Industry Motorsport
Founder Bernie Ecclestone
Headquarter 2 St. James's Market, London, U.K.
Area served Globally
Brands Formula 1 Paddock Club
Key people Stefano Domenicali (CEO & President) Chase Carey (Non-executive Chairman)
Traded as FWONA FWONK
Website formula1.com

Summary

  • The Formula One Group is a company that manages the commercial aspects of the Formula One World Championship, which is a premier international motorsport competition featuring single-seater racing cars.
  • The group is responsible for organizing and promoting the races, negotiating broadcasting rights, managing sponsorships, and overseeing various business aspects of the sport.

Mission & vision

  • Enhancing the Fan Experience: Formula One sought to make the sport more accessible and engaging for fans through improved digital and social media presence, offering more behind-the-scenes content, and providing better access to race data and insights.
  • Global Expansion: The Formula One Group aimed to grow the sport's popularity in various regions around the world, including new markets. This involved exploring the possibility of new races and expanding the sport's footprint.
  • Technical Innovation: Formula One has a history of being a platform for technical innovation in motorsport. The vision included promoting advancements in areas such as safety, sustainability, and hybrid technology. Sustainability: There was an increasing emphasis on making Formula One more environmentally sustainable. This included efforts to reduce the sport's carbon footprint, increase the use of sustainable materials, and promote efficient energy use.
  • Entertainment and Showmanship: The Formula One Group aimed to enhance the entertainment value of the sport, making it not only about racing but also about creating a captivating spectacle for both on-site spectators and television audiences.
  • Engagement with Teams and Drivers: The Formula One Group aimed to foster better relationships with teams, drivers, and other stakeholders, ensuring that their interests were considered and that the sport remained attractive for all participants.

Team

  • Stefano Domenicali
  • Chase Carey

Financials

Fwona.PNG
  • Formula One Group is forecasted to grow earnings and revenue by 3.1% and 11% per annum respectively. EPS is expected to grow by 5.5%. Return on equity is forecast to be 6.3% in 3 years.
  • Earnings vs Savings Rate: FWON.K's forecast earnings growth (3.1% per year) is above the savings rate (2.2%).
  • Earnings vs Market: FWON.K's earnings (3.1% per year) are forecast to grow slower than the US market (15.7% per year).
  • High Growth Earnings: FWON.K's earnings are forecast to grow, but not significantly.
  • Revenue vs Market: FWON.K's revenue (11% per year) is forecast to grow faster than the US market (7.7% per year).
  • High Growth Revenue: FWON.K's revenue (11% per year) is forecast to grow slower than 20% per year.

Risks[1]

  • There could be a decline in the popularity of Formula 1, which may have a material adverse effect on Formula 1’s ability to exploit its commercial rights to the World Championship.
  • Termination of the 100-Year Agreements could cause Formula 1 to discontinue its operations.
  • Teams may, in certain circumstances, terminate their existing commitment to participate in the World Championship until (and including) 2025 or breach their obligations and withdraw.
  • Formula 1 is exposed to credit-related losses in the event of non-performance by counterparties to Formula 1’s key commercial contracts.
  • Formula 1 may face difficulties expanding into new markets, including as a result of being unable to attract race promoters for new Events.
  • Accidents during Events may cause losses that are not covered by insurance, disrupt an Event and cause Formula 1 reputational damage.