Q2 2025 Liberty Media Corp Earnings Call

August 7, 2025

Let me explain.

Operator: Welcome to Liberty Media Corporation's 2025 Q2 Earnings Call. During the presentation, all participants will be in a listen-only mode. Afterwards, we will conduct a question-and-answer session. At that time, if you have a question, please press star one on your telephone keypad. As a reminder, this conference will be recorded 7 August. I would now like to turn the call over to your host, Shane Kleinstein, Senior Vice President, Investor Relations. Please go ahead.

Welcome to the Liberty Media corporation's 2025, second quarter earnings call. During the presentation, all participants will be in a listen-only mode afterwards. We will conduct a question and answer session at that time. If you have a question, please press star 1 on your telephone keypad. As a reminder, this conference will be recorded August 7th.

Shane Kleinstein: Thank you, and good morning. Before we begin, we'd like to remind everyone that this call includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual events or results could differ materially due to a number of risks and uncertainties, including those mentioned in the most recent Forms 10-K and 10-Q, filed by Liberty Media with the SEC. These forward-looking statements speak only as of the date of this call, and Liberty Media expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statement contained herein to reflect any change in Liberty Media's expectations with regard thereto, or any change in events, conditions, or circumstances on which any such statement is based. On today's call, we will discuss certain non-GAAP financial measures for Liberty Media, including Adjusted OIBDA.

I would now like to turn the call over to your host Shane kleinstein senior vice president investor relations. Please go ahead.

Thank you and good morning before we begin. We'd, like to remind everyone that this call includes certain forward-looking statements within the meeting of the private Securities. Litigation Reform Act of 1995 actual events or results could differ materially due to a number of risks and uncertainties including those mentioned in the most recent forms 10K and 10, Q, followed by Liberty Media, with the SEC.

These 4 looking statements speak only as of the date of this call and Liberty Media, expressly disclaims, any obligation or undertaking to defend me any updates or revisions to any of our looking statements. Contains your end to reflect any change in Liberty, media's expectations, with regards there, too or any change in events, conditions, or circumstances on which any such statement is based.

Shane Kleinstein: The required definition and reconciliation for Liberty Media Schedule One can be found at the end of the earnings press release issued today, which is available on our website. Speaking on the call today, we have Liberty President and CEO, Derek Chang, Liberty Chief Accounting and Principal Financial Officer, Brian Wendling, Formula One President and CEO, Stefano Domenicali, and MotoGP CEO, Carmelo Ezpeleta. Other members of management will be available to join for Q&A. With that, I'll turn the call over to Derek.

On today's call, we will discuss certain non-gaap Financial measures for Liberty Media. Including addressed, the required definition and Reconciliation for Liberty Media. Schedule. 1 can be found at the end of the earnings press release issue today, which is available on our website.

Speaking on the call today, we have Liberty president and CEO Derek Chang Liberty Chief accounting and Principal Financial Officer. Brian Wendling Formula 1 president and CEO Stephano Dominic Callie and Moto GP CEO Carlos balita.

Derek Chang: Thank you, Shane. Good morning, everyone. It was an active second quarter at Liberty, which saw us progressing the initiatives we laid out to start the year. Regarding our planned split-off of Liberty Live, we filed the initial S-4 at the end of July and are now going through the customary review process. Chad Hollingsworth will be the CEO of Liberty Live Holdings once the split-off occurs. Chad is Senior Vice President at Liberty, has been our Director of Live Nation since 2020, and is a natural person to oversee our investment. We expect to complete the split-off in the fourth quarter. Our next priority is supporting the growth and momentum at F1. The financial results were outstanding this quarter, alongside a flurry of new sponsors announced, promoter partners extended, and media rights agreements signed. Stefano will provide greater details shortly.

Derek Chang: Thank you, Shane. Good morning, everyone. It was an active Q2 at Liberty, which saw us progressing the initiatives we laid out to start the year. Regarding our planned split-off of Liberty Live, we filed the initial S-4 at the end of July and are now going through the customary review process. Chad Hollingsworth will be the CEO of Liberty Live Holdings once the split-off occurs. Chad is Senior Vice President at Liberty, has been our Director of Live Nation since 2020, and is a natural person to oversee our investment. We expect to complete the split-off in the Q4 Our next priority is supporting the growth and momentum at F1. The financial results were outstanding this quarter, alongside a flurry of new sponsors announced, promoter partners extended, and media rights agreements signed. Stefano will provide greater details shortly.

