Here is the thing about modern Formula 1: the business machine behind the garage is moving as fast as the cars. As Motorsport.com reports, according to a report by Sky News, McLaren Racing is projected to become the first Formula 1 team to surpass $1billion in annual revenue.
That said, the numbers coming out of the Woking outfit are simply wild. The accounts for the 2025 calendar year, scheduled to be filed this week, will declare revenue of £588million, which translates to $779.6million. While those figures do include McLaren's IndyCar operations, F1 activities generated more than 90% of the total income.
Our car has the best brands in the world, the Mastercards, the Googles, etc.,
Furthermore, the financial filings are expected to confirm a record payout of over £75.4million ($100million) for McLaren Racing CEO Zak Brown. That is a massive jump compared with a £6million base salary and a £31million long-term incentive plan in 2024. Last year's figure is tied to a share award triggered by the corporate buyout, in which Bahrain's Mumtalakat sovereign wealth fund and Abu Dhabi's CYVN Holdings acquired the remaining 30% of external shares in McLaren Racing at a valuation of £3.5billion.
Zak Brown discussed the growth of F1 after the stake sale in 2025 during an interview with Bloomberg. "The sport is on fire, you know, every metric, demand for teams," Brown said. "It wasn't long ago that Liberty acquired the sport and put a cost cap in place, which kind of ensured everyone's financial stability and on-track stability and competitiveness. So it's been a wonderful thing. The fans are coming out in the tens and hundreds of millions, sponsors, partners in the sport, unlike we've ever seen before, so the sport is on fire, and long may it continue."
When asked if he felt valuations of F1 teams had reached their peak, Brown added: "I don't think so. I think if you look at sports in general, and I wouldn't say I'm an expert at all sports by any means, but they've only been going north forever. Every time there's a record deal and whatever sport it is, everyone goes, 'Oh, that was crazy'. And then you look back and in five years, they've still gone up. So I think our sport in particular has a lot of room for growth. We have 24 races, we have demand for probably 30 grands prix, so the demand is strong."
Brown also pointed to the incredible strength of the grid and its partners. "Our car has the best brands in the world, the Mastercards, the Googles, etc.," he said. "The competition is amazing. Last year, four teams won, seven different drivers won multiple races. It's the first time I've seen that in my 30 years of following the sport, so the on-track competition is great. The off-track drama, as captured by Netflix, is fantastic. The demand for grands prix has never been stronger, so I think the sport, in many ways, is just getting going."
