Formula One Group (FWONA) Q4 2024 earnings summary

Executive summary

• Leadership transition completed with new CEO, focusing on continuity and long-term value creation.

• Formula 1 achieved record 2024 results in race count, revenue, Adjusted OIBDA, 6.5 million fan attendance (up 9% YoY), and 1.6 billion cumulative TV viewers.

• Renewed and extended key race promotion and sponsorship agreements, including multi-year deals for major Grands Prix and new partnerships.

• Liberty Media is focused on capitalizing on F1's momentum, closing the MotoGP acquisition, and optimizing the Liberty Live structure.

Financial highlights

• Formula One Group revenue rose 13% to $3.65 billion for 2024, with operating income of $287 million and Adjusted OIBDA of $774 million (up 13% YoY).

• Formula 1 revenue grew 6% to $3.41 billion, with operating income up 26% to $492 million and Adjusted OIBDA up 9% to $791 million.

• Formula One Group ended 2024 with $2.6 billion in cash and liquid investments, $2.9 billion in debt, and a leverage ratio of 1.3x.

• Net loss attributable to Liberty stockholders was $2.06 billion for 2024, primarily due to discontinued operations.

• CapEx for Formula One Group was $75 million in 2024, mainly for IT, F1 TV, and Las Vegas Grand Prix infrastructure.

Outlook and guidance

• Strategic priorities for 2025 include leveraging F1's growth, completing the MotoGP acquisition, and enhancing shareholder value.

• F1 will host 24 races in 2025, with a focus on regionalizing the calendar for efficiency and sustainability.

• Majority of 2025 revenue is under contract, with sponsorship pipeline de-risked by early renewals.

• F1 TV premium tier launching in 2025, expected to drive incremental media revenue.

• F1's 75th anniversary in 2025 is expected to provide incremental brand momentum and commercial opportunities.