Imagine celebrating, after reaching $1 billion in annual revenues, that your company has finally produced a gross profit. That's exactly what fuboTV (NYSE: FUBO) did in its fourth-quarter letter to shareholders on Monday.

The sports-centric live TV streaming service has had no problem gaining subscribers, which is not surprising given that the company is essentially giving away its service at cost. Its nearly 1.5 million subscribers drove just over $1 billion of revenue in 2022, with 90% coming from subscription fees and 10% coming from advertising. If only it didn't cost fuboTV about the same amount to actually deliver its service.

In the fourth quarter, FuboTV managed to push total revenue barely above the direct costs to deliver its streaming platform to subscribers. Subscriber-related expenses plus broadcasting and transmission costs added up to $316.7 million -- a hair below the $319.3 million in revenue the company generated.

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Source Fool.com