FuboTV Inc.

Previous wording

The following discussion and analysis by our management of our financial condition and results of operations should be read in conjunction with our unaudited condensed consolidated financial statements and the accompanying related notes included in this Quarterly Report, the audited consolidated financial statements and related notes and Management’s Discussion and Analysis of Financial Condition and Results of Operations of Fubo and the Hulu Live Business included in the HL Business Closing 8-K. The historical financial results and information presented below reflect the Hulu Live Business prepared on a carve-out basis for periods prior to the consummation of the Business Combination. As a result, the historical results of the Hulu Live Business are not necessarily comparable to the results of the combined company following the Business Combination. Some of the information contained in this discussion and analysis or set forth elsewhere in this Quarterly Report, including information with respect to our plans and strategy for our business, includes forward-looking statements that involve risks and uncertainties. You should review the sections titled “Forward-Looking Statements” and “Risk Factors” for a discussion of forward-looking statements and important factors that could cause actual results to differ materially from the results described in or implied by the forward-looking statements contained in the following discussion and analysis. Our historical results are not necessarily indicative of the results that may be expected for any period in the future.

Current wording

The following discussion and analysis by our management of our financial condition and results of operations should be read in conjunction with our unaudited condensed consolidated financial statements and the accompanying related notes included in this Quarterly Report, the audited combined financial statements and related notes and Management’s Discussion and Analysis of Financial Condition and Results of Operations of Fubo and the Hulu Live Business included in the HL Business Closing 8-K. The historical financial results and information presented below reflect the Hulu Live Business prepared on a carve-out basis for periods prior to the consummation of the Business Combination. As a result, the historical results of the Hulu Live Business are not necessarily comparable to the results of the combined company following the Business Combination. Some of the information contained in this discussion and analysis or set forth elsewhere in this Quarterly Report, including information with respect to our plans and strategy for our business, includes forward-looking statements that involve risks and uncertainties. You should review the sections titled “Forward-Looking Statements” and “Risk Factors” for a discussion of forward-looking statements and important factors that could cause actual results to differ materially from the results described in or implied by the forward-looking statements contained in the following discussion and analysis. Our historical results are not necessarily indicative of the results that may be expected for any period in the future.

Previous wording

As a result, the financial results and information included herein for the six month periods ended March 31, 2026 reflects (x) the results of the Hulu Live Business prepared on a carve-out basis for the period from September 28, 2025 through October 28, 2025, and excludes Fubo’s results for this period, and (y) the results of combined Fubo and Hulu Live businesses for the period from October 29, 2025 through March 31, 2026. The financial results and information for all historical periods presented herein reflect the results of the Hulu Live Business prepared on a carve-out basis and excludes the results of the historical Fubo business. Therefore, the historical results of the Hulu Live Business are not necessarily comparable to the results of the Company following the Business Combination.

Current wording

As a result, the financial results and information included herein for the nine month periods ended June 30, 2026 reflects (x) the results of the Hulu Live Business prepared on a carve-out basis for the period from September 28, 2025 through October 28, 2025, and excludes Fubo’s results for this period, and (y) the results of combined Fubo and Hulu Live businesses for the period from October 29, 2025 through June 30, 2026. The financial results and information for all historical periods presented herein reflect the results of the Hulu Live Business prepared on a carve-out basis and excludes the results of the historical Fubo business. Therefore, the historical results of the Hulu Live Business are not necessarily comparable to the results of the Company following the Business Combination.

