Formula 1 Loses $220 Million as Canceled Races Hit Revenue

Formula 1 faces a significant financial setback, with revenue plummeting by $220 million in the second quarter compared to the same period in 2025. This 38% decrease in operating income stems largely from the cancellation of the Bahrain and Saudi Arabian Grand Prix races, events impacted by geopolitical instability in the Middle East. The disruption has led to a reduced number of races in the quarter, falling from nine in 2025 to just five this year.

The financial report from Liberty Media highlights the substantial impact of geopolitical tensions, resulting in a $764 million decrease in revenue compared to the $1.22 billion earned in the second quarter of 2025. The operating profit saw an even sharper decline of 61%, falling from $293 million to $73 million. This financial hit has a domino effect on the racing teams, as prize money distributed to them decreased from $513 million to $316 million year-on-year.

Liberty Media is working to mitigate these losses by adjusting the calendar. The Bahrain Grand Prix, originally canceled, will be revived later in the season, taking place in Sepang, Malaysia, on October 4th. This move aims to partially compensate for the lost races. Despite these adjustments, Formula 1 remains cautious, with contingency plans in place should further disruptions arise from the ongoing conflict in the Middle East. The season finale races in Qatar and Abu Dhabi are yet to be confirmed.