Mercedes accounts reveal cost of 2018 F1 title
The Mercedes Formula 1 team earned and spent almost the same amount in 2018 as it did in the previous season, newly-released accounts have revealed.
The team's income from F1 prize money, sponsorship and parent company Daimler AG, rose from £337.2m in 2017 to £338.4m last year.
Expenditure increased from £309.7m to £311.4m, resulting in a post-tax profit of £13.3m.
Income and expenditure had previously made a significant jump from 2016 to 2017, with the latter figures reflecting the R&D costs associated with the major F1 rules changes introduced that season.
The fact that its expenditure essentially stayed the same in 2018 suggests that Mercedes opted to maintain that level of investment in a period of relatively stable rules.
However there is no outward sign yet of the team addressing the cost cap that is coming in 2021, and which will force the big three teams to trim spending and inevitably head counts.
Indeed over the past three seasons average staff numbers have risen from 849 in 2016 to 912 in 2017 and to 968 in 2018, with 38 added last year in design, manufacturing and engineering, and 19 in administration. That contributed to the 2018 wage bill increasing by £6.5m from £87.2m to £93.7m.
The marketing revenue contribution of Daimler AG to the team's budget is listed as £64.3m, around £4m more than the previous year.
However, £25.3m is returned by the team – reflecting the leasing cost of the power units supplied by sister company HPP. That leaves a net Daimler contribution of less than £40m.
As last year that number suggests that Mercedes gets a big bang for its buck, given that it enjoyed a 24% share of F1's TV coverage in 2018, which represents an AER (Advertising Value Equivalent) of $3.7bn for its commercial partners.
In emphasising the value of the F1 programme the team says: "In parallel to the team's success in recent seasons, the Mercedes-Benz brand has grown in value from $31.9bn in 2013 to $48.6bn in 2018 (as measured by Interbrand), with F1 making an important contribution to the brand's status as the eighth most valuable in the world."
Verstappen explains why Red Bull couldn't carry Friday form
Multi 21 revisited - and what Webber thinks of it now
Connecting two of Ferrari's favourite F1 sons: Villeneuve and Leclerc
Gilles Villeneuve's exploits behind the wheel of a Ferrari made him a legend to the tifosi, even 40 years after his death. The team's current Formula 1 star Charles Leclerc enjoys a similar status, and recently got behind the wheel of a very special car from the French-Canadian’s career.
How a 30cm metal wire triggered open warfare in the F1 paddock
Porpoising has become the key talking point during the 2022 Formula 1 season, as teams battle to come to terms with it. An FIA technical directive ahead of the Canadian Grand Prix and a second stay appearing on the Mercedes cars only served to create a bigger debate and raise tensions further
Does Max Verstappen have any weaknesses left?
Having extended his Formula 1 points lead with victory in Canada, Max Verstappen has raised his game further following his 2021 title triumph. Even on the days where Red Bull appears to be second best to Ferrari, Verstappen is getting the most out of the car in each race. So, does he have any weaknesses that his title rivals can exploit?
How F1's future fuels can shape the automotive sector
In 2026, Formula 1 plans to make the switch to a fully sustainable fuel, as the greater automotive world considers its own alternative propulsion methods. Biogasoline and e-fuels both have merit as 'drop-in' fuels but, equally, both have their shortcomings...
The breakthrough behind Sainz's best weekend of F1 2022 so far
OPINION: Carlos Sainz came close to winning in Monaco but needed that race’s specific circumstances for his shot at a maiden Formula 1 victory to appear. Last weekend in Canada, he led the line for Ferrari in Charles Leclerc’s absence from the front. And there’s a key reason why Sainz has turned his 2022 form around
Why “faster” Ferrari couldn’t beat Red Bull in Canadian GP
On paper the Canadian Grand Prix will go down as Max Verstappen’s latest triumph, fending off late pressure from Carlos Sainz to extend his Formula 1 world championship lead. But as safety car periods, virtual and real, shook up the race Ferrari demonstrated it can take the fight to Red Bull after recent failures.
Canadian Grand Prix Driver Ratings 2022
Plenty of high scores but just a single perfect 10 from the first Montreal race in three years, as Max Verstappen fended off late pressure from Carlos Sainz. Here’s Autosport’s assessment on the Formula 1 drivers from the Canadian Grand Prix
The in-demand helmet designer creating works of art for F1's best
GP Racing’s OLEG KARPOV pays a visit to designer Jens Munser, to observe the production of Mick Schumacher’s special helmet for the Miami Grand Prix. What follows is some fascinating insight on the mindsets of Mick’s dad Michael, and family friend Sebastian Vettel