Extended grand prix calendar see Formula 1 revenues increase by 20%

Extra grands prix - the return of the Chinese and Emilia Romagna Grands Prix - have seen Formula 1 revenues increase in the second quarter of 2024, up 20% from the previous year, totalling $871 million.

Formula One Group has announced a significant revenue increase compared to $724 million in the second quarter of 2023, reflects a thriving season marked by increased race numbers and viewer engagement.

This financial success was underpinned by the expansion of the race calendar from six to eight races during the second quarter of 2024, including the return of the Chinese Grand Prix and the Emilia Romagna Grand Prix, both of which were cancelled last year.

The after-effects of COVID-19 prevented the former, whereas heavy flooding stopped the race in Imola from going ahead.

The earnings boost also saw operating income rise by 17% year-over-year, reaching $84 million from $72 million.

Formula 1’s primary revenue increased mainly due to growth in media rights and sponsorship, which was partly boosted by the additional two grand prix.

Significantly, media rights revenue has been aided by increased F1 TV subscriptions, as confirmed by the report. The report also added that "Race promotion revenue was relatively flat in the second quarter as fees from the additional races were offset by the different mix of events compared to the prior year period.

"Other F1 revenue increased in the second quarter primarily due to higher hospitality, freight, travel, technical services and F2 and F3 income driven by the additional races held in the current period."

The cost implications of additional events slightly increased team payments - from $344 million to $345 million however, the competitive spirit of the season soared.

Upon the publication of the results, Formula 1 Chief Executive Stefano Domenicali noted “The F1 season is seeing phenomenal racing, with seven different winners through 14 races and tighter gaps across the grid.

"Social media followers are up over 30% across F1 platforms and we had 3.7 million race attendees through the first half of the season with ten sellout crowds.

“F1 Academy is off to a strong start in its first season running all events alongside F1 race weekends.

"Together with the Sprint and FIA F2 and F3, it is adding to the exciting on-track action and bringing added value to our fans, promoters and sponsors.”

Greg Maffei, President and Chief Executive of Liberty Media, which holds the commercial rights to Formula 1 added "F1 is having an incredible season with particularly high engagement in growth markets.

"Five races have already set US live viewership records for their events, and we look forward to our new opportunities ahead."

Formula One is currently on its summer break but returns to action at the Dutch Grand Prix from 23rd to 25th August.

Image. Chinese Grand Prix 2024 Credit: Formula 1