduced marketing spend during a highly competitive sports quarter, reinforcing our path toward profitability and stronger margin expansion.
These trends reflect growing consumer demand higher engagement and the continued scalability of our model.
Speaker #3: Beneath those strong headline numbers, the health of our underlying metrics continues to improve. Trial starts increased, and conversions from trial to paid meaningfully improved year over year, while churn declined nearly fifty percent versus last year.
David Gandler: Clark, on the first part of that question, was that specific to advertising, or was that more broad?
Our mission remains clear deliver must have programming through a flexible value forward experience.
Clark Lampen: Correct me if I'm wrong, I guess, but the comment sounded like it was on a subscriber basis. If we were thinking about the subscriber trajectory of the business for Q4, are you seeing the same strength with sort of core demos relative to Latam, or was there some bifurcation for one reason or another?
<unk> continues to make watching live content easier and more valuable to.
Speaker #3: At the same time, we reduced marketing spend during a highly competitive sports quarter. Reinforcing our path toward profitability and stronger margin expansion. These trends reflect growing consumer demand higher engagement and the continued scalability of our model.
<unk> channel store similar in concept to Amazon Prime video channels offers third party premium services like <unk> <unk>, one hallmark movies, now and Paramount plus with Showtime into one sports first interface, removing friction and simplifying viewing.
David Gandler: No, actually, thanks for the question. Yeah. I'd say the strength we saw through the third quarter, meaning August and September, has continued through October. What I would say is that relative to plan, we're exceeding, I would say, across all packaging, not just Latino, but also on Canada, Skinny Bundle, standalone RSNs, and English. Yeah. I was just saying that, look, the reason why we're continuing to formulate these different services and packages is because we want to reduce the cost of entry and, at the same time, create attractive user economics. You're starting to see that unfold this quarter. As I mentioned, Latino is really just a little seed, as we're seeing this across the board. Typically, our strongest quarters, as you guys know, are the back half of the year, third and fourth quarter, given the strength of the sports calendar. We're, again, very excited about this.
Speaker #3: Our mission remains clear: deliver must-have programming through a flexible value-forward experience. fuboTV continues to make watching live content easier and more valuable. The fuboTV channel store, similar in concept to Amazon Prime Video channels, offers third-party premium services like RSNs, DAZN One, Hallmark Movies Now, and Paramount Plus with Showtime into one sports-first interface, removing friction and simplifying viewing.
Our <unk> sports Skinny service added lower priced high value access to top sports content, including the majority of ESPN unlimited content and is driving record trial conversions.
Together with the expansion of pay per view, which delivered double digit sales growth in October compared to the prior months. These initiatives demonstrate <unk> ability to innovate scale engagement and strengthened our live platform.
We have built market defining features multi view game highlights came alert push notifications and catch up to live that increase engagement and make watching sports easier and more entertaining.
Speaker #3: Our fuboTV V sports skinny service added lower-priced high-value access to top sports content including the majority of ESPN Unlimited content and is driving record trial conversions.
These are the types of personalized capabilities, we will continue to scale across our growing membership base.
Speaker #3: Together with the expansion of pay-per-view, which delivered double-digit sales growth in October compared to the prior month, these initiatives demonstrate fuboTV's ability to innovate, scale engagement, and strengthen our live platform.
David Gandler: We're excited about our new relationship with Disney. I have to say the first few days have been extremely exciting. Everybody seems to be on the same page. We all know what we want, and it's going to be fubo's job to execute and drive shareholder value.
<unk> recent results gives us much to be confident about and we envision unprecedented opportunities at the combined company.
We're expanding choice not forcing one bundle.
Speaker #3: We have built market-defining features: multi-view, game highlights, game alert push notifications, and catch-up to live that increase engagement and make watching sports easier and more entertaining.
The combined company offers consumers a broad set of sports and entertainment focused programming offerings from <unk> and Hulu plus live TV, respectively.
Clark Lampen: Yeah. Maybe on synergies. Look, when we announced the business combination in January, we highlighted content and advertising as really the key areas of synergies. David commented before about the ads team. They're already working with Disney in their offices as of this morning. We are moving with urgency. On the timing of that advertising synergy, I would say we'll see that in the short to midterm. On the content expense savings, remain very confident there as well. I think the opportunity is meaningful. You're right. It's not just fill rate for advertising. It's other factors as well. We think there's also CPM upside, to name a couple.
Speaker #3: These are the types of personalized capabilities we will continue to scale across our growing membership base. fuboTV's recent results give us much to be confident about, and we envision unprecedented opportunities at the combined company.
Together, we give families flexible ways to rightsize their spend while broadening access to the best content.
In the near term, we will focus on programming efficiencies AD tech uplift and marketing at scale, including through ESPN ecosystem as well as deeper personalization. These are four major drivers to grow our subscriber base and achieve our profitability goals.
Speaker #3: We're expanding choice, not forcing one bundle. The combined company offers consumers a broad set of sports and entertainment-focused programming offerings from fuboTV and Hulu + Live TV, respectively.
In closing, we could not be more excited about <unk> future.
We believe our third quarter Standalone performance, coupled with the opportunities unlocked by our business combination with Disney's Hulu plus live TV solidly positioned <unk> for future success.
Speaker #3: Together, we give families flexible ways to rightsize their spending while broadening access to the best content. In the near term, we'll focus on programming efficiencies.
Operator: That was our final question. This concludes today's conference call. We thank you for your participation, and you may now disconnect.
