This news has pushed into the background the solid annual results published by Formula One Group. Including the MotoGP segment, revenue reached $4.48bn, while operating profit doubled to $577m. Since December, the group has also been easier to read following the split between Liberty Live and Liberty Media. And since last summer, with the takeover of MotoGP, the stock now brings together two of the biggest disciplines in motorsport.
Formula 1 is now heavily exposed to the Gulf, with four Grand Prix events out of twenty-four. Two of them are due to take place next month: on April 12 in Bahrain, then the following week in Jeddah, Saudi Arabia. In motorcycle events, a Grand Prix is also scheduled for April 12 near Doha, Qatar.
A scenario in which the season is reduced to 22 races instead of 24 now appears the most likely, according to Reuters. That would create a 5-week gap without a race between Japan (March 27-29) and Miami (May 1-3). The first logistics convoys are due to head for Bahrain within a fortnight. That deadline could serve as a cut-off date for a decision.
At the start of the week, some were confident about the possibility of replacing these events with other races. That option now appears harder to deliver. Extreme heat later in the year, combined with an already very crowded calendar, seriously complicates that approach.
Several European circuits have been cited as potential alternatives, but organizational hurdles appear difficult to overcome. The idea of a second Grand Prix in Japan, at Suzuka, is also a scenario that is on the cards. Logistical difficulties would be smaller there, but local promoters would probably have little interest in funding an additional race when Aston Martin, powered by Honda, still does not appear in a position to fight at the front.
These two races make a significant contribution to the group's revenue. However, the stakes go beyond purely commercial ones. Saudi Arabia has become a leading financial partner, with massive investments, while Bahrain's sovereign wealth fund Mumtalakat is the controlling shareholder of McLaren Group.
