Financial Performance - Consolidated revenue decreased by $140 million to $447 million for the three months ended March 31, 2025, compared to $587 million in the same period of 2024, primarily due to a decrease in Formula 1 revenue[148] - Formula 1 revenue dropped from $553 million in Q1 2024 to $403 million in Q1 2025, reflecting a significant decline in operating performance[148] - Consolidated operating loss increased by $164 million, resulting in a loss of $71 million for the three months ended March 31, 2025, compared to a profit of $93 million in the same period of 2024[149] - Adjusted OIBDA for the Formula One Group decreased from $208 million in Q1 2024 to $85 million in Q1 2025, indicating a decline in operational efficiency[148] - Adjusted OIBDA decreased by $132 million to $69 million in Q1 2025 compared to $201 million in Q1 2024, primarily due to a decrease in Formula 1 Adjusted OIBDA[152] - Operating income for Formula 1 was a loss of $28 million in Q1 2025, compared to a profit of $136 million in Q1 2024[172] Cash and Liquidity - As of March 31, 2025, the Formula One Group had cash and cash equivalents of approximately $2,833 million, including $1,617 million of subsidiary cash[140] - The Liberty Live Group had cash and cash equivalents of approximately $314 million as of March 31, 2025[141] - Total cash and cash equivalents for Liberty as of March 31, 2025, were $3.147 billion, with $1.547 billion held by Formula 1[163] - Cash provided by operating activities for Formula One Group was $391 million in Q1 2025, up from $140 million in Q1 2024[165] - Liberty's primary use of cash in Q1 2025 included a $131 million extension payment related to the Dorna acquisition[165] Expenses and Costs - Stock-based compensation expense for Q1 2025 was $2 million, down from $13 million in Q1 2024, with total unrecognized compensation cost of approximately $13 million as of March 31, 2025[150] - Acquisition costs increased to $11 million in Q1 2025 from $9 million in Q1 2024[151] - Other Formula 1 revenue decreased by $6 million during the three months ended March 31, 2025, compared to the prior year, primarily due to a decrease in hospitality and experiences revenue[175] - Cost of Formula 1 revenue decreased by $44 million during the three months ended March 31, 2025, compared to the prior year, with team payments decreasing from $163 million to $114 million[176] - Other costs of Formula 1 revenue increased by $5 million during the three months ended March 31, 2025, primarily due to higher freight costs and commissions[178] - Selling, general and administrative expenses increased by $17 million during the three months ended March 31, 2025, primarily due to higher marketing and personnel costs[179] - Depreciation and amortization decreased by $9 million during the three months ended March 31, 2025, primarily due to a decrease in amortization expense related to certain intangible assets[181] Debt and Interest - As of March 31, 2025, the company had $176 million in variable rate debt with a weighted average interest rate of 6.2% and $2,726 million in fixed rate debt with a weighted average interest rate of 4.4%[183] - Interest expense decreased by $7 million to $55 million in Q1 2025 compared to $62 million in Q1 2024, primarily due to a decrease in average debt and interest rates[154] Corporate Actions - The company agreed to acquire approximately 86% of Dorna Sports, S.L. for a purchase price of approximately €3.0 billion, with regulatory review extending into 2025[144] - The Liberty Live Split-Off is intended to be tax-free for stockholders and is subject to various conditions, including shareholder approval[145] - The company completed the split-off of Liberty Sirius XM Holdings on September 9, 2024, which was intended to be tax-free for holders of Liberty SiriusXM common stock[137] Earnings - Net earnings from continuing operations were $5 million in Q1 2025, slightly up from $4 million in Q1 2024[159] Market Risk - The company’s stock in Live Nation, a publicly traded security, is subject to market risk, with a potential aggregate value decrease of $909 million if the market price were 10% lower at March 31, 2025[184]
Liberty(LLYVA) - 2025 Q1 - Quarterly Report