Speaker #3: Add tech uplift, and marketing at scale, including through ESPN's ecosystem, as well as deeper personalization. These are four major drivers to grow our subscriber base and achieve our profitability goals.
We want to thank our retail and institutional shareholders for your unwavering support and to our customers for your loyalty.
We remain committed to building a consumer first streaming service that delivers more live action less friction and superior value I will now turn the call over to John <unk> CFO to discuss our financial results in greater detail John.
Speaker #3: In closing, we could not be more excited about fuboTV's future. We believe our third quarter standalone performance coupled with the opportunities unlocked by our business combination with Disney's Hulu+ Live TV solidly positioned fuboTV for future success.
Thank you David and good morning, everyone. Our third quarter results reflect continued progress in both execution and profitability capped by a historic milestone the completion of our business combination with Hulu plus live TV.
Speaker #3: We want to thank our retail and institutional shareholders for your unwavering support, and to our customers for your loyalty. We remain committed to building a consumer-first streaming service that delivers more live action, less friction, and superior value.
We believe this transaction is a huge win for our company shareholders and the market and we could not be more excited about the opportunities ahead.
Speaker #3: I will now turn the call over to John Janedis, CFO, to discuss our financial results in greater detail. John.
Taking a look at the results for the quarter in North America, We delivered total revenue of $368 6 million down two 3% year over year and reached 163 million paying subscribers, a one 1% increase year over year and our highest ever third.
Speaker #4: Thank you, David. And good morning, everyone. Our third quarter results reflect continued progress in both execution and profitability, capped by a historic milestone. The completion of our business combination with Hulu+ Live TV.
Quarter subscriber count.
Speaker #4: We believe this transaction is a huge win for our company shareholders and the market, and we could not be more excited about the opportunities ahead.
And rest of World revenue was $8 $6 million and we ended the quarter with 342000 paid subscribers.
Speaker #4: Taking a look at the results for the quarter, in North America we delivered total revenue of three hundred sixty-eight point six million dollars. Down two point three percent year over year.
In North America advertising revenue totaled $25 million down 7% year over year, primarily reflecting the absence of certain AD and suitable content and onetime benefits in the prior year period.
Speaker #4: And reached one point six three million paid subscribers a one point one percent increase year over year, and their highest ever third quarter subscriber count.
That said demand indicators remain constructive including upfront commitments for the 2025 2026 cycle up over 36% versus last year with nearly a third of advertisers new to <unk>.
Speaker #4: In rest of world, revenue was eight point six million dollars, and we ended the quarter with three hundred forty-two thousand paid subscribers. In North America, advertising revenue totaled twenty-five million dollars, down seven percent year over year, primarily reflecting the absence of certain ad insertable content and one-time benefits in the prior year period.
Non video formats, such as pause ads and branded Activations grew over 150% year over year.
These personalized and dynamic AD experiences are driving greater engagement and reinforced the stickiness of CTV formats beyond standard video ads.
Speaker #4: That said, demand indicators remain constructive, including upfront commitments for the two thousand twenty-five to two thousand twenty-six cycle up over thirty-six percent versus last year.
Net loss was $18 9 million or <unk> <unk> per share compared to a loss of $54 7 million or <unk> 17 per share in the prior year period.
Speaker #4: With nearly a third of advertisers new to fuboTV, non-video formats such as pause ads and branded activations grew over 150% year over year.
Adjusted EPS improved to <unk> compared to a loss of <unk> <unk>.
In the prior year period.
Speaker #4: These personalized and dynamic ad experiences are driving greater engagement and reinforce the stickiness of CTV formats beyond standard video ads. Net loss was eighteen point nine million dollars, or six cents per share, compared to a loss of fifty-four point seven million dollars, or seventeen cents per share, in the prior year period.
Adjusted EBITDA was positive $6 9 million representing.
Representing a year over year improvement of more than $34 million.
This marks our second consecutive quarter of positive adjusted EBITDA underscoring the strength of our cost discipline and the scalability of our model.
I would also like to point out our continued improvement in expense efficiency with total operating expenses now approaching parity with revenue our best ever third quarter performance.
Speaker #4: Adjusted EPS improved to two cents, compared to a loss of eight cents in the prior year period. Adjusted EBITDA was positive six point nine million dollars, representing a year-over-year improvement of more than thirty-four million dollars.
This reflects the benefits of disciplined content spending optimization marketing investments and ongoing focus on scalable growth.
Speaker #4: This marks our second consecutive quarter of positive adjusted EBITDA. Underscoring the strength of our cost discipline and the scalability of our model. I would also like to point out our continued improvement in expense efficiency.
From a cash flow perspective, net cash used in operating activities was $6 $5 million or $9 million increase compared to Q3 2024.
While free cash flow was negative $9 4 million.
Speaker #4: With total operating expenses now approaching parity with revenue, our best-ever third quarter performance. This reflects the benefits of disciplined content spending, optimization of marketing investments, and ongoing focus on scalable growth.
A decrease of $8 $3 million compared to the prior year.
Free cash flow improved sequentially versus Q2, but with lower year over year, driven primarily by working capital timing.
We ended the quarter with a solid liquidity position and balance sheet flexibility, including over $280 million in cash.
Speaker #4: From a cash flow perspective, net cash used and operating activities was six point five million dollars, or a nine million dollar increase compared to Q3 twenty twenty-four.
In summary, Q3 was another quarter of steady financial progress and operational execution.
Speaker #4: While free cash flow was negative nine point four million dollars, a decrease of eight point three million dollars compared to the prior year. Free cash flow improved sequentially versus Q2, but was lower year over year, driven primarily by working capital timing.