Other members of management will be available to join for Q&A and with that, I'll turn the call over to Derek.

Thank you, Shane. Good morning, everyone. It was an act of second quarter at Liberty, which saw us progressing the initiatives we laid out to start the year. Regarding our plans put off of Liberty Live, we filed the initial S4 at the end of July and are now going through the customary review process. Chad Hollingsworth will be the CEO of Liberty, life Holdings, want to split off ours. Chad is a senior vice president. At Liberty has been our director of Live Nation since June 2020, and is a natural person to oversee our investment. We expect to complete the split off in the fourth quarter.

Derek Chang: Finally, we completed our acquisition of MotoGP on 3 July 2024. We are now beginning fulsome work in helping management set their strategic direction to enhance the company's growth. Fortunately, the sport and ecosystem are both in a strong position, providing the foundation to build on for future success. While it's early, I'd like to outline what we see as near- and medium-term priorities for MotoGP. Starting with near-term objectives. First, we want to accelerate the build-out of certain commercial functions, which was already in progress prior to the close. This includes sponsorship and marketing teams in areas like sales, account management, research, public relations, and social media strategy. Second, we will lean into brand positioning to build off the new MotoGP brand campaign that launched last November.

Our next priority is supporting the growth and momentum at F1 the financial results were outstanding. This quarter alongside a flurry of new spawns sponsors announced promoter Partners extended and media rights agreements signed Stephano will provide greater detail shortly.

And finally, we completed our acquisition of MotoGP on July 3rd.

We are now beginning fulsome work in helping management set their strategic direction to enhance the company's growth.

Fortunately, the sport and ecosystem are both in a strong position. Providing Foundation to build on for future success.

While it's early, I'd like to outline what we see as near and medium-term priorities for Moto GP starting with near-term objectives, first, we want to accelerate the building out of certain commercial functions.

Which was already in progress, prior to the close. This includes sponsorship and marketing teams in areas like sales,

Account management, research, public relations and social media strategies.

Derek Chang: Efforts will include developing a more robust fan insights platform, tracking brand awareness and engagement to better inform commercial propositions for new and existing partners. The team has already started new content initiatives with specific focus on the US and UK markets. Third, we have begun collaborating with F1 to explore areas where we can accelerate business initiatives and share learnings. Some of these benefits will take time to materialize and be realized over the longer term. With respect to medium-term priorities, first, we intend to enhance the Grand Prix experience and turn each weekend into marquee events, very similar to the mandate in the early days of F1. This includes improving the hospitality offering and augmenting fan experiences on site, as well as ample opportunities to deepen our partnership with Quint. Second, we will expand the sport's global presence and broaden its appeal and reach.

Second, we will lean into the brand positioning and build off the new Moto GP brand campaign that launched last November.

Efforts will include developing a more robust fan. Insights platform tracking brand awareness and engagement to better inform commercial propositions for new and existing partners.

The team has already started a new content and initiatives with specific focus on the US and UK markets.

Third, we have begun collaborating with F1 to explore areas where we can accelerate business initiatives and share learnings some of these benefits will take time to materialize and be realized over the longer term.

With respect to medium-term priorities.

First, we intend to enhance the Grand Prix experience, and turn each weekend into Marquee events, very similar to the Mandate in the early days of F1.

this includes improving, the hospitality offering and augmenting fan experiences on site, as well as ample opportunities to deepen our partnership with Quint

Derek Chang: The MotoGP team has a clear focus on capturing new fans and growing outside the motorcycle racing world, while maintaining its core traditional fans. They are already making progress in optimizing new race locations, including the recent announcement for a race in Buenos Aires in 2027, which strategically locates a track in an urban center, as well as a return to Brazil next year after a two-decade absence. We plan to target the US as a key growth market, given its limited presence today. Third, we need to scale sponsorship partners. As we know, this has massive potential, given the current heavy reliance on endemic names. Furthermore, there is clear low-hanging fruit, like unsold title sponsorships or vacant track-side advertising. However, we are also mindful that sponsorship sales cycles can be long, and the team will manage for the quality of partners with clear brand alignment.

