Formula 1’s revenue and profits continued to climb in 2023, with the Las Vegas Grand Prix making an important contribution in the fourth quarter of the year.

The 2022 and 2023 seasons both featured 22 rounds, with the total always playing a key role in the final numbers.

However, it was a different mix of races, with the first F1-promoted street event in Las Vegas and the Qatar GP added to the calendar, with France disappearing and the Imola event – which should have been a 23rd race in 2023 – cancelled due to freak weather.

Overall year-on-year revenue rose by 25% from $2.573 billion to $3.222 billion, while operating profit was up 64% from $239 million to $392 million.

The total payments shared between the 10 teams rose from $1.157 billion to $1.215 billion, representing an increase of 5%.

In reporting the figures, Liberty Media made it clear how much impact Las Vegas had, especially in the final quarter of the year, indicating that the event was a success for the organisation.

Regarding the rise in income, the company noted: “Race promotion revenue grew primarily due to ticketing revenue from the inaugural Las Vegas GP and other contractual increases in fees.

“Race promotion revenue in the full year and fourth quarter also benefited from the mix of races held in each period compared to the comparable periods in the prior year.

“Sponsorship revenue increased due to the recognition of revenue from the Las Vegas GP, income from new sponsors and growth in revenue from existing sponsors.”

Las Vegas GP 2023 race start

Liberty says F1 benefited from lower freight costs, while acknowledging that there was also extra expenditure associated with Las Vegas.

It noted that “costs increased in the full year and fourth quarter primarily driven by the costs of promoting, organising and delivering the Las Vegas GP as well as higher hospitality costs at other events associated with increased Paddock Club attendance and cost inflation.”

In addition “selling, general and administrative expense increased for the full year due to higher personnel, IT and marketing costs as well as costs associated with planning and running the Las Vegas GP, partially offset by lower legal and professional fees and foreign exchange favourability.”

F1 CEO Stefano Domenicali made it clear that last year was a successful one for the organisation, and not just in pure financial terms.

“2023 marked another incredible season for F1,” said the Italian. “We had strong engagement across all platforms, with record race attendance and F1 holding its position as the fastest growing league on social media for the fourth consecutive year.

“F1 saw continued fan growth especially in the US market, strengthened by the successful Las Vegas GP, and across a younger and more female audience.

“Our sustainability initiatives remain a priority for F1 and our partners, and we look forward to running all seven F1 Academy races this season alongside the F1 calendar.

“We are excited for the 2024 season as we focus on deepening our relationships with fans and optimising our commercial partnerships to bring incremental value.”