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LONDON – Formula One’s revenues took an $877 million (R13.6 billion) hit final year, falling 43 percent as a results of the Covid-19 pandemic, proprietor Liberty Media reported on Friday.
Revenues amounted to $1.145 billion (R17.2bn) in comparison with a earlier $2.022 billion (R31.7bn) in a year that featured 17 races, principally with out spectators, and had spotlight occasions reminiscent of Monaco and Singapore cancelled.
The earlier year had 21 races and 22 had been deliberate for 2020 with 23 scheduled for 2021.
The sport reported an annual working lack of $386 million (R5.8bn), in comparison with a earlier revenue of $17 million, and the ten groups shared $711 million – $301 million lower than the earlier year and a drop of 30%.
Formula One’s main revenues are derived principally from race promotion charges, broadcasting offers and promoting and sponsorship.
The revenues additionally present a vital a part of the funds for smaller groups.
“Due to the reduced number of races, the duration of the season and almost no fan attendance, unsurprisingly primary revenue declined,” stated new chief govt Stefano Domenicali.
He stated his predecessor Chase Carey had, nevertheless, left sturdy foundations for future development and the game was effectively positioned with business companions.
Domenicali stated all race promoters have been clear that their occasions ought to go forward as scheduled this year, and the game had demonstrated in 2020 that it may race safely in the course of the pandemic.
The new season begins in Bahrain on March 28.