Mercedes lost their championship crown to Red Bull in 2022 after eight years of complete dominance. They lost out to the Austrian team with the new regulation changes taking effect. Despite that, the Silver Arrows were able to extract a profit of $110,000,000 over their Milton-Keynes-based rival, as per a report published by PlanetF1.
Following the introduction of the turbo-hybrid era in 2014, the Brackley-based team became unstoppable. They were dominant in all fronts, winning eight constructors’ titles in a row. The only trophy they failed to bag was the 2021 drivers’, which went to Red Bull’s Max Verstappen.
Together as one out there tonight. 🙏 pic.twitter.com/6asq7V2KEM
— Mercedes-AMG PETRONAS F1 Team (@MercedesAMGF1) October 8, 2023
For Red Bull, the 2022 regulation changes turned out to be fruitful. They won 15 out of 22 races that year. On the other hand, Mercedes had just one win that year. Despite the underperformance out on track, they had a much bigger profit than Red Bull.
How did Mercedes make so much profit?
Mercedes has a very strong business model and also performed incredibly well on track. They became one of F1’s best-ever teams, but unfortunately entered a slump from a sporting point of view in 2022. Still, that was enough to give them a profitable cushion over the rivals.
Interestingly, despite having a bad year, they managed to amass a staggering $110,000,000 in profits in 2022 after reporting a revenue of $582,600,000, as per PlanetF1. Admittedly, this was possible, partly due to a push in investment by INEOS.
Another weekend down, more points on the board. 📈 The fight for P2 is well and truly on. 💪 pic.twitter.com/htAb8T5pbv
— Mercedes-AMG PETRONAS F1 Team (@MercedesAMGF1) October 9, 2023
On the other hand, Red Bull reported a revenue of 341,000,000 in 2022. This was a jump of $49 million from 2021. With things going well for the Silver Arrows in business, they are now focused on on-track performance.
With 2023 wrapped up, Mercedes will focus on 2024
As the 2023 season is almost at the end with Red Bull and Max Verstappen taking home both Constructors’ as well as drivers’ championships, Mercedes decided to shift their focus in the next season in order to have a healthy lead over rivals.
Talking about this, he said as per Mercedes AMG F1 News on X, “Since the car will be completely different, I will not work on the W14. It is a new season, and it’s crucial that we start it off on the right foot with this new car.”
As things stand, they are currently pursued by Ferrari for the P2 in the Constructors’ championship. They need to make sure they hold to their runner-up position till the very end as the championship crown has already been defended by Red Bull.
