The financial situation of Mercedes has not been affected by the team’s decline in performance over the past two years. Despite facing difficulties in the era of Formula 1 ground effect and falling behind Red Bull and Ferrari in 2022, Mercedes still managed to declare a revenue of £546.5 million (approximately $680 million), surpassing rival Red Bull by $161 million. This makes Mercedes the first team to exceed half a billion dollars in revenue. Although their on-track performance has been weak, the team maintained a good profit, with a slight drop from $89.7 million to $83.8 million due to increased costs with machinery and number of employees.
The decline in Mercedes’ popularity can be attributed to their disappointing performance. Other teams have achieved better results, resulting in a decrease in television coverage. In 2023, Mercedes’ on-track coverage accounted for only 14.7% of the total footage. However, their presence on social media has been stronger, with a cumulative increase of 36 million followers across various platforms. To regain lost television coverage, Mercedes simply needs to start winning again.
Despite their challenges, Mercedes has been constantly updating their challenging W15 to improve performance. Despite the issues, the team has managed to maintain strong financial benefits. Mercedes is determined to achieve a podium soon and help Lewis Hamilton end the season on a high note.
© 2024