Second, we will expand the sport's global presence and broaden its appeal, reaching the MotoGP team with a clear focus on capturing new fans and growing outside the motorcycle racing world while maintaining its core traditional fans.

They are already making progress at optimizing new race locations.

Including the recent announcement for race in Buenos Aires in 2027, which strategically locates a track in an urban center as well as a return to Brazil next year. After a 2 decade absence

Market given its limited presence today.

Third, we need to scale sponsorships Partners as we know this has massive potential given the current heavy Reliance on the endemic names.

Furthermore there is clear low-hanging fruit like unsold title sponsorships, our vacant Trackside advertisements.

Derek Chang: In aggregate, while it is early days and will take time, we are very optimistic about the growth potential for MotoGP. One perspective on the potential opportunity is in reference to F1 on several engagement and financial metrics. For example, F1's audience in both race attendance and cumulative TV viewership is roughly double that of MotoGP, yet F1 monetizes its primary revenue streams at roughly 5 to 10 times that, with sponsorship and hospitality at the high end of that range. These monetization opportunities, again, will take time, but we believe there are significant potential to scale and grow the business. We'll look forward to updating you on our progress as these initiatives develop. Now, I'd like to welcome Carmelo to make some remarks on MotoGP. I've gotten to know Carmelo and his team over the past 2 months and have tremendous respect for the sport that he has built.

However, we are also mindful that sponsorship sales Cycles can be long and the team will manage for the quality of partners with clear brand alignment.

In aggregate while it is early days and will take time, we are very optimistic about the growth potential for Moto GP.

1 perspective on the potential opportunity is in reference to F1 on several engagement and financial metrics, for example,

F1's audience in both race attendance and cumulative. TV, viewership is roughly double that of Moto GP get F1 monetizes, its primary revenue streams at roughly 5 to 10 times that

The sponsorship and Hospitality at the high end of that range.

These monetization opportunities again will take time, but we believe there are significant potential to scale from where the business

Derek Chang: His passion is second to none, and I will now turn it over to Carmelo so you can hear it from him directly.

We'll look forward to updating you on our progress as these initiatives developed. Now I'd like to welcome Carmelo to make some remarks on Moto GP, I've gotten to know Carmelo on his team over the past 2 months and have tremendous respect for the sport. That he had. Built his passion is second to none and I will now turn it over to Carlos so you can hear it from him directly.

Carmelo Ezpeleta: Good morning, and thank you, Derek. We are very excited that the transaction has closed, and we can now begin our partnership with Liberty Media. Liberty's track record with Formula One is well known, and the acquisition has already led to increased interest in our ecosystem. We look forward to benefit from Liberty's expertise as we continue to accelerate the sports growth and expand its reach to a wider audience, growing value for our fans, teams, commercial partners, and investors. The 2025 season has been very strong. We have held 12 races through the first part of the season and have seen thriving competition and great engagement from our fans. We have had 5 riders and 4 teams win, and 11 riders across 8 teams on the podium, including our sprint races.

Carmelo Ezpeleta: The concession system in our sport is designed to drive more competition across the grid, giving lower-ranked manufacturers more testing opportunities to improve their technology quicker. This new system, which was put in place last year, is clearly having a positive effect, which we expect to continue. Through the first half of the season, attendance is up 6% on a like-for-like race basis. Notably, Le Mans set the highest attendance ever from the MotoGP Championship since records began in 1995 for the third year in a row. Looking at recent races, the Italian Grand Prix saw attendance up 6% and set a new circuit attendance record, and the Dutch and German Grand Prix achieved record attendance at their circuits for the second consecutive years. From a viewership perspective, we have 38.2 million average TV viewers through the first 12 races of the season.

Good morning, and thank you, Eric. We are very excited that the transaction has closed, and we can now begin our partnership with Liberty Media. Liberty's track record is well known, and the operation has already led to increased interest in our ecosystem. We look forward to benefiting from Liberty's expertise as we continue to accelerate the sport's growth and expand its reach to a wider audience, growing value for our fans, teams, commercial partners, and investors. The 2025 season has been very strong; we have had close races through the first part of the season and have seen thrilling competition and great engagement from our fans. We have had five riders and four teams win, with eleven riders on the podium across 18 events, including our sprint races. The cessation system in our sport is designed to drive more competition across the grid, giving lower-ranked teams and manufacturers more testing opportunities to improve.