We've demonstrated consistent improvement in profitability metrics disciplined cost management and continued engagement growth.
What the Hulu plus laxity combination now complete we enter the next phase of our journey as a stronger scaled player in the pay TV ecosystem positioned to deliver sustainable profitability and long term shareholder value.
Speaker #4: We ended the quarter with a solid liquidity position and balance sheet flexibility, including over $280 million in cash. In summary, Q3 was another quarter of steady financial progress and operational execution.
With that I'll turn the call back to the operator for Q&A operator.
Thank you we will now begin the question and answer session. If you'd like to ask a question. Please press star one on your telephone keypad. We ask that you. Please limit yourself to one question and one follow up your first question today comes from the line of David Joyce from Seaport Research Partners. Your line is open.
Speaker #4: We've demonstrated consistent improvement in profitability metrics, disciplined cost management, and continued engagement growth. With the Hulu + Live TV combination now complete, we enter the next phase of our journey as a stronger, scaled player in the pay TV ecosystem, positioned to deliver sustainable profitability and long-term shareholder value.
Thank you first of all congratulations on completing the combination early.
I was wondering about the advertising side of the business. If you could build in a little bit more into what's the content that was removed to make the comparisons a little challenging but going forward.
Speaker #4: With that, I'll turn the call back to the operator for Q&A. Operator.
Speaker #5: Thank you. We will now begin the question-and-answer session. If you would like to ask a question, please press *1 on your telephone keypad.
Speaker #5: We ask that you please limit yourself to one question and one follow-up. Your first question today comes from the line of David Joyce from Seaport Research Partners.
Hugh.
You will have the new advertising relationships with Disney where theyre, taking care of the AD sales, but you get the revenue net of the.
Speaker #5: Your line is open.
AD sales commissions, so as back across all of the subscriber base.
Speaker #6: Thank you. first of all, congratulations on completing the, combination early. I was wondering about the advertising, you know, side of the business. If you could delve in a little bit more into what the, the content that was removed to make the, the comparisons a little challenging, but going forward, you will have the new advertising relationship, with Disney, where they're taking care of the ad sales, but you get, you know, the, the revenue net of the, ad sales question.
They have the ownership of on Hulu live.
<unk>.
Hey, David This is John maybe I'll take the first part of that and David will take the second on the content portion of the question just as a reminder, we dropped Univision effectively at the end of last year or so that had an impact.
Number one number two we also had some residual maximum effort.
Channel revenue in there as well and then third unrelated but there was also a political comp in there and so if I were just kind of normalize for the three of those I would say AD revenue would have been up modestly year over year for the quarter.
Speaker #6: So is that across all of the subscriber base, that, that, that they have the ownership of, on Hulu Live? Thanks.
Yeah, and David just to add to that I think when you look at the results for the quarter I think ads.
Speaker #4: hey, David, this is John. Maybe I'll take the first part of that and, David will take the second. on the content portion of the question, this has a reminder we draft Univision effectively at the end of last year or so.
<unk> has been the only minor blemish on an otherwise outstanding.
Speaker #4: That had an impact, as number one. Number two, we also had some residual maximum effort channel revenue in there as well. And then third, unrelated but there was also a political comp in there.
Quarter, but that's a high class problem, given our combination with Hulu live as we've stated Disney will be.
Taking over advertising sales and we expect that as we collaborate and integrate our inventory into Disney's ecosystem, an AD server, we should see a pretty strong results relative to where we are today. So we're very excited about that.
Speaker #4: And so, if I were to kind of normalize for the three of those, I would say ad revenue would have been up modestly year over year for the quarter.
Speaker #3: Yeah. And, David, just to add to that, I think, you know, when you look at the results for the quarter, I think ads have been the only minor blemish on an otherwise outstanding quarter. But that's a high-class problem given our combination with Hulu Live, as we've stated.
Your next question comes from the line of Patrick <unk> from Barrington Research. Your line is open.
Speaker #3: Disney will be taking over advertising sales, and we expect that as we collaborate and integrate our inventory into Disney's ecosystem and ad server, we should see pretty strong results relative to where we are today.
Hi, Thank you and congrats on completing the transaction.
I was wondering if you could.
Now that the transaction then completed could you maybe discuss some of the differentiating factors.
The basically the full services.
Speaker #3: So we're very excited about that.
Why maintain both offerings in addition to the <unk>.
Sports focused package.
Yes. This is David I'll take that so one is I think this is one of the few cases.
Speaker #5: Your next question comes from a line of Patrick Shaw from Barrington Research. Your line is open.
<unk>.
Speaker #7: Hi. thank you. And, congrats on completing the transaction. I was wondering if you could, you know, now that the transaction's been completed, could you maybe discuss some of the differentiating factors on the t the basically the full services and, you know, why maintain both offerings in addition to the sports-focused package?
When companies combine that do not have any overlapping customers, who will add does not overlap with <unk> they're similar.
Quite different we've been very focused on driving.
Our sports identity.
Branding and delivering capabilities for sports fans.
I mentioned in my opening comments Hulu has been more of a general entertainment bundle that has sports.
Speaker #3: Yeah, this is David. I'll take that. So, one is, I think this is one of the few cases of when companies combine that do not have any overlapping customers. Hulu Live does not overlap with Fubo.
And it's very important for us to continue to provide consumers with optionality.
And flexibility and Theres programming that we don't have honestly vote today.
Obviously top quality networks that are available at Hulu. So this only adds to the spectrum of offers that we provide consumers.
