Formula 1 revenue fell sharply during the second quarter of 2026 as Liberty Media felt the financial impact of a disrupted race calendar shaped in part by the ongoing conflict in the Middle East. F1 generated $764 million in revenue during the quarter, down 38% year on year, although the championship’s owners stressed that fan demand and commercial momentum remain strong.
Liberty Media Corporation has published its financial and operating results for the second quarter ended June 30, outlining Formula 1’s performance during a period affected by major calendar changes alongside a series of longer-term commercial initiatives. The figures underline how significantly the timing and number of Grands Prix can influence F1’s quarterly financial performance.
Liberty Media revenue and profit fall in second quarter of 2026
Liberty Media’s consolidated revenue totalled $934 million in the second quarter of 2026, compared with $1.341 billion during the same period last year. Operating income fell to $88 million from $280 million in 2025, while Adjusted OIBDA declined from $369 million to $206 million.
Across the first six months of 2026, consolidated revenue reached $1.645 billion, operating income stood at $152 million and Adjusted OIBDA totalled $387 million. Corporate selling, general and administrative expenses amounted to $20 million during the quarter, including stock-based compensation.
The latest figures contrast with the strong opening months of the campaign, when Formula 1 helped drive substantial Liberty Media revenue growth. The different comparison illustrates the importance of race timing when interpreting individual quarterly results.
Liberty Media says Formula 1 demand remains resilient
Derek Chang, President and CEO of Liberty Media, maintained that the underlying strength of the company’s businesses remains intact despite the difficult financial comparison.
“Demand for our brands remains strong and resilient, and we continue to find creative solutions to navigate global uncertainties. F1’s expanding reach and fan engagement continue to support strong commercial momentum. Disciplined capital allocation remains a core priority as we evaluate strategic investment opportunities to enhance long-term shareholder value,” Derek Chang said.
Formula 1 President and CEO Stefano Domenicali also highlighted the positive audience trends surrounding the 2026 championship, despite the disruption that has forced significant changes to the season.
“This season has showcased the best of our sport, with competitive racing and compelling storylines driving strong fan engagement: attendance, audiences and digital impressions are all up since the start of the season. Our sport continues to demonstrate adaptability and creativity – the Bahrain GP will be hosted in Malaysia following the agreement announced last week,” Stefano Domenicali said.
The unusual solution will see the Bahrain Grand Prix relocated to Malaysia in October, one of the most significant changes to the revised 2026 Formula 1 calendar. Formula 1 has already confirmed the arrangement, with the Bahrain Grand Prix set to take place at Sepang in Malaysia.
Stefano Domenicali continued: “The partnership with Apple continues to generate positive engagement, with views up year on year since the start of the season and total viewing hours increasing by 13%. We continue to see momentum in the business, including the historic ten-year extension in Las Vegas and collaborations with established partners such as ServusTV and Pirelli. We remain focused on strengthening the foundations of our sport together with the teams and the FIA to deliver the best possible experience for fans around the world, on and off the track.”
Why Formula 1 revenue fell 38% in Q2 2026
Formula 1 staged only five races during the second quarter of 2026, compared with nine in the corresponding period last year. Total F1 revenue consequently fell 38% to $764 million, while operating income stood at $73 million. Adjusted OIBDA dropped 61% to $139 million.
The effect remained visible across the first half of the year. Formula 1 held eight races during the first six months of 2026 compared with 11 in the same period in 2025. Revenue declined 15% to $1.381 billion, operating income stood at $180 million and Adjusted OIBDA fell 30% to $311 million.
During the first half of the year, seasonal revenue and costs were recognised on the basis of an assumed 22-race calendar. The subsequent relocation of the Bahrain Grand Prix to Malaysia in October increased the schedule to 23 events, still one fewer than in 2025 because the Saudi Arabian Grand Prix was not held in April.
The disruption in the Middle East has therefore had a significant effect on the shape of Formula 1’s season and the distribution of its commercial activity across different reporting periods. Calendar uncertainty has also influenced planning beyond the current campaign, with the 2027 F1 calendar facing additional uncertainty.
Fewer races hit media, promoter and sponsorship revenue
The decline in Formula 1’s primary revenue streams — including media rights, race promotion fees and sponsorship — was mainly caused by the lower number of events and the resulting reduction in the proportion of seasonal revenue recognised during the period. This was only partly offset by contractual increases and revenue from new or renewed sponsorship agreements.
The comparison with 2025 was also affected by the absence of one-off revenue associated with the “F1” film, which had contributed to the previous year’s results.
Other Formula 1 revenue declined because of lower hospitality and freight activity. That reduction was partially offset by increased hospitality revenue at recurring events, growth in licensing and activity at the Grand Prix Plaza in Las Vegas.
Team payments and other motorsport costs also decreased in line with the reduced race calendar. Selling, general and administrative expenses moved in the opposite direction, increasing because of higher personnel and information technology costs.
Las Vegas, Pirelli and ServusTV deals strengthen F1’s long-term business
Despite the weaker quarterly numbers, Formula 1 continued to secure important long-term commercial agreements. The championship announced a ten-year extension for the Las Vegas Grand Prix through 2037, further strengthening the long-term position of the Las Vegas race on the Formula 1 calendar.
Formula 1 also extended its partnership with Pirelli through 2028. The Italian tyre manufacturer will therefore continue its long-standing role in the championship after Pirelli was confirmed as F1’s exclusive tyre supplier until 2028. A new multi-year broadcasting agreement with ServusTV in Austria was also announced.
Within Liberty Media’s Corporate and Other segment, rental income from the Grand Prix Plaza in Las Vegas remained stable at $6 million for the quarter and $12 million for the first half of the year.
No Liberty Media share repurchases were carried out between May 1 and July 31. As of August 1, the company had $1.1 billion remaining under its existing share repurchase authorisation.
Liberty Media cash rises as Formula 1 debt falls
As of June 30, Liberty Media held consolidated cash and cash equivalents of $1.465 billion, an increase of $133 million during the quarter. The rise was primarily driven by operating cash generation after taking debt repayments into account.
Total debt fell by $134 million to $4.855 billion. Liberty Media’s 2.25% convertible notes due in 2027 amounted to $475 million, while Formula 1’s senior loan facilities stood at $3.330 billion. Other corporate debt totalled $22 million.
Formula 1’s leverage ratio was 2.7 times, while consolidated leverage stood at 3.4 times. Formula 1 remained in compliance with its debt covenants.
The second-quarter results therefore reflect a difficult financial comparison for Liberty Media and Formula 1, heavily influenced by a much smaller number of races and the reshaping of the 2026 calendar. At the same time, the championship continues to report rising fan engagement and has secured several long-term commercial agreements, leaving Liberty Media focused on maintaining that momentum despite the global uncertainty affecting the current season.
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