Their technology quicker, this new system which was put in place last year, is clearly having a positive effect, which we expect to continue through the first half of the Season. Attendance is up to 6% on a live for like race spaces. Not only lemons set. The highest attendance ever from the Moto GP Championship since record began in 1995, for the third year, in a row, looking at recent res.

Carmelo Ezpeleta: Engagement has been also very strong across digital channels, including our direct-to-consumer product, Videopass. Social media followers reached almost 60 million, growing 6% year-over-year. Our new brand identity, launched at the end of last year, and our first-ever season launch event that we hosted in February, are resonating with fans as we continue to showcase MotoGP as a leading global media and entertainment brand. Our management team is looking forward to getting to know our investors and analysts' audience over the coming quarters and to sharing our incredible sport with all of you. Now, I would like to turn the call back to Derek.

The Italian Grand priest show attendance up to 6% and set a new secret attendance record, and the Dutch and German Grand priest achieved records attendance, at their circuits for the second consecutive years. From a viewership perspective, we have 38.2 million a TV viewer through the first 12 races of the Season, an engagement has been also very strong across digital channels, including our direct to consumer product video, pass social, media followers, Richard almost 60 million growing 6% year-over-year. Our new brand identity launched at the end of last year and our first ever season launched at event that we hosted in February and resonating with fans as we continue to Showcase Moto GP as a leading Global media and entertainment brand. Our management team is looking forward to getting to know our investors analysts audience over the coming quarters, and to sharing our incredible Sport with all of you. Now I will like to turn the

Call back to get it.

Derek Chang: Thanks, Carmelo. We are thrilled to have you and your team on board, and are looking forward to further showcasing the MotoGP asset in due course. Now I'll turn it over to Brian for more on Liberty's financial results.

Thanks Carmelo.

Brian Wendling: Thank you, Derek, and good morning, everyone. At quarter end, Formula One Group had attributed cash and liquid investments of $3.1 billion, which includes $1.8 billion of cash at Formula One and $70 million of cash at Quint. Total Formula One Group attributed principal amount of debt was $2.9 billion at quarter end, which includes $2.4 billion of debt at the OpCo level, leaving $525 million at the corporate level. F1's $500 million revolver is undrawn. The MotoGP acquisition closed on 3 July. Liberty acquired 84% of MotoGP, with management retaining a 16% ownership stake.

We are thrilled to have you and your team on board and I'm looking forward to further, showcasing the Moto GP asset in. Due course. Now I'll turn it over to Brian for more on Liberty Financial results.

Thank you, Derek and good morning, everyone.

At quarter end Formula, 1 group had attributed cash and liquid Investments of 3.1 billion which includes 1.8 billion of cash at Formula 1 and 70 million of cash at Quinn. Total Formula 1, group attributed, principal amount of debt was 2.9 billion. A quarter end which includes 2.4 billion of debt at the opco level leaving 525 million of the corporate level.

Brian Wendling: Pro forma for the transaction, F1 OpCo had approximately $300 million of cash and $3.4 billion of debt, bringing pro forma leverage to 3.3 times compared to 0.7 times reported as of June 30. Formula One Group corporate had pro forma cash of approximately $480 million, and no change to the debt balance. Shortly following transaction close, we launched a refinancing at MotoGP that is expected to close later in August. We priced approximately $230 million of new term loan A, denominated in US dollars, a new EUR 800 million euro term loan B, and a new EUR 100 million euro multicurrency revolver, with future reductions in margin expected as the business delevers.

F1's 500 million. Revolver is undrawn, the Moto GP acquisition closed on July 3rd, Liberty acquired, 84% of Moto GP with management retaining, a 16% ownership stake.

And 3.4 billion of debt bringing proforma leverage to 3.3 times compared to 7 uh times reported, as of 6:30 Formula 1 Group, corporate had Proform and cache of approximately 480 million and no change to the debt balance.

Brian Wendling: This new capital structure will result in significantly reduced annual interest expense, extended maturities, and a currency mix that better reflects the euro and US dollar exposure of the business. Using June 30 balances, exchange rates as of at that date and pro forma for the refinancing transactions, MotoGP had US dollar cash of $187 million in cash and liquid investments, and principal amount of debt in US dollars of $1.2 billion. MotoGP's net leverage as of June 30 in pro forma for the refinancing transactions is 5.2 times. In the near term, we expect to delever both at Formula One and MotoGP. Our goal is to delever to the 3 to 4 times range of the MotoGP business by the end of 2026.