Speaker #3: They're, they're similar, but quite different. We've been very focused on driving, you know, our sports identity, branding, and delivering, capabilities for sports fans, that I mentioned in my opening comments.
At different price points, along the demand curve. So this is really part of our super aggregation strategy that we've talked about.
As far back as 2018 or 20 months ago.
Speaker #3: Hulu has been more of a general entertainment bundle that includes sports, and it's very important for us to continue to provide consumers with optionality and flexibility.
Okay.
The cost side yet.
Significant reduction in sales and marketing costs year over year is that partly a function just of.
Speaker #3: And there's programming that we don't have, on Fubo today, you know, obviously top quality networks that are available at Hulu. So this only adds to the spectrum of offers that we provide consumers, at different price points, along the demand curve.
Kind of maintaining your target.
Subscriber acquisition cost of about one and that like one times Arco range and just with the sports product being kind of lower cost and just being mathematical from that or is there any specific things to call out in terms of subscribers.
Speaker #3: So this is really part of Okay.
Speaker #3: our, super aggregation strategy that we talked about, you know, as far back as 18 or 20 months ago.
Subscriber retention or additions that.
You were able to find efficiencies on.
Speaker #7: And on the cost side, you had a pretty significant reduction in sales and marketing costs year over year. Is that partly a function of, kind of, maintaining your target subscriber acquisition costs of about 1 in that, like, 1 times ARPU range and just with the sports product being kind of lower cost and just being mathematical from that?
Yes, very good question. This is David I'll take that look I think that when you look at what we've been able to achieve this quarter. We had a 68% increase in net adds on a year over year basis, while decreasing our marketing spend our sales and marketing line.
Speaker #7: Or are there any specific things to call out in terms of subscriber retention or additions that you were able to find efficiencies on?
Percentage of revenue by 21%.
In part that's due to the fact that we have many more offers in the market everything from the <unk> channel store to the skinny bundle.
Speaker #3: Yeah, that's a very good question. This is David. I'll take that. Look, I think that, you know, when you look at what we've been able to achieve this quarter, we had a 68% increase in net ads on a year-over-year basis while decreasing our sales and marketing spend as a percentage of revenue by 21%.
Two our pro in the lead.
<unk> and we've also begun to leverage AI, both on channel optimizations and.
Creative testing so all of these things have worked together.
We've stated many times that our goal is to be measured and disciplined and we didn't see a reason to push any further given how expensive third quarter marketing as and the last thing I'll say is that you are right. We have stated since 2000.
Speaker #3: In part, that's due to the fact that we have many more offers in the market. Everything from the Fubo Channel Store to the Skinny Bundle, you know, to our Pro and Elite, offers.
<unk> that our goal is to maintain that sac to ARPA of one to one five times I'm very happy to say that this year, we have been well below the low end of that range. So we think we can become even more efficient, particularly as the structural shift.
Speaker #3: And we've also begun to lav-leverage, AI both on channel optimizations and, you know, creative testing. So all of these things have worked together, and, you know, we've stated many times that our goal is to be measured and disciplined, and we didn't see a reason, to push any further given how expensive third-quarter marketing is.
And consumption.
<unk> continues to move in our direction.
Your next question comes from the line of Alicia Reese from Wedbush. Your line is open.
Speaker #3: And the last thing I'll say is that, you're right. We have, stated since 2020 that our goal is to maintain that SAC to ARPU of one to 1.5 times.
Alright, thanks, Thanks for taking my questions.
I was hoping we could dig a little deeper on the skinny bundle.
20% sequential subscriber growth suggest you've seen a nice uptick so far in the subscription or to suggest that the impact was pretty limited.
Speaker #3: I'll be I'm very happy to say that this year, we've been well below, the low end of that range. So we think we can become even more efficient particularly as the structural shift, in consumption, you know, continues to move in our direction.
Can you speak to at least qualitatively to the dynamics of the skinny bundle Mccarthy's new subscribers and for those that converted from existing subscription tiers do they primarily come from the base tier mid tier or premium tier.
Speaker #5: Your next question comes from the line of Alicia Reese from Wedbush. Your line is open.
Speaker #8: All right. Thanks. thanks for taking my questions. first, I was hoping we could dig a little deeper on the Skinny Bundle. the 20% sequential subscriber growth suggests that they're you've seen a nice uptake so far in the subscription ARPU suggests that the impact was pretty limited.
Yes, Ryan this is John I'll, maybe start with that one.
I'd say, it's early days, clearly, but I'll share a couple of data points for you now.
Number one is look we feel good about the $55 99 price point.
At launch the reach was about one third of the country now, it's north of 80% heading to full distribution by the end of the year a couple of months and we see virtually no cannibalization and we think it's really expanding our addressable market and I would just add.
Speaker #8: can you speak to at least qualitatively to the dynamics of the Skinny Bundle? Like, are these new subscribers, and for those that converted from existing subscription tiers, did they primarily come from the base tier of mid-tier or premium tier?
A couple of metrics in the short term on retention and churn, it's early but I would say performing as expected, meaning better retention and lower churn relative to permanently.
Speaker #7: Yeah. So hey, Alicia, this is John. I'll, I'll maybe start with that one. Look, I'd say it's early days, clearly, but I'll, I'll share a couple of data points for you.
Speaker #7: Number one, look, we feel good about the 55.99 price point. you know, at launch, the reach was about one-third of the country. Now it's north of 80% heading to full distribution by the end of the year.
And I would just ask.
Oh, sorry, sorry go ahead.
I'm going to ask very quickly that we're seeing this type of success not only in skinny bundle, but this was a strong quarter across the board for all of our offers but of course the <unk>.
