Formula 1 has recorded a never before seen revenue loss, in the hundreds of millions. This is thanks to the COVID-19 pandemic and behind closed doors races.
Formula 1 posted a 44% decrease in revenue from the 2020 season. Money made plummeted from $2022 million to $1145 million, thanks to the inability to sell merchandise at the racetrack. This caused a massive outright loss of $386 million, a major loss compared to the $17 million gain in 2019. Most of the money loss seems to have come from race promotion fees. Generally, racetracks pay to host F1, but in 2020, most fees were waived or reduced due to the economic fallout thanks to the pandemic.
This meant the teams were paid far less than normal in cash prizes. Only $711 million was dished out to the teams, just over $300 million less than the year previous. What effect this will have on financial security in smaller teams remains to be seen.