Formula 1 CEO Stefano Domenicali says the series in its strongest position after revealing it generated over £2 billion ($2.5bn) in revenue last year.
The series’ owner Liberty Media presented its latest set of financial results on Wednesday, with revenue from F1 coming to £626 million ($754) over the final quarter of 2022.The represented a fall of 4% compared to the same period in 2021. However F1 held only six races during that period last year compared to seven the year before.
F1’s revenues rose year-on-year by 20%, despite holding the same number of races last year as it did the previous season. The 2023 F1 calendar features a record-breaking 23 rounds.
The series paid out £964m ($1.16bn) to its 10 competing teams. The financial health of its competitors is better than it has been for years, and several newcomers have expressed interest in joining the championship. The FIA began a formal process for new entrants to apply last month.
“I think F1 is in the strongest position it has ever been,” Domenicali told a call for investors after the results were announced.
He said “growing fan engagement” in the sport had been driven by increased action in races due to the new technical regulations which he said had allowed cars to race together more closely.
The 2022 season “saw record attendance at grand prix events,” according to Domenicali. “We welcomed more than 5.7 million fans to race weekends, up 36% compared to 2019. Demand is continuing into 2023, with sell-out crowds expected at a number of races this season.”
The increased interest in F1 was reflected in growing viewership online and through television, said Domenicali.
“Cumulative TV audiences for the 2022 season was 1.54 billion and average viewership for races was 70 million,” he said. “US viewership was up 36% compared to 2021, with an average of 1.2 million viewers tuning in on race days. Looking at some other markets, Italy viewership grew 22%, Australia was up 20% and Germany viewership grew 9%.”
“F1 was once again the fastest-growing major sport league on the planet in 2022 in terms of social media followers,” he added. “We had 60.6 million total followers, up 23% from 2021, and saw significant growth in markets like the US, where social followers were up 42% versus 2021 to 4.5 million.”
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Leroy (@g-funk)
1st March 2023, 17:57
Hope you sleep well at night with all that blood money coming from authoritarian regimes, Stefano.
ajpennypacker (@ajpennypacker)
1st March 2023, 20:35
I think only truly questionable one is Saudi Arabia. There are questionable things in other countries, but it’s a different level. Only Russia would have been at Saudi level and they’re out. But only because they *really* pushed* it. You know… starting a war, committing war crimes, and general disregard for international law or basic morality
Tifoso1989 (@tifoso1989)
1st March 2023, 23:06
Russia is still behind both the US and the UK in that department !
Mayrton
2nd March 2023, 11:20
an easily overlooked fair point.
tielemst
2nd March 2023, 12:23
Don’t get me started on Italy and the catholic church :-)
And as I’m dutch I’m afraid my forefathers don’t have really clean hands either.
Mark in Florida
2nd March 2023, 13:00
(@tifoso1989 I think the Roman’s murdered an estimated 420,000 in the
Colleseum. Just saying….don’t live in a glass house.
DD
2nd March 2023, 1:59
Indeed, if war is a criteria, then Russia, S. Arabia and practically all NATO countries are out of F1, including almost all drivers, teams, venues etc. Since that is too much, we satisfied with only Russia being punished (I suppose because a war in Europe is too much too accept, if it was in Middle East it would be OK, as it was before. It’s not their first rodeo, and as Tifoso said, there are worse nations in this regard, one being simultaneously involved in many conflicts, also holding three events this season).
If we forget about wars (except when it’s about Russia or eventually China, the bad guys, since S. Arabia is destroying Yemen for years now, where situation is even much worse than in Ukraine) and talk about bad regimes (whatever is the red line for this, but let’s say public beheading, hanging, stoning to death, punishing rape victims for being raped and such “little” things), well… Bahrain’s got the same kind of regime as S. Arabia, and the people of Bahrain did try to get rid of them once (and they paid the price in full…). Qatar isn’t any different as well. China is… Well, we know all about freedom in China, some have even heard about the biggest genocide in modern history that’s still going on there. Azerbaijan is very democratic indeed, as much as Syria or N. Korea. Singapore is rich, but again, as democratic as N. Korea, as victims of their regime would confirm if they were still alive. This can go on…
F1 is just a business and (kinda?) sport, but with not just accepting, but favouring the worst of the worst like Saudi regime, it simply crossed the line; even if we can’t agree what that line exactly is. Most of countries aren’t free and democratic (even USA is losing it…), but being hosted by a prince who directly orders murders and only immunity saves him… Domenicali could meet with Jamal Khashoggi’s family and look them in their faces. Or meet families of those people who were stoned to death for falling in love, or being beheaded for speaking their mind.
some racing fan
2nd March 2023, 13:20
Azerbaijan and the other Gulf countries are also pretty objectionable as well but not nearly as objectionable as Saudi.
some racing fan
2nd March 2023, 13:20
+ 1000
Simon
1st March 2023, 18:03
F1 “in strongest position ever” says Domenicali as revenue hits £2bn in 2022, eh?