Previous wording

Our ability to compete successfully will depend, among other things, on our ability to obtain and package desirable content and deliver it to our subscribers at competitive prices. The addition or loss of popular content or channels, including our ability to enter into new content deals or negotiate renewals with our content providers on terms that are favorable to us, or at all, could affect our results and our ability to grow our business. Content costs represent the majority of our “Subscriber related expenses” and the largest component of our total operating expenses. We have seen an increase in these costs in recent periods. As a result, the renewal of long-term content contracts may be on less favorable pricing terms in the future, which could pressure our margins if we are unable to pass these increased programming costs on to our subscribers. In addition, as content providers bring to market their own direct-to-consumer streaming services, including the simulcasting and/or exclusive distribution of sporting events, the differentiated value proposition offered by our services may diminish. Moreover, if current or future content partners refuse to grant our subscribers access to stream certain channels, or make their content available on their own DTC platform or our competitors’ platforms, whether exclusively or at more attractive pricing, this could adversely affect our ability to acquire and retain subscribers, which could materially and adversely affect our business, financial condition and results of operations.

Current wording

Our ability to compete successfully will depend, among other things, on our ability to obtain and package desirable content and deliver it to our subscribers at competitive prices. The addition or loss of popular content or channels, including our ability to enter into new content deals or negotiate renewals with our content providers on terms that are favorable to us, or at all, could affect our results and our ability to grow our business. Content costs represent the majority of our “Subscriber related expenses” and the largest component of our total operating expenses. We have seen an increase in these costs in recent periods. As a result, the renewal of long-term content contracts may be on less favorable pricing terms in the future, which could pressure our margins if we are unable to pass these increased programming costs on to our subscribers. In addition, as content providers bring to market their own direct-to-consumer ("DTC") streaming services, including the simulcasting and/or exclusive distribution of sporting events, the differentiated value proposition offered by our services may diminish. Moreover, if current or future content partners refuse to grant our subscribers access to stream certain channels, or make their content available on their own DTC platform or our competitors’ platforms, whether exclusively or at more attractive pricing, this could adversely affect our ability to acquire and retain subscribers, which could materially and adversely affect our business, financial condition and results of operations.

Previous wording

Other income (expense) primarily consists of gains and losses in extinguishment of debt, interest income, interest expense and financing costs on our outstanding borrowings, gain on the settlement of litigation, net and amortization of debt premium and discount.

Current wording

Other income (expense) primarily consists of gains and losses in extinguishment of debt, interest income, interest expense and financing costs on our outstanding borrowings, gains and losses on settlement of litigation, and amortization of debt premium and discount.

Previous wording

Results of Operations for the Three and Six Months Ended March 31, 2026 and March 29, 2025 (in thousands):

Current wording

Results of Operations for the Three and Nine Months Ended June 30, 2026 and June 28, 2025 (in thousands):

Previous wording

During the three months ended March 31, 2026, we recognized revenues of $1,573.9 million compared to $1,125.5 million during the three months ended March 29, 2025. The increase of $448.4 million was primarily due to an increase in subscription revenue of $347.0 million from the Fubo Services as a result of the Business Combination and an increase in advertising revenue of $101.6 million. There was no subscription revenue during the three months ended March 29, 2025. The increase in related party revenue was primarily due to an increase in carriage fees primarily from an increase in subscribers and contractual rates. The increase in advertising revenue is primarily due to the addition of advertising revenue from both the Fubo Services and Hulu Live Service. There was no advertising revenue recognized during the three months ended March 29, 2025.

Current wording

During the three months ended June 30, 2026, we recognized revenues of $1,481.7 million compared to $1,073.8 million during the three months ended June 28, 2025. The increase of $407.9 million was primarily due to an increase in subscription revenue of $300.4 million from the Fubo Services as a result of the Business Combination and an increase in advertising revenue of $108.9 million partially offset by a decrease in related party revenue of $3.2 million. There was no subscription revenue during the three months ended June 28, 2025. The decrease in related party revenue was primarily due to a decrease in carriage fees. The increase in advertising revenue is primarily due to the addition of advertising revenue from both the Fubo Services and Hulu Live Service. There was no advertising revenue recognized during the three months ended June 28, 2025.