Shortly following transaction closed. We launched a refinancing uh at Moto GP that is expected to close later. In August, we priced approximately 230 million of new Term Loan, a denominated in US Dollars, a new 800 million euro Term Loan b and a new 100 million euro multicurrency revolver with future reductions in margin expected as the business D, levers.

This new capital.

Structure will result in significantly reduced annual interest expense extended maturities and a currency mix that better reflects the Euro and US dollar exposure of the business.

Using June 30th, balances exchange rates as of, uh, that date and proforma for the refinancing transactions Moto GP, had US dollar, uh, cash of 187 million in liquid Investments, that cash and liquid Investments and principal amount of debt in US Dollars of 1.2 billion.

MotoGP is not leveraged as of 6:30, and the pro forma for the refinancing transactions is 5.2 times.

In the near term, we expect to de-lever both at Formula 1 and MotoGP.

Brian Wendling: Turning to the F1 business, I'll make some brief comments on the second quarter, but we'll focus primarily on year-to-date comparisons, which better reflect the state of the business, given variability in quarterly race numbers and mix. A reminder that every quarter in 2025 will have a different race count and mix, which will impact quarterly comparisons. Most of the variability in Q2 year-over-year results is due to 1 additional race held in the mix of events in the second quarter compared to the prior year period. Q2 2025 held 9 races compared to 8 races in 2024, with Bahrain and Saudi Arabia occurring in the current period compared to China in the prior year period. Year to date, though, through the second quarter, F1 had the same race count and mix year over year.

Brian Wendling: Turning to the F1 business, I'll make some brief comments on the Q2, but we'll focus primarily on year-to-date comparisons, which better reflect the state of the business, given variability in quarterly race numbers and mix. A reminder that every quarter in 2025 will have a different race count and mix, which will impact quarterly comparisons. Most of the variability in Q2 year-over-year results is due to 1 additional race held in the mix of events in the Q2 compared to the prior year period. Q2 2025 held 9 races compared to 8 races in 2024, with Bahrain and Saudi Arabia occurring in the current period compared to China in the prior year period. Year to date, though, through the Q2, F1 had the same race count and mix year over year.

Our goal is to be levered to the 3 to 4 times. Uh, range at the Moto GP business by the end of 2026.

Turning to the app 1 business. I'll make some brief comments on the second quarter, but we'll focus primarily on year to date comparisons, which better reflect the state of the business given variability in quarterly, race numbers and mix a reminder that every quarter in 2025 will have a different race count and mix, which will impact quarterly comparisons.

Most of the variability in Q2 year-over-year results is due to 1 additional race held in the mix of events and the second quarter compared to the prior year period.

Q2 255 held 9 races compared to 8 races in 24, with Bahrain and Saudi Arabia in the current period compared to China and the prior year period.

Brian Wendling: The business is performing incredibly well, with revenue up 14% and adjusted OIBDA up 21%. Revenue grew across all revenue streams, with sponsorship, race promotion, and media rights continuing to benefit from new partners and underlying growth in the existing contracts. Media rights also continued to see strong F1 TV growth and recognized one-time revenue associated with the Apple, F1 movie in Q2. Other revenue increased, primarily driven by higher freight, hospitality, and licensing revenue, including the success of the new LEGO partnership. Adjusted OIBDA increased on a year-to-date basis, with revenue growth outpacing increased expenses. Other costs of F1 revenue increased primarily due to higher freight costs from the mix of routes flown, as well as higher hospitality costs, primarily driven by increased Paddock Club attendance and higher commissions and partner servicing costs, including increased costs to service new sponsorship agreements.

Year to date though, through the second quarter F1 had the same race count and mixed year-over-year.

Is performing incredibly well with Revenue up 14% and adjusted way. But up 21%.

Revenue grew across all revenue streams with sponsorship, race promotion, and meteorites continuing to benefit from new partners and underlying growth. In the existing contracts. Meteorites also continued to seek strong F1 TV growth and recognize 1-time Revenue associated with the Apple, uh, F1 movie in the second quarter.