My response matches Mandy Rice-Davies’ most famous quote 😐
Agree with @g-funk too…
Sam
1st March 2023, 18:43
Given that it is making a good short term profit can we now think about doing less stuff to upset long term fans? No sprints, remove or reduce effect of DRS, less bad circuits and slightly shorter calendar spring to mind.
ajpennypacker (@ajpennypacker)
1st March 2023, 20:39
Almost everything you said flies in the face of what market research done by F1 shows regarding F1 fan prerences:
– The long calendar is popular. I actually am curious what you have against it. Love having more events to enjoy
– Sprint races made a comeback because people liked them. Some more than others, but the experiment would have gone away if people hated them
– Less bad circuits… I didn’t see a study about this, but generally speaking I think fans agree that some circuits are consistently boring and need modifications or make room for better ones
– Reduce the effect of DRS. This hasn’t been called out specifically but the general sentiment is that people want to see close fights, not overtakes on straights aided by DRS so, agreed
Esploratore (@esploratore1)
2nd March 2023, 3:52
As a long time fan I also like the long calendar, however I agree with the other points he made.
Esploratore (@esploratore1)
2nd March 2023, 3:53
Oh, yes, and ofc, although I wasn’t impressed by most of the sprint race action, we mustn’t forget they don’t replace a race or qualifying, they replace a boring practice, don’t see what’s bad about getting rid of practice!
Sam
2nd March 2023, 13:21
F1 is not the only motorsport that I follow. I need be selective with my time. F1 either needs to be very good or there are other motorsports that are more worthwhile. Arguably, a competitive season of F1 is the best motorsport to follow but an uncompetitive F1 is typically less interesting than an uncompetitive season (at least I find this is true for multi-class endurance races).
Give me a 16 to 18 race long F1 season of uncompetitiveness and I will probably stick it out. But get me 8 races in to an uncompetitive season and I know I have another 15 races to go… I guess I will just follow another series or series instead. Some random GT category that I know nothing about perhaps.
LyndaMarks
1st March 2023, 19:05
And yet I’m seeing more and more fans starting to talk about been down on and less connected to the sport……. Oh yeah because it is no longer a sport.
The show and super duper flashey spectacle GP1 may be good but the sport of F1 is the worst I’ve ever seen in.
ajpennypacker (@ajpennypacker)
2nd March 2023, 16:29
Maybe it isn’t working for you, but it’s working for more people than ever globally. The sport will continue to evolve. Some will go along with it and a few will just resent the changes. It has always been the same. There are people still mourning the F1 era of the 70s. People always romanticize the past.
drmouse (@drmouse)
1st March 2023, 19:27
How’s about giving sooner back to struggling teams, then? No?
Crawliin-from-the-wreckage (@davedai)
2nd March 2023, 8:28
The boot?
Mayrton
2nd March 2023, 11:26
Well there might be nothing to give back. It just states revenue which is not even half of the story when looking at financial numbers. Just mentioning revenue serves little more than flashing a rolex in a bar.
drmouse (@drmouse)
2nd March 2023, 13:53
You’re right, there.
I can’t see the cost of running F1 having increased by as much as that, so it should mean greater profits. We won’t know without being given profit figures though.
Qeki (@qeki)
1st March 2023, 20:23
All they care about big numbers but if it is about teams then 10 is maximum.
MichaelN
1st March 2023, 22:34
Only according to the current teams, and the FIA entry process outlined in the F1 regulations doesn’t afford them any say. This is ripe for a legal case against the Concorde Agreement. The teams will fight this, of course, as that 1,1 milliard USD is a nice sum to spread around. While the division isn’t equal, every team is getting very rich off of this arrangement – even those that bungle around the back of the grid for years.
kevin citron
1st March 2023, 22:28
how about giving back some to the fans you screwed over at SPA?
grat
1st March 2023, 22:54
$2.2 billion if a new team comes in before the extortion fee is raised.
But yet, they still whine, and the team principals are seriously in danger of wasting pounds to save pennies.
playstation361
1st March 2023, 23:22
So finally the good old bluechip is yielding dividend for the investors everywhere. The big thing thing here is the difference long term, short term or intraday. One more thing is the management how long they survive in a competitive race oriented atmosphere. Lets wait and see where are we heading. Its time to celebrate time being as of now.
Mayrton
2nd March 2023, 7:32
With all that money maybe create roles for team bosses wifes? O wait..
Crawliin-from-the-wreckage (@davedai)
2nd March 2023, 8:37
I want to know where to send a congratulatory, well done gold Rolex for this monumental achievement. Bernie was right. Old white men are responsible for the underpinning and future growth of F1.
Well done chasps! Flaps down, chocks away. Well done Biffo!
floodo1 (@floodo1)
2nd March 2023, 14:15
So they’re going to lower race fees to help lower ticket prices right? They’re going to lower TV fees too right?