Formula 1 is approaching an annual revenue of $4 billion, following a 14 percent rise that brought total revenue to $3.9 billion, according to the latest financial report. This growth reflects the increasing global popularity of the sport and coincides with Liberty Media’s announcement of an 11 percent rise in team payments to $1.4 billion ahead of the 2026 season, which will welcome Cadillac as the 11th team on the grid.
Since Liberty Media’s acquisition of Formula 1 in 2017, the company reported that operating income climbed from $492 million at the end of 2024 to $632 million projected for 2025, highlighting a robust financial upward trend.
Expanding Presence and Revenue Drivers
The report reveals that media rights continue to be the largest source of revenue, accounting for nearly one-third of total income, with new broadcasters such as Apple entering the market for the 2026 season. Additionally, attendance figures for 2025 increased compared to the previous year, underscoring the sport’s growing fanbase.
Alongside Formula 1, Liberty Media also manages MotoGP, which in its first year under Liberty saw $325 million in revenue, marking a promising start for the two-wheeled motorsport discipline.
Leadership Highlights Growth and Future Plans
Stefano Domenicali, Formula 1’s president and CEO, commented on the recent season:
“Formula 1 finished another record-breaking season, marking an exceptional 75th anniversary year for the sport,”
emphasizing the milestone achievements.
He also noted upcoming changes:
“The next chapter of F1 brings on-track excitement with a new race in Madrid, the debut of Cadillac and Audi and the return of Honda and Ford to the grid.”
Derek Chang, Chief of Liberty Media, expressed optimism about 2025, saying:
“2025 was an exceptional and productive year for Liberty, and we are excited about the opportunities ahead,”
and underscored the company’s focus:
“This year, we remain focused on sustaining F1’s momentum, positioning MotoGP for future growth and remaining disciplined yet opportunistic with our capital to drive shareholder value.”
New Agreements and Partnerships Boost Stability
The recent signing of a revised Concorde Agreement through 2030 ensures continued team payment structures, providing financial stability within the sport. The increasing involvement of marquee brands such as Disney, Lego, Pepsi, Apple, and Standard Chartered further reflects Formula 1’s growing commercial appeal globally, cementing its status as a premier motorsport property.
Outlook for Formula 1’s Continued Expansion
With revenue growth nearing the $4 billion mark, expanding team participation, and an inflow of prominent partners and broadcasters, Formula 1 is positioned to maintain strong commercial momentum. The addition of new teams like Cadillac and the return of established manufacturers such as Honda and Ford promise to deepen the competition and enhance fan engagement worldwide. As Liberty Media continues to advance both Formula 1 and MotoGP, the sports are likely to see further development and increased global reach in the coming years.