Other Revenue increased primarily driven by higher Freight hospitality and Licensing Revenue, including the success of the new Lego partnership.

Adjusted webinar increased on a year-to-date basis with Revenue growth outpacing, increased expenses uh other costs of F1 Revenue, increased primarily due to higher freight costs from the mix of routes flown as well as higher Hospitality costs. Primarily driven by increased Paddock Club attendance and higher commissions and partner servicing costs, including increased costs to Service news sponsorship agreements.

Brian Wendling: SG&A expense increased year to date, primarily due to higher marketing and personnel expenses. Marketing expense was impacted by the O2 launch event that occurred during the first quarter, and team payments increased due to the pro rata recognition of expected higher team payments for the full year. Team payments as a percentage of pre-team share adjusted OIBDA were 58.4% year to date, compared to 61.9% the prior year period. A quick reminder that team payments should be analyzed on a full year basis due to quarterly fluctuations in team payments as a percent of adjusted OIBDA. A reminder that team payments as a percent of pre-team share adjusted OIBDA were 61.5% for full year 2024, and we continue to expect to see leverage against the full year 2024 percentage for the full year of 2025.

Brian Wendling: SG&A expense increased year to date, primarily due to higher marketing and personnel expenses. Marketing expense was impacted by the O2 launch event that occurred during the Q1, and team payments increased due to the pro rata recognition of expected higher team payments for the full year. Team payments as a percentage of pre-team share adjusted OIBDA were 58.4% year to date, compared to 61.9% the prior year period. A quick reminder that team payments should be analyzed on a full year basis due to quarterly fluctuations in team payments as a percent of adjusted OIBDA. A reminder that team payments as a percent of pre-team share adjusted OIBDA were 61.5% for full year 2024, and we continue to expect to see leverage against the full year 2024 percentage for the full year of 2025.

sg&a expense, increased year to date, primarily due to higher marketing, and Personnel expenses marketing expense was impacted by the 02 launch event, that occurred during the first quarter,

Uh and team payments increased due to the pro-rata recognition of expected higher, team payments for the full year.

Team payments as a percentage of pre-teen share adjusted orbit over 58.4% year to date. Compared to 61.9% the prior year period.

The quick reminder that team payments should be analyzed on a full year basis. Due to quarterly fluctuations in team payments as a percent of adjusted way. Better.

A reminder that team payments is a percentage share.

Brian Wendling: Turning briefly to MotoGP's results. A reminder that since the transaction closed on 3 July, MotoGP results will not be consolidated until Q3. All financial information for the business to date has been in Spanish GAAP, and we expect various US GAAP adjustments, including the removal of straight-line revenue and cost recognition for multiyear contracts. Under US GAAP, we expect growth rates for primary revenue streams with multiyear contracts to more closely approximate the annual escalators included in the contracts, obviously, absent the impact of any significant renewals, which will differ from the relatively flat Spanish GAAP representation included in our financial disclosure to date. We expect to provide results for the full year of 2024 in US GAAP at year-end, as part of our normal reporting.

Adjusted away but we're 61.5% for full year 24 and we continue to expect to see leverage against the 20 full year 24 percentage for the full year of 2025.

Brian Wendling: More information can be found in the information pack on MotoGP that was posted to our website at the time the acquisition closed. A table summarizing 30 June year-to-date results in Spanish GAAP can be found in a trending schedule that will be posted to our website after the 10-Q is filed. MotoGP held 10 races in the six-month period ended 30 June 2025, compared to 8 races in the prior year period. Spanish GAAP revenue and EBITDA were EUR 220 million and EUR 75 million, respectively, for the six months ended 30 June 2025. Year-over-year comparisons are impacted by the mix of races, as flyaway races in general carry a higher cost per race. For the full year 2025, we expect a normalized race calendar unlike 2024, which was impacted by several race cancellations.

Turning briefly to moto gp's results, a reminder that since the transaction closed on July 3rd, Moto GP, results will not be Consolidated until the third quarter. All financial information for the business today has been in Spanish Gap and we expect various us gaap adjustments, including the removal of straight line revenue and cost recognition for multi-year contracts under us. Gaap we expect growth rates for primary revenue streams with multi-year contracts to more closely approximate. The annual escalators included in the contracts. Uh, obviously