Speaker #7: a couple of months in, we see virtually no cannibalization. And we think it's really expanding our address of the market. And I would just add, you know, a couple of metrics in the short term.
Any bundle has really delivered on trial starts conversion to paid net churn at least in the in the early days of the package.
Speaker #7: On retention and churn, it's early, but I'd say we are performing as expected, meaning better retention and lower churn relative to Pro and Elite.
Okay.
And can you just discuss briefly how the.
Q3, marketing budget was allocated between promoting that'd be sports calendar in the skinny bundle.
Speaker #5: And if I could follow oh, sorry. Go ahead.
Yes look I think we have a world class marketing team.
Speaker #3: Yeah. Sorry. Go ahead. No, I was just I was just gonna add very quickly that we're seeing this type of success not only in Skinny Bundle, but this was a strong quarter across the board for all of our, our offers.
And retention team and I think we are very focused on ensuring that we scale profitably and we obviously manage almost in real time, the different packages to ensure that we're continuing to drive both top and bottom line.
Speaker #3: But of course, you know, the Skinny Bundle, has really delivered on trial starts, conversion to paid, net churn at least in the, in the early days of the package.
Your next question comes from the line of Laura Martin from Needham <unk> Company. Your line is open.
Speaker #8: Okay. Yeah. That makes sense. and, and can you just discuss, briefly how the Q3 marketing budget was allocated between promoting that heavy sports calendar and the Skinny Bundle?
David David you guys have closed.
Slide deal I'm wondering that's 4 million subs, you guys have a million and a half round numbers 96.
Speaker #3: Yeah. Look, I think we have a world-class marketing team, and retention team, and I think we've, we're very focused on ensuring that, we scale profitably.
Don't they sort of are they sort of a dog and you guys. The tail I know youre running it but.
Isn't the strategy to sort of get eclipsed by theirs because they have so many more subs and can you talk about just over the next six months nine months, how much is really you're driving.
Speaker #3: And we obviously manage, almost in real time, the different packages to ensure that we're continuing to drive both top and bottom line.
Speaker #5: Your next question comes from a line of Laura Martin from Needham and Company. Your line is open.
This company compared to some about herself or sorry, Hulu, which is so much larger.
Speaker #9: Hi, David. Now that you guys have closed the hoops of slide deal, I'm wondering they have 4 million subs. You guys have a million and a half round numbers, million six.
Yes, Laura thank you.
David.
To hear your voice look you and I have been going at this now for I don't know five years.
Speaker #9: Don't they sort of... aren't they sort of the dog and you guys the tail? I know you're running it, but I don't... isn't the strategy sort of getting eclipsed by theirs because they have so many more subs?
I remember.
And the early my first meeting with you over Covid I told you one day, we would be contribution margin positive.
Speaker #9: And can you talk about just over the next six months, nine months, how much is really you driving, this company compared to Fubo who saw or sorry, Hulu, which is so much larger?
And then two years later I told you we would be gross margin positive.
I can tell you that I don't know about dogs entails, but I can tell you.
This is no longer a fairy tale <unk> will continue to drive significant growth I can walk you through kind of areas in which that we believe that to be the case. One is youre seeing very strong net adds in a quarter of that.
Speaker #3: Yeah. Laura, thank you. this is David. good to hear your voice. look, you and I have been, going at this now for, I don't know, five years.
Speaker #3: I remember, In the early my
Speaker #9: True.
Speaker #3: First meeting with you over COVID, I told you one day we would be contribution margin positive. And then, two years later, I told you we would be gross margin positive.
Is typically very competitive.
And we've been able to add more products to market, we've had record churn net churn numbers.
All positive we removed Univision from the platform sometime in December and just to kind of give you a little peek into Q4, we're seeing a record Latino number of source Univision, which is very positive. So I think actually <unk> is going to be very important growth engine.
Speaker #3: And I can tell you that I don't know about dogs and tails, but I can tell you that this is no longer a fairy tale.
Speaker #3: Fubo will continue to drive significant growth. I can walk you through kind of areas in which that we believe that could be the case.
Speaker #3: One is you're seeing very strong net ads in a quarter that, you know, is typically very competitive. We've been able to add more products to market.
<unk> for the company there are a few areas in which were I think will really sort of hope to take advantage of this new collaboration one I think is quite obvious ESPN ecosystem of ESPN radio ESPN dotcom flagship and other.
Speaker #3: We've had record, churn net churn numbers, you know, all positive. we removed Univision from the platform sometime in December and just to kind of give you a, a little peek into Q4, you know, we're seeing record, Latino, numbers since Univision, which is very positive.
Spokes that they have within that ESPN flywheel.
Probably averages somewhere in that sort of 100 million monthly active users. This is a funnel that we have never leveraged before so we think that theres, probably significant untapped value for us to grow.
Speaker #3: So I think actually, Fubo is going to be very important, growth engine, for the company. There are a few areas in which where I think we'll really sort of hope to take advantage of this new collaboration.
Our sub base again profitably, which means it could have a very positive impact on our sales and marketing line. The second thing is an area, where I think you had.
Speaker #3: One, I think, is, is quite obvious. ESPN's ecosystem of ESPN radio, ESPN.com, flagship, and other, you know, spokes that they have within that, ESPN flywheel.
A lot of questions on in maybe a little bit of frustration around advertising.
Speaker #3: probably averages somewhere in the sort of 100 million monthly active users. This is a funnel that we have never leveraged before. So we think that there's probably significant untapped value for us to grow, our subbase.