Previous wording

During the six months ended March 31, 2026, we recognized revenues of $3,122.6 million compared to $2,231.5 million during the six months ended March 29, 2025. The increase of $891.1 million was primarily due to an increase in subscription revenue of $639.2 million from the Fubo Services as a result of the Business Combination, an increase in advertising revenue of $193.1 million and an increase in related party revenue of $56.8 million from the Hulu Live Service. There was no subscription revenue during the six months ended March 29, 2025. The increase in related party revenue was primarily due to an increase in carriage fees primarily from an increase in subscribers and contractual rates. The increase in advertising revenue is primarily due to the addition of advertising revenue from both the Fubo Services and Hulu Live Service. There was no advertising revenue recognized during the six months ended March 29, 2025.

Current wording

During the nine months ended June 30, 2026, we recognized revenues of $4,604.3 million compared to $3,305.3 million during the nine months ended June 28, 2025. The increase of $1,299.0 million was primarily due to an increase in subscription revenue of $939.7 million from the Fubo Services as a result of the Business Combination, an increase in advertising revenue of $302.0 million and an increase in related party revenue of $53.6 million from the Hulu Live Service. There was no subscription revenue during the nine months ended June 28, 2025. The increase in related party revenue was primarily due to an increase in carriage fees. The increase in advertising revenue is primarily due to the addition of advertising revenue from both the Fubo Services and Hulu Live Service. There was no advertising revenue recognized during the nine months ended June 28, 2025.

Previous wording

During the three months ended March 31, 2026, we recognized subscriber related expenses of $1,445.7 million compared to $1,122.7 million during the three months ended March 29, 2025. The increase of $323.0 million was primarily due to the addition of program license fees from the Fubo Services as a result of the Business Combination and an increase in program license fees on the Hulu Live Service due to an increase in subscribers and program license contractual rates.

Current wording

During the three months ended June 30, 2026, we recognized subscriber related expenses of $1,364.7 million compared to $1,071.0 million during the three months ended June 28, 2025. The increase of $293.7 million was primarily due to the addition of program license fees from the Fubo Services as a result of the Business Combination and an increase in program license fees on the Hulu Live Service due to an increase in program license contractual rates.

Previous wording

During the six months ended March 31, 2026, we recognized subscriber related expenses of $2,873.5 million compared to $2,225.1 million during the six months ended March 29, 2025. The increase of $648.4 million was primarily due to the addition of program license fees from the Fubo Services as a result of the Business Combination and an increase in program license fees on the Hulu Live Service due to an increase in subscribers and program license contractual rates.

Current wording

During the nine months ended June 30, 2026, we recognized subscriber related expenses of $4,238.2 million compared to $3,296.1 million during the nine months ended June 28, 2025. The increase of $942.0 million was primarily due to the addition of program license fees from the Fubo Services as a result of the Business Combination and an increase in program license fees on the Hulu Live Service due to an increase in program license contractual rates.

Previous wording

During the three months ended March 31, 2026, we recognized broadcasting and transmission expenses of $9.3 million from the Fubo Services as a result of the Business Combination. There are no comparable results in the prior period.

Current wording

During the three months ended June 30, 2026, we recognized broadcasting and transmission expenses of $9.1 million from the Fubo Services as a result of the Business Combination. There are no comparable results in the prior period.

Previous wording

During the six months ended March 31, 2026, we recognized broadcasting and transmission expenses of $18.2 million from the Fubo Services as a result of the Business Combination. There are no comparable results in the prior period.

Current wording

During the nine months ended June 30, 2026, we recognized broadcasting and transmission expenses of $27.3 million from the Fubo Services as a result of the Business Combination. There are no comparable results in the prior period.

Previous wording

During the three months ended March 31, 2026, we recognized sales and marketing expenses of $58.1 million compared to $2.0 million during the three months ended March 29, 2025. The increase of $56.1 million was primarily due to sales and marketing expenses from the Fubo Services as a result of the Business Combination.

Current wording

During the three months ended June 30, 2026, we recognized sales and marketing expenses of $59.2 million compared to $1.2 million during the three months ended June 28, 2025. The increase of $58.1 million was primarily due to sales and marketing expenses from the Fubo Services as a result of the Business Combination.

