![]() Like Mercedes, Ferrari is believed to be spending around $98.4 million (€93.4 million) on staff with more than half of it going on payment of Vettel and his team-mate Kimi Räikkönen. Ferrari f1 driver#Its lead driver Sebastian Vettel won the first two races of the season and currently leads the drivers’ championship. Its 2017 annual report was recently released and includes the stunning revelation that there was “a decrease in research and development expenses for Formula 1 activities.”įar from denting its performance, Ferrari has had a boost on track. The filings add that “the main component of research and development costs expensed related to the research and development performed for the Formula 1 racing car.” Taking this to be 75% of the total gives $402.7 million and that excludes salaries and the running costs of the team.Īs Ferrari itself is floated it releases financial information ahead of almost all of the F1 teams which are private corporations. The filings state that it “mainly include the research and development incurred for the Formula 1 racing activities.” However, when Ferrari floated on the New York Stock Exchange in 2015 its filings finally gave a glimpse under the hood of its racing outfit.īritain’s Independent newspaper revealed last year that Ferrari’s single biggest expense is found in the research and development costs which come to €509.6 million ($536.9 million at the rate on the filing date of 31 December 2016). This research and development bill is for the year ending 31 December 2016 which is when last year’s F1 cars were designed. Unlike most of its rivals Ferrari doesn’t file financial statements for its F1 team as it is a division of the auto maker rather than a separate corporation. Its chairman Sergio Marchionne said last year that quitting would be “totally beneficial to the P&L” and it is no exaggeration. This has fuelled threats that Ferrari will pull out of F1 in 2021 when its contract to race expires. It is a particularly sore point for Ferrari as it has failed to win the title since the V6 was introduced in 2014. It will be cheaper for teams to lease but will cost manufacturers like Ferrari more as they will have to design it. Plans presented to the teams before this month’s Bahrain Grand Prix reportedly involve cutting Ferrari’s bonus by half with just $40 million due to be paid in recognition of its historic status and an additional $10 million going to each engine manufacturer.Īs well as facing a fall in prize money, Ferrari’s costs are on track to rise as F1 is due to introduce a new version of its 1.6 liter V6 engine in 2021. ![]() In 2016 its chief executive Greg Maffei said that one of its objectives is to have “much more fairness in prize money” which benefits the minnows but could see the end of Ferrari’s bonus. At the other end of the spectrum, the Manor F1 team only got an estimated $52 million of prize money and crashed into Chapter 11 bankruptcy in January last year.į1’s new owner Liberty Media wants to put the brakes on this inequality as there is a close correlation between the teams’ budgets and their chances of success. In contrast, Mercedes was paid a staggering $53 million less even though it won the championship. This guarantees Ferrari at least $92.2 million annually with the performance-based payments driving its total prize money to an estimated $190 million in 2016. ![]() It gives Ferrari at least $62.2 million annually in return for being F1’s longest-standing team having been racing in it since the birth of the championship in 1950. The Italian marque gets its own dedicated prize pot as well as the CCB Fund. The prospectus states that this structure sees “the Team ranked first receiving 37% of the CCB Fund (with a minimum payment of US$37 million), the second Team receiving 33% of the CCB Fund (minimum US$33 million) and the third Team receiving 30% of the CCB Fund (minimum US$30 million).” As Ferrari is third in the ranking it races off with a guaranteed $30 million but it doesn’t stop there. ![]()
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