I think that Theres significant upside.
And our relationship with Disney once part of the Disney ecosystem, all of our football basketball baseball soccer all of that inventory.
We will likely move over hopefully sooner rather than later, but we're targeting sometime in the first quarter given some of the technical hurdles that we need to.
Speaker #3: again, profitably. which means it could have a very positive impact on our sales, and marketing line. The second thing is, an area where I think you've had, a lot of questions on and, maybe a little bit of frustration around advertising.
Go through we're transitioning our AD sales team over to Disney So theres, probably some pretty significant upside from where we are today relative to where we could be if you think about Disney sports.
Speaker #3: you know, I think that there's significant upside, in our relationship with Disney. Once part of the Disney ecosystem, all of our football, basketball, baseball, soccer, all of that inventory, will likely move over, hopefully sooner rather than later, but we're targeting sometime in the first quarter given some of the technical hurdles that, we need to, go through.
<unk> and their ability to just use their scale.
To fill our available the <unk>.
Third area, which I'm really very excited about which is an area that we've significantly underperformed the market and probably a reason why the stock has underperformed as programming efficiencies, we have not been able to achieve what I would believe to be fair deals.
Speaker #3: we're transitioning our ad sales team, over to Disney. So, you know, there's probably some pretty significant upside from where we are today relative to where we could be if you think about Disney sports, CPMs and their ability to just use their scale, you know, to fill, our veils.
And thats because everything is related to the size based mfn's.
But as the sixth largest pay TV player. It doesn't really tell you much I look at this is the second largest virtual mvpds player in the market, which means that those structural shift both from a consumption perspective.
Speaker #3: the third area, which I'm really very excited about, which is an area that we've, significantly underperformed the market and probably a reason why the stock is underperformed is programming efficiencies.
As well as a monetization perspective are in our favor and we think that we'll be able to grow that and last but not least an area that we really don't discuss a lot which is the international piece, we've been really focused on our unified platform.
Speaker #3: We have not been able to achieve what I would believe to be fair deals, and that's because everything is related to size-based MFNs. But, you know, as the sixth largest pay TV player, it doesn't really tell you much.
I would like to say timing is everything that platform is almost ready to go we will be onboarding.
Speaker #3: I look at this as the second largest virtual MVBT MVPD, player in the market, which means that those structural shifts both from a consumption perspective you know, as well as a monetization perspective, are in our favor.
<unk> off of migrating onto the <unk> platform and Disney has 100 plus international subscribers.
Plus service and I think that similar to the way Hulu live has been embedded into Hulu and potentially into Disney plus we think that there's probably an opportunity for us to drive significant growth. Our ambitions have not changed we want to be the world's largest live TV provider and we are using streaming.
Speaker #3: And, we think that we'll be able to grow that. And last but not least, an area that we really don't discuss a lot, which is the international, piece.
Speaker #3: We've been really focused on our unified platform. As I like to say, timing is everything. That platform is almost ready to go. We'll be onboarding, or migrating it, onto the Fubo platform.
Streaming to make a smarter cheaper and more profitable.
TV product.
Speaker #3: And Disney has, you know, 100-plus international subscribers, and it's a D-plus service. I think that similar to the way Hulu Live has been embedded into Hulu and potentially into Disney+, we think that there's probably an opportunity for us to drive significant growth.
Super helpful.
You guys have always had a world class Tech stack do you find you're able to use any of the new generative capabilities to personalize the recommendation line or personalized what you're showing two different consumers are you using any of those capabilities to drive better product updates.
Speaker #3: Our ambitions have not changed. We want to be the world's largest live TV provider, and we're using, streaming, you know, to make a smarter, cheaper, and more profitable, you know, TV product.
Yes of course, that's a great question look I think what's interesting that people have not noticed or investors have not noticed about <unk> is that we have removed a significant number of channels from the platform yet ad inventory.
Speaker #9: Super Super helpful. is you guys have always had a world-class tech stack. Do you find you're able to use any of the new generative AI capabilities to personalize, the recommendation line or personalize what you're showing to different consumers?
Our AD avails I should say has grown year over year by about 30%. So we're really focused on is recommending the appropriate programming.
For the appropriate user at the appropriate time, and so we've been using our AI capabilities to develop highlights.
Speaker #9: Are you using any of those capabilities to drive better product updates?
Speaker #3: Yeah. Of course. that's a great question. Look, I think what's interesting that people have not noticed or, or investors have not noticed about Fubo is that we have removed a significant number of channels, from the platform, yet ad inventory, or ad avails, I should say, has grown year over year by about 30%.
All of our sports moments and really put those in front of the consumers to find that content. Most impactful one thing I will say as it relates to all of this is that.
I think when we started our I think during our testing the waters.
Roadshow, Laura you May remember this but we had a long term target.
Speaker #3: So it what we're really focused on is recommending the, the appropriate programming, for the appropriate user at the appropriate time. And so we've been using, our AI capabilities to develop, you know, highlights, for all of our sports moments, and really put those in front of the, the, the consumers that find that content, most impactful.
And we are basically almost there so I think our target was roughly around $100.
<unk>.
Revenue <unk>.
Back then and then what we said was that our goal was to achieve 30% gross margins, which would then.
Speaker #3: One thing I will say, as it relates to all of this is that, you know, I think when we, started our, I think during our testing, the waters, roadshow, Laura, you may remember this, but we had a long-term target.
Drive about 15% EBITDA margins I'd like to say, we're almost there.
Now somewhere in that.