Previous wording

During the six months ended March 31, 2026, we recognized sales and marketing expenses of $117.3 million compared to $4.2 million during the six months ended March 29, 2025. The increase of $113.1 million was primarily due to sales and marketing expenses from the Fubo Services as a result of the Business Combination.

Current wording

During the nine months ended June 30, 2026, we recognized sales and marketing expenses of $176.6 million compared to $5.4 million during the nine months ended June 28, 2025. The increase of $171.2 million was primarily due to sales and marketing expenses from the Fubo Services as a result of the Business Combination.

Previous wording

During the three months ended March 31, 2026, we recognized technology and development expenses of $20.8 million from the Fubo Services as a result of the Business Combination. There are no comparable results in the prior period.

Current wording

During the three months ended June 30, 2026, we recognized technology and development expenses of $20.9 million from the Fubo Services as a result of the Business Combination. There are no comparable results in the prior period.

Previous wording

During the six months ended March 31, 2026, we recognized technology and development expenses of $34.4 million from the Fubo Services as a result of the Business Combination. There are no comparable results in the prior period.

Current wording

During the nine months ended June 30, 2026, we recognized technology and development expenses of $55.3 million from the Fubo Services as a result of the Business Combination. There are no comparable results in the prior period.

Previous wording

During the three months ended March 31, 2026, general and administrative expenses totaled $13.1 million, compared to $41.7 million during the three months ended March 29, 2025. The decrease of $28.7 million was primarily due to the absence of certain expense allocations following the closing of the Business Combination, offset by an increase in expenses from Fubo during the three months ended March 31, 2026.

Current wording

During the three months ended June 30, 2026, general and administrative expenses totaled $18.1 million, compared to $39.6 million during the three months ended June 28, 2025. The decrease of $21.5 million was primarily due to the absence of certain expense allocations from Disney and Hulu following the closing of the Business Combination, offset by an increase in expenses from Fubo during the three months ended June 30, 2026.

Previous wording

During the six months ended March 31, 2026, general and administrative expenses totaled $48.4 million, compared to $81.6 million during the six months ended March 29, 2025. The decrease of $33.2 million was primarily due to the absence of certain expense allocations following the closing of the Business Combination, offset by an increase in expenses from Fubo during the six months ended March 31, 2026.

Current wording

During the nine months ended June 30, 2026, general and administrative expenses totaled $66.5 million, compared to $121.2 million during the nine months ended June 28, 2025. The decrease of $54.8 million was primarily due to the absence of certain expense allocations from Disney and Hulu following the closing of the Business Combination, offset by an increase in expenses from Fubo during the nine months ended June 30, 2026.

Previous wording

During the three months ended March 31, 2026, we recognized depreciation and amortization expenses of $36.0 million. There are no comparable results in the prior period.

Current wording

During the three months ended June 30, 2026, we recognized depreciation and amortization expenses of $36.2 million. There are no comparable results in the prior period.

Previous wording

During the six months ended March 31, 2026, we recognized depreciation and amortization expenses of $60.2 million. There are no comparable results in the prior period.

Current wording

During the nine months ended June 30, 2026, we recognized depreciation and amortization expenses of $96.5 million. There are no comparable results in the prior period.

Previous wording

During the three months ended March 31, 2026, we recognized $3.2 million of other income, net. There are no comparable results in the prior period.

Current wording

During the three months ended June 30, 2026, we recognized $1.6 million of other income, net. There are no comparable results in the prior period.

Previous wording

During the six months ended March 31, 2026, we recognized $4.9 million of other income, net. There are no comparable results in the prior period.

Current wording

During the nine months ended June 30, 2026, we recognized $6.5 million of other income, net. There are no comparable results in the prior period.

Previous wording

During the three months ended March 31, 2026, we recognized an income tax provision of $0.3 million. There are no comparable results in the prior year.

Current wording

During the three months ended June 30, 2026, we recognized an income tax provision of $0.7 million. There are no comparable results in the prior year.

