FuboTV Jumps 11% on Upbeat Early Q3 Results, Closing Fubo Gaming

FuboTV jumps 11% on upbeat early Q3 results, closing Fubo Gaming.The company expects to close the third quarter with at least $210M in North American revenue (up 34% year-over-year), up from $200M-$205M, with Rest of World revenue coming in at least $5.5M (vs. previous guidance for $5M-$6M).

Paid subscribers in North America, meanwhile, are expected to crest 1,220,000, up more than 27% and vs. guidance for 1.135M-1.155M, with Rest of World paid subs hitting 350,000 (vs. guidance for 340,000-360,000).

It also expects to post about -$100M in adjusted earnings before interest, taxes, depreciation and amortization in Q3. It says cash and equivalents at quarter-end will be at least $300M.

The company also says it's wrapped its strategic review of its gaming business with a decision to close it.

"While multiple parties expressed interest in the business, none of these opportunities would have allowed Fubo to lower its funding requirements and generate sufficient returns to shareholders," FuboTV says. "As a result, FuboTV will close its Fubo Gaming subsidiary and cease operation of its owned-and-operated Fubo Sportsbook effective immediately."

The company reports full results Nov. 4; Street expectations are for earnings per share of -$0.65 on revenues up 34% to $209.6M.