North of 20 or roughly around 20% gross margin. This is a story that is just unfolding right now we've got we need about <unk>.
Speaker #3: And we are basically almost there. So, I think our target was roughly around $100 of, you know, revenue, ARPU, back then. And then what we said was that our goal was to achieve 30% gross margins, which would then drive about 15% EBITDA margins.
10 points to deliver on that 30.
<unk> gross margin and it's not much to believe you are talking about 300 basis points of programming efficiencies two to 300 basis points of.
Speaker #3: I, I like to say we're almost there. you know, we are now somewhere in that, north of 20, or roughly around 20%, gross margin.
Advertising uplift, one or 200 basis points in G&A and technology and then as you see our efficiencies on the sales and marketing side have also been pretty impressive. So my view is that we're almost there and this transaction will allow us to amplify all of the innovation.
Speaker #3: This is a story that is just unfolding. Right now, we've got... we need about, you know, 10 points to deliver on that 30% gross margin.
And success and execution that we put into this company. So I'm very excited about this our investors should be very excited about this and I'm, hoping Disney is excited about this as we are.
Speaker #3: And it's not much to believe. You're talking about 300 basis points of programming efficiencies, 200 to 300 basis points of, you know, advertising uplift, 100 to 200 basis points in G&A and technology, and then, as you see, our efficiencies on the sales and marketing side have also been pretty impressive.
Your next question comes from the line of Sebastiano Petti from JP Morgan Your line is open.
Hi, Thank you for taking the question and congratulations on the deal.
Speaker #3: So, you know, my view is that we're almost there, and this transaction will allow us to amplify all of the innovation, and success, and execution that we've put into this company.
Maybe if you could kind of help us think about now with the added scale that you have from the team.
TV combination with Hulu.
How are you thinking about rest of world is that still core to you over time and if so why.
Speaker #3: So I'm very excited about this. Our investors should be very excited about this, and I'm hoping Disney is excited about this as we are.
As were thinking about perhaps.
Rest of World are there synergies there maybe cross bundling opportunities when you look at Disney's International streaming services and then following up on that I guess, maybe quick one any any benefit from the Youtube TV black out of Disney from over the weekend.
Speaker #1: Your next question comes from a line of Sebastiano Petty from JP Morgan. Your line is open.
Speaker #10: Hi. Thank you for taking the question, and congratulations on the deal. Just maybe if you could kind of help us think about, now with the added scale that you have from the TV, the live TV combination with Hulu, I mean, how are you thinking about the rest of the world?
Yes. Thank you this is David look odd.
I am very bullish on rest of the world I have been it's all about a timing question.
Right now as I just said, we are very focused on migrating molotov onto the <unk> platform.
Speaker #10: Is that still core to you over time? And if so, why? And as we're thinking about perhaps the rest of the world, I mean, are there synergies or maybe cross-bundling opportunities when you look at Disney's international streaming services?
We will look to partner with Disney internationally I think this is going to create a tremendous amount of value.
Speaker #10: And then, following up on that, I guess, maybe a quick one. Any benefit from the YouTube TV blackout of Disney from over the weekend?
For both companies Disney plus.
We'll benefit from all the local programming that we're going to provide are markets like France. There are probably three or four markets, we'd like to start with in the next 18 to 24 months.
Speaker #10: Thanks.
Speaker #3: Yeah. Thank you. This is David. Look, I, I'm very bullish on rest of the world. I have been. It's all about a timing question.
And then quickly move in.
Speaker #3: Right now, as I just said, we are very focused on migrating Molotov onto the Fubo platform. You know, we'll look to partner with Disney internationally.
To other markets because the platform has been built so efficiently. It is obviously core I don't know why there's always a question around rest of World. I mean, you tell me I think Reed Hastings used to talk about the fact that he wanted to be like Youtube because 80% of youtube's revenue came from outside of the United States. We are no different we think that we can be.
Speaker #3: I think this is going to create a tremendous amount of value for both companies. Disney+, you know, will benefit from all the local programming that we're going to provide.
A global leader in the live TV streaming space, there are hundreds and hundreds of millions of people that still value of live sports live news and we're going to focus on developing that strategy in the short term and I think everyone. On both sides is very excited about that as it relates.
Speaker #3: Markets like France, there are probably, three or four markets we'd like to start with in the next 18 to 24 months. and then quickly move in, to other markets because the platform has been built so efficiently.
Speaker #3: it is obviously core. I don't know why there's always a question around rest of the world. I mean, you tell me. I think, you know, Reed Hastings used to talk about the fact that he wanted to be like YouTube because 80% of YouTube's revenue came from outside of the United States.
Two.
Youtube TV.
<unk> there.
I guess there are issues with Disney.
Speaker #3: We are no different. We think that we can be a global leader in the live TV streaming space. There are hundreds of millions of people that still value live sports and live news, and, you know, we're going to focus on developing that strategy in the short term.
Anything we can really talk about what I can say is that just like last year, we see bumps all the time from people that are looking for programming. So there's not really much to say about that the interesting thing is that while we have seen an influx of Youtube TV customers, we're seeing all around improvements as I just mentioned, including an Latino.
Speaker #3: And I think everyone on both sides is very excited about that. As it relates to, YouTube TV, and their, you know, I, I guess, you know, their issues with Disney, that's not anything we can really talk about.
In terms of subscriber growth so.
We haven't really marketed that we're not attempting to take advantage of that we'll let that play out as it will and we're focused on our own business here.
Speaker #3: what I can say is that, just like last year, we see bumps all the time, from people that are looking for programming. So it's not really much to say about that.
Thank you.