Previous wording

During the six months ended March 31, 2026, we recognized an income tax provision of $0.7 million. There are no comparable results in the prior year.

Current wording

During the nine months ended June 30, 2026, we recognized an income tax provision of $1.4 million. There are no comparable results in the prior year.

Previous wording

We had 5.7 million and 5.9 million Total Subscribers in the United States and Canada ("North America" or "NA") as of March 31, 2026 and March 29, 2025, respectively, and 0.328 million and 0.354 million Total Subscribers in the remaining territories in which the Company operates ("Rest of World" or "ROW") as of March 31, 2026 and March 29, 2025, respectively.

Current wording

We had 5.75 million and 5.63 million Total Subscribers in the United States and Canada ("North America" or "NA") as of June 30, 2026 and June 28, 2025, respectively, and 0.356 million and 0.349 million Total Subscribers in the remaining territories in which the Company operates ("Rest of World" or "ROW") as of June 30, 2026 and June 28, 2025, respectively.

Previous wording

Our Gross Profit was $118.9 million and $2.8 million for the three months ended March 31, 2026 and March 29, 2025, respectively. Our Gross Margin was 7.6% and 0.2% for the same periods, respectively.

Current wording

Our Gross Profit was $107.9 million and $2.8 million for the three months ended June 30, 2026 and June 28, 2025, respectively. Our Gross Margin was 7.3% and 0.3% for the same periods, respectively.

Previous wording

Our Gross Profit was $230.9 million and $6.3 million for the six months ended March 31, 2026 and March 29, 2025, respectively. Our Gross Margin was 7.4% and 0.3% for the same periods, respectively.

Current wording

Our Gross Profit was $338.8 million and $9.1 million for the nine months ended June 30, 2026 and June 28, 2025, respectively. Our Gross Margin was 7.4% and 0.3% for the same periods, respectively.

Previous wording

As of March 31, 2026, we had cash, cash equivalents, and restricted cash of $244.0 million. Based on our current outlook, we expect to primarily use our cash and cash equivalents, and cash flows from operations, to fund our operations. However, our future capital requirements will depend on many factors, including, but not limited to, those detailed in Part II, Item 1A, Risk Factors in this Quarterly Report. We therefore may from time to time seek to raise additional capital, to, among other things, fund tax distributions under the Newco Operating Agreement, payments under the Tax Receivables Agreement with Newco and Hulu, if necessary, the redemption right held by Hulu that it may exercise from time to time (should we elect to exchange their Class B Common Stock for a cash payment), repurchases of our debt or equity securities or, if a change in market conditions or other circumstances impacts our current outlook and/or liquidity needs, to fund our operating plan. We also may raise capital from time to time to strengthen our balance sheet and enhance our liquidity. In addition, we may seek to repurchase, refinance or restructure our outstanding debt securities prior to their maturity in one or more transactions, which may involve the payment of cash or the issuance of additional debt or equity securities.

Current wording

As of June 30, 2026, we had cash, cash equivalents, and restricted cash of $236.4 million. Based on our current outlook, we expect to primarily use our cash and cash equivalents, and cash flows from operations, to fund our operations. However, our future capital requirements will depend on many factors, including, but not limited to, those detailed in Part II, Item 1A, Risk Factors in this Quarterly Report. We therefore may from time to time seek to raise additional capital, to, among other things, fund tax distributions under the Newco Operating Agreement, payments under the Tax Receivables Agreement with Newco and Hulu, if necessary, the redemption right held by Hulu that it may exercise from time to time (should we elect to exchange their Class B Common Stock for a cash payment), repurchases of our debt or equity securities or, if a change in market conditions or other circumstances impacts our current outlook and/or liquidity needs, to fund our operating plan. We also may raise capital from time to time to strengthen our balance sheet and enhance our liquidity. In addition, we may seek to repurchase, refinance or restructure our outstanding debt securities prior to their maturity in one or more transactions, which may involve the payment of cash or the issuance of additional debt or equity securities.

