Formula E is doing “incredibly well” financially despite suffering an operating loss of €33.7 million through its second season, according to series CEO Alejandro Agag.
Formula E reduced its net operating loss by €29 million from season one to season two, as well as increasing total revenue from €19.7 million to €56.6 million, as per accounts filed at Companies House in the UK.
Speaking to Reuters, Agag expressed his delight with Formula E’s financial performance, revealing it could have been in the black after just two seasons had it not been for a decision to re-invest revenue.
“Everything is going according to plan. Actually, we are doing incredibly well financially according to our plan,” Agag said.
“We could have broken even this year but we decided to invest more in marketing and promotion. We decided to add races like the one in New York, which is in year one a race… We have significant capital expenditure.
“It’s really up to us when we want to go to break even or not. We could be in break-even now, we could be in break-even next season, but we may decide to invest more in marketing and promotion.”