Formula 1 Business : F1 reports $115 Mn loss this quarter due to races without fans

Formula 1 Business : Formula 1 hosted 13 of 17 planned races this season but in 12 of those fans were not allowed and that has resulted in loss of $115 Mn quarterly loss.

F1 posted an operating loss of US$115 million for the three-month period ending 30th September despite recording quarterly revenues of US$597 million.

– The global motorsport series’ third quarter income saw a US$36 million drop from the US$633 million during the same period in 2019

– The operating loss compares to a US$32 million profit last year.

– Revenue from media rights, advertising and sponsorship sales rose on a per-race basis.
The revenue decline was down to the fact that fans were only able to attend one Formula One Grand Prix – in Tuscany – between July and September, during which time the series staged ten races, compared to seven events in the same period in 2019.

In addition to the absence of fans, Formula One said its earnings were impacted by the location of races and the timing of its revised calendar, which got underway in July having been suspended in March. The series also paid out US$441 million to teams due to the increased number of races, up from US$335 million in Q3 2019.

Attributed to Formula One Group – Major achievements highlights by Liberty Media

F1 and FIA announced new five year Concorde Agreement executed with all ten teams

Completed 13 races of planned 17 race season

Lewis Hamilton sets new record of 93 Grand Prix wins, surpassing Michael Schumacher

Stefano Domenicali appointed President and CEO of F1 effective January 2021. Chase Carey will move to role of non-executive Chairman

Liquidity as of September 30 th : $2.1 billion cash, cash equivalents and revolver capacity (including $639 million of liquidity at F1)

Formula 1 owners Liberty Media also owns Major League Baseball Team Atlanta Braves

With the MLB season suspended and subsequently shortened due to the coronavirus pandemic, the franchise’s total revenue fell 48 per cent to US$110 million in Q3, down from US$212 million in the same period last year.