Mercedes F1 team’s revenue surges to £636m in 2024
It was a strong year for Mercedes' F1 team, both on and off the track.
The parent company of the Mercedes Formula 1 team has reported a 16 percent increase in revenue for the 2024 calendar year, fuelled by rising commercial income and improved on-track performance.
Newly filed accounts from Mercedes Grand Prix Limited, published by the UK’s Companies House on Thursday, show that the team's turnover grew from £546.5 million in 2023 to £636 million in 2024.
Mercedes attributed the jump primarily to “higher commercial revenues from sponsorship and licensing,” which together accounted for over 60 percent of its total income.
The team also benefitted from a greater share of F1's prize money, having finished second to Red Bull in the 2023 constructors’ championship. F1 distributes around 65 percent of its total revenue to the 10 teams, with allocations based on factors such as championship position and historical status. These payments are made the following year, meaning Mercedes only received its 2023 earnings in 2024.
The increased revenue translated into a significant rise in profit, with earnings before interest and taxes (EBIT) climbing from £113.8 million to £160.6 million.
With the UK’s corporation tax rate set at 25 percent, Mercedes paid just over £40 million in taxes, leaving it with a net profit of £120.34 million — a nearly 50 percent rise from £83.8 million the previous year.
Due to its strong financial performance, the team declared an ordinary dividend of £125 million, to be distributed in two tranches of £75 million and £50 million. This will provide a windfall for the team's three shareholders, Mercedes-Benz Group (formerly Daimler), team principal Toto Wolff and Ineos.
Mercedes also highlighted a cumulative Advertising Value Equivalent (AVE) of $5.7 billion in 2024 for itself and its partners, boosted by four race victories and five additional podium finishes.
In addition, Mercedes stated it has begun redeveloping its Brackley chassis facility "ahead of constructing two new buildings in 2025 aimed at improving operational efficiency."
