Formula 1 Revenue Surges to $3.87B in 2025

Key Growth Drivers Revealed as Sport Sees Record-Breaking Year

Published on Mar. 2, 2026

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Formula 1's annual revenue reached a record-breaking US$3.87 billion in 2025, a 14% increase year-over-year. This impressive growth, fueled by a record fourth quarter of US$1.38 billion, signals a sustained period of success for the racing series under Liberty Media's ownership.

Why it matters

Formula 1's financial performance reflects the sport's growing global appeal and diversification of revenue streams. The surge in sponsorship deals, increased fan engagement, and expansion into new markets and mediums like the F1 movie demonstrate Formula 1's ability to adapt and capitalize on emerging trends in the sports and entertainment industry.

The details

A key driver of this financial performance is the surge in sponsorship revenue, which now accounts for over 20% of Formula 1's primary income. This shift is thanks to a wave of new partnerships, most notably the landmark ten-year deal with LVMH Group, bringing brands like Louis Vuitton, Moët Hennessy, and Tag Heuer into the F1 fold. Other significant additions include Nestlé, Santander, Allwyn, and PepsiCo. Beyond the track, Formula 1 is successfully diversifying its income streams, with other revenue encompassing hospitality, licensing, and freight growing by 20% year-over-year to US$787 million.

  • Formula 1's annual revenue reached a record-breaking US$3.87 billion in 2025.
  • The sport's fourth quarter revenue reached US$1.38 billion, a record high.

The players

Liberty Media

The company that acquired Formula 1 in 2017 and has overseen nearly US$2 billion in revenue growth over the past five consecutive years.

Stefano Domenicali

The President and Chief Executive of Formula One, who emphasized the sport's strength and roster of marquee partners.

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What’s next

The upcoming 2026 season promises further excitement with the addition of a new race in Madrid, the entry of Cadillac and Audi, and the return of Honda and Ford to the grid. These developments, coupled with the introduction of next-generation cars, engines, and regulations, are designed to enhance the on-track action and attract even more fans.

The takeaway

Formula 1's financial performance demonstrates its ability to adapt and capitalize on emerging trends in the sports and entertainment industry. The surge in sponsorship deals, increased fan engagement, and diversification of revenue streams position the sport for continued growth and set a new standard for motorsport commercialization.