Your next question comes from the line of Clark Lanvin from BTG. Your line is open.
Speaker #3: The interesting thing is that while we have seen an influx of, YouTube TV customers, we're seeing all around improvements as I just mentioned, including in Latino, you know, in terms of subscriber growth.
Thanks, very much John maybe in light of the comments around Latam and customers trying to start <unk> could we dial it back a little bit and maybe talk about early October reads across the entire spectrum and then if we were to sort of focus a little bit more medium to long term.
Speaker #3: So, you know, we, we haven't really marketed that. we're not attempting to take advantage of that. We'll let that, play out as it will.
Speaker #3: And, you know, we're focused on our own business here.
Fill rates programming efficiencies, David I think you said that you haven't had fair deals thus far maybe update us on.
Speaker #1: Thank you. Your next question comes from a line of Clark Lampin from BTIG. Your line is open.
Revenue and expense synergies I guess on a go forward basis, and how that might impact profit trajectory at what point could we start to see sustainable sort of EBITDA and net earnings profitability. Thanks a lot.
Speaker #10: Thanks very much. John, maybe in light of the comments around, LATAM customer strength to start 4Q, could we dial it back a little bit and, maybe talk about early October reads across the entire spectrum and then, if we were to sort of focus a little bit more medium to long term, PhilRace programming efficiencies, David, I think you said that you haven't had fair deals, thus far.
On the first part of that question was that specific to advertising or is that more broad.
I can.
Correct me, if I'm wrong I guess.
Comment it sounded like it was on a subscriber basis. So is that if we were thinking about the subscriber trajectory of the business for <unk>.
Speaker #10: Maybe update us on revenue and expense synergies. I guess on a go-forward basis, and how that might impact the profit trajectory. At what point could we start to see sustainable EBITDA and net earnings profitability?
Are you seeing the same strength with sort of core demo is relative to Latam or was there some bifurcation for for one reason or another.
Speaker #10: Thanks a lot.
No actually so thanks for the question, yes, so I'd say the strength we saw through the third quarter meeting August September has continued through October and what I would say that relative to plan were exceeding I would say on <unk>.
Speaker #3: Clark, on the first part of that question, was that specific to advertising, or was that more broad?
Speaker #10: I, I, I, I correct me if I'm wrong, I guess, but, the, the comment sounded like it was on a subscriber basis. So is it i-if we're thinking about the subscriber trajectory of the business for 4Q.
Cross sell packaging and so not just Latino, but also on Canada skinny bundle.
Speaker #3: Oh.
Standalone RSA ends in English yes.
Speaker #10: Are you
Speaker #10: Seeing the same strength with sort of core demos relative to LATAM, or was there some bifurcation for one reason or another?
Yes, I would just add that look the reason why we are continuing to formulate these.
These different services and packages, because we want to reduce the cost of entry and at the same time.
Speaker #3: No. Actually, so thanks for the question. Yeah. So I'd say the strength we saw through the third quarter, meaning, you know, August, September, has continued through October.
Create attractive user economics, and youre starting to see that.
Speaker #3: And what I would say is that relative to plan, we're exceeding, I would say, on, across all packaging. And so not just Latino, but also on Canada, skinny bundle, standalone RSNs, and English.
<unk> this quarter and as I mentioned Latino is really just as little seed is that we're seeing this across the board. So typically our strongest quarters as you guys know as the back half of the year third and fourth quarter, given the strength of the sports calendar. So.
Speaker #3: Yeah. I was just sad that, look, you know, the, the reason why we're continuing to formulate, these different services and packages is because we wanna reduce the cost of entry.
Again very excited about this we're excited about our new relationship with Disney I have to say the first few days have been extremely exciting everybody seems to be on the same page.
Speaker #3: And at the same time, create attractive user economics. And you're starting to see that, unfold, this quarter and, as I mentioned, Latino is really just a little seed is that, you know, we're seeing this across the board.
No what we want and it's going to be <unk> job to execute and drive shareholder value.
And then maybe on synergies but.
Speaker #3: So, typically, our, our strongest, quarters, as you guys know, is the back half of the year, third and fourth quarter, given the strength of the sports calendar.
But when we announced the business combination in January we highlighted content and advertising as sort of the key areas of synergies David commented before about the ads team Theyre already working with Disney in their offices as of this morning. So we are moving with urgency.
Speaker #3: So, we're, again, very excited about this. We're excited about our new relationship with Disney. I have to say, the first few days have been extremely exciting.
So on the timing of that advertising synergy I would say, we will see that in the short to midterm on the content expense savings.
Speaker #3: everybody seems to be on the same page. we all know what we want. And, it's gonna be Fubo's job to, execute and, drive shareholder value.
<unk> very confident there as well I think the opportunity is meaningful and youre right its but its not just fill rate for advertising. It's other factors as well and we think Theres also CPM upside to name a couple.
Speaker #3: Yeah. And then maybe, maybe on synergies. Look, when we announced the business combination in January, we highlighted content expense and advertising as really the key areas of synergies.
Okay.
Speaker #3: David commented before about the ads team. They're already working with Disney in their offices as of this morning. So we are moving with urgency.
And that was our final question. This concludes today's conference call. We thank you for your participation and you may now disconnect.
Speaker #3: so on the timing of that advertising synergy, I would say we'll see that in the short to midterm. On the content expense savings, remain very confident, there as well.
Speaker #3: I think the opportunity is meaningful. And you're right. It's, it's but it's not just PhilRate for advertising. I-it's other factors as well. We think there's also CPM upside to name a couple.