Red Bull Racing Generates Turnover Of £197M, Profit Of £385,000 In '16
Red Bull Racing generated a turnover of £197M in '16 and spent "nearly all of it" on its Formula 1 race program, company accounts revealed, according to Adam Cooper of MOTORSPORT. The team earned £197,949,000 in outside sponsorship, prize money and bonuses from the F1 organization, and payments from its ultimate parent company, Red Bull. After "taxes and expenses, it registered a profit" of £385,000. Red Bull made a "much bigger contribution" to the team in '16, with its payments rising from £10.1M in '15 to £40.6M. That is "presumably because the team’s decline in performance" -- from world champion in '13 to second place in '14 and a winless fourth in '15 -- "fed through into reduced F1 income" in '16. The team's "true financial situation is hard to compare with that of its rivals," because Red Bull Racing itself only employs 58 people -- "in effect the race team." Design, production and engineering is carried out by immediate parent company Red Bull Technology Group, which employs 758 people and also supplies services to Toro Rosso and "outside projects such as the Aston Martin Valkyrie." RBT had a turnover of £247.7M in '16. Its declared profit fell to £8.3M from £11.3M (MOTORSPORT, 9/27).