Formula 1 reported a 45% increase in its total revenue in the first quarter of 2024, compared to the same period in 2023. The data was revealed by Liberty Media ahead of an investor conference.
According to the results, F1 revenue between January and March 2024 was US$553 million, compared to US$381 million in the same quarter of the previous year. The growth is attributed to three main factors: race promotion fees, media rights and sponsorship.
All of these areas saw an increase driven in part by the holding of one more race in the first quarter of 2024 (three races compared to two in 2023). The calendar included the GPs in Bahrain, Saudi Arabia and Australia in March.
As a consequence of the extra fee of hosting a race, F1 also reported higher contractual media rights values, in addition to the continued growth and expansion of the F1 TV subscription service.
The sale of new Formula 2 cars, increased income from experiences and hospitality, and the leasing of the Las Vegas GP venue also contributed to the increase in revenue.
Payments to teams rose from US$112 million to US$163 million, representing growth of 46%. This increase is due ‘to the proportional recognition of payments throughout the season, considering the holding of another race, and also to the expectation of greater amounts distributed to the teams for the entire year’.
F1’s operating profit jumped from US$35 million in the first quarter of 2023 to US$136 million in the same period of 2024, an increase of 289%.
Meanwhile, Greg Maffei, CEO of Liberty Media, and Stefano Domenicali, CEO of F1, are waiting until May 21 to respond to questions from Representative Jim Jordan, chairman of the Judiciary Committee of the US House of Representatives, regarding the investigation into the blocking Andretti’s entry into the category.
Commenting on the financial results, Domenicali stated: “The 2024 season is underway, including the return to China for the first time since 2019 and the third year in Miami, which once again was an incredible event, demonstrating the growing strength of F1 in the United States.”
“We are seeing continued momentum in both financial performance and the expansion of our fan base, including through the expansion of our engagement methods,” he added.
“We have already announced the 24-race calendar for 2025, a milestone year that will celebrate the 75th anniversary of the FIA Formula 1 World Championship. We recently published our first ‘Impact Report’, and we are proud to highlight that we are on track to achieve our target of zero carbon emissions by 2030, as well as continuing to prioritize our diversity and inclusion efforts with programs like the F1 Academy , Discover Your Drive, STEM Challenge Days and much more”, concluded the F1 CEO.
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