Previous wording

Net cash used in operating activities was $412.4 million during the six months ended March 31, 2026 compared to net cash used in operating activities of $90.0 million during the six months ended March 29, 2025. The change was primarily driven by the operating activities of the Fubo Services as a result of the Business Combination.

Current wording

Net cash used in operating activities was $417.1 million during the nine months ended June 30, 2026 compared to net cash used in operating activities of $127.7 million during the nine months ended June 28, 2025. The change was primarily driven by the operating activities of the Fubo Services as a result of the Business Combination.

Previous wording

Net cash provided by investing activities was $261.7 million during the six months ended March 31, 2026. The change was primarily driven by cash received of $268.1 million from legacy Fubo as a result of the Business Combination. There were no investing activities during the six months ended March 29, 2025.

Current wording

Net cash provided by investing activities was $258.9 million during the nine months ended June 30, 2026. The change was primarily driven by cash received of $268.1 million from legacy Fubo as a result of the Business Combination. There were no investing activities during the nine months ended June 28, 2025.

Previous wording

Net cash provided by financing activities was $394.6 million during the six months ended March 31, 2026 compared to net cash provided by financing activities of $90.0 million during the six months ended March 29, 2025. The change was primarily driven by an increase in net contribution from Disney for the period prior to the Closing Date and note payable - related party, partially offset by the repayment of convertible notes.

Current wording

Net cash provided by financing activities was $394.6 million during the nine months ended June 30, 2026 compared to net cash provided by financing activities of $127.7 million during the nine months ended June 28, 2025. The change was primarily driven by an increase in net contribution from Disney for the period prior to the Closing Date and note payable - related party, partially offset by the repayment of convertible notes.

Previous wording

Since the Closing Date of the Business Combination, the Company experienced significant decreases in its stock price and market capitalization. We determined that the decrease in our stock price and market capitalization represented a triggering event. As a result, the Company engaged an independent valuation specialist to conduct a quantitative interim impairment test of its goodwill as of March 31, 2026, employing both the income approach (discounted cash flow) and market approach. In completing the quantitative impairment test, the Company compared the reporting unit’s fair value, primarily based on future discounted cash flows, to its carrying value in order to determine if an impairment charge is warranted. The estimates of future discounted cash flows involve considerable management judgment and are based upon certain significant assumptions including the weighted average cost of capital as well as projected EBITDA, which includes assumptions related to revenue growth rates and operating expenses. The weighted average cost of capital and long-term growth rate used to determine the fair value of the reporting unit were 13.0% and 3%, respectively. Based on the interim impairment assessment, the Company concluded that the estimated fair value of the reporting unit exceeded its carrying value by approximately 3.6% and the Company concluded no impairment was warranted.

Current wording

Since the Closing Date of the Business Combination, the Company experienced significant decreases in its stock price and market capitalization. During the period ended March 31, 2026, the Company determined that the decreases in its stock price and market capitalization represented a triggering event. As a result, the Company engaged an independent valuation specialist to conduct a quantitative interim impairment test of its goodwill as of March 31, 2026, employing both the income approach (discounted cash flow) and market approach. In completing the quantitative impairment test, the Company compared the reporting unit’s fair value, primarily based on future discounted cash flows, to its carrying value in order to determine if an impairment charge is warranted. The estimates of future discounted cash flows involve considerable management judgment and are based upon certain significant assumptions including the weighted average cost of capital as well as projected EBITDA, which includes assumptions related to revenue growth rates and operating expenses. The weighted average cost of capital and long-term growth rate used to determine the fair value of the reporting unit were 13.0% and 3.0%, respectively. Based on the interim impairment assessment, the Company concluded that the estimated fair value of the reporting unit exceeded its carrying value by approximately 3.6% and the Company concluded no impairment was warranted.

Previous wording

There were no stock options granted during the six months ended March 31, 2026.

Current wording

There were no stock options granted during the nine months ended June 30, 2026.