Liberty(US:LSXMB)2026-02-26 22:28Revenue Growth - Formula 1 revenue increased 14% to $3.9 billion for the year, with operating income growing 28% to $632 million and Adjusted OIBDA rising 20% to $946 million[1]. - MotoGP revenue also increased 14% to $573 million, with operating income growing 86% to $54 million and Adjusted OIBDA increasing 15% to $201 million on a pro forma basis[1]. - Total revenue for 2025 reached $4,482 million, a 22.7% increase from $3,653 million in 2024[48]. Fan Engagement - F1 fan attendance reached 6.75 million, up 4% compared to 2024, while live viewership increased by 21%[1]. - MotoGP fan attendance exceeded 3.66 million, marking a 21% increase compared to 2024, with cumulative TV viewership up 9%[1]. - The Las Vegas Grand Prix sold out, attracting over 300,000 attendees and generating 1.8 billion social impressions[1]. Financial Performance - Operating income for 2025 was $577 million, compared to $287 million in 2024, reflecting a 101.0% increase[48]. - Net earnings attributable to Liberty stockholders for 2025 were $555 million, a significant recovery from a loss of $2,063 million in 2024[48]. - Cash provided by operating activities increased to $908 million in 2025, up from $567 million in 2024[50]. Adjusted OIBDA - Adjusted OIBDA for 2025 was $1,068 million, up from $774 million in 2024, indicating a 37.9% increase[54]. - Adjusted OIBDA for Q4 2025 was $51 million, a 143% increase from $21 million in Q4 2024, with full-year Adjusted OIBDA at $201 million, up 15% from $175 million in 2024[21][29]. Debt and Cash Flow - Total debt as of December 31, 2025, was $5.1 billion, slightly down from $5.164 billion at the end of Q3 2025, with consolidated leverage at 3.6x[37][39]. - The company reported a net cash decrease of $1,908 million in 2025, compared to an increase of $935 million in 2024[50]. - Cash flows from investing activities showed a net outflow of $3,202 million in 2025, compared to a smaller outflow of $292 million in 2024[50]. Corporate Developments - Liberty Media completed the split-off of Liberty Live Holdings on December 15, 2025, resulting in separate trading of the two companies[3]. - Liberty Media announced new agreements for the Australia Grand Prix in Adelaide from 2027 through 2032 and extended the Thailand Grand Prix agreement through 2031[5]. - The company incurred $27 million in acquisition costs related to corporate acquisitions in 2025, primarily for MotoGP[54]. Race and Revenue Structure - Primary Formula 1 revenue streams for 2025 comprised 26.7% from race promotion, 31.3% from media rights fees, and 21.7% from sponsorship fees[11]. - Team payments as a percentage of pre-team payment Adjusted OIBDA decreased from 61.5% in 2024 to 59.7% in 2025[16]. - The number of races increased to 22 in 2025 from 20 in 2024, contributing to higher race promotion revenue and overall revenue growth[25][26]. MotoGP Expansion - MotoGP plans to expand its race calendar and enhance fan engagement, including relocating the Argentinian Grand Prix to Buenos Aires[20]. - Primary MotoGP revenue for Q4 2025 was $137 million, a 20% increase from $114 million in Q4 2024, with full-year revenue reaching $502 million, up 15% from $435 million in 2024[21][26]. - Other MotoGP revenue for the full year increased, driven by hospitality revenue from additional races, but decreased in Q4 2025 due to a decline in fees related to WorldSBK[28]. Interest and Expenses - Interest expense increased to $249 million in 2025 from $208 million in 2024, reflecting higher borrowing costs[48]. - Corporate and Other revenue grew in both the full year and Q4 2025, driven by increased Quint revenue and rental income related to the Grand Prix Plaza[32]. Currency and Performance Assessment - Liberty Media emphasizes the importance of constant currency operating results for assessing financial performance, particularly for MotoGP[56].