Formula One Group (FWONA) Investor Day 2024 summary

Strategic and structural evolution

• Announced major structural simplification: spinning off Liberty Live and merging Liberty Broadband with Charter, aiming to eliminate tracking stocks and create pure-play, asset-backed public companies.

• Liberty Media will focus on motorsports, primarily Formula 1 and MotoGP (pending acquisition), with a strong emphasis on premium IP assets and sports-related businesses.

• Liberty Live will include a 30% stake in Live Nation, Quint, and other private assets, with future rationalizations and aggressive balance sheet management planned.

• GCI will be spun off to Liberty Broadband shareholders, with potential to serve as a core asset for future ventures or be sold if a strategic buyer emerges.

• The Charter transaction is structured for tax efficiency, with a long close and phased share repurchases, and aims to rationalize dual corporate structures and resolve NAV discounts.

Financial performance and growth

• Achieved record revenue of $3.2bn in 2023, up 25% from 2022, with continued double-digit growth into 2024.

• Adjusted OIBDA rose 22% in 2023 and 21% year-to-date in 2024 compared to prior periods.

• Record-breaking engagement with 1.2bn cumulative TV audience YTD 2024 and 10% YoY growth in F1 TV subscribers.

• North American markets saw record attendance, with 1.4m attendees across four races in 2023, up from 440k in 2019.

• Hospitality experiences expanded, with Paddock Club attendance up 80% vs. 2019 and 14 of 18 events sold out in 2024.

Motorsports and entertainment growth

• Formula 1 continues to deliver record financial and fan engagement results, with double-digit revenue and EBITDA CAGR since 2019, and attendance expected to exceed 6 million in 2024.

• Sponsorship and media rights have seen robust growth, with new global partners like LVMH and expanded US presence, including record-breaking viewership and younger, more diverse audiences.

• MotoGP acquisition is on track for year-end close, with strong revenue and EBITDA growth, high profitability, and plans to leverage Liberty’s brand-building and marketing expertise to expand its global and US footprint.

• Live Nation is positioned for continued double-digit AOI growth, driven by global expansion, venue upgrades, and increased fan engagement, with 2025 expected to be a record year.

• Quint is scaling as a premium event experience platform, with significant organic and international growth potential, and will be reattributed to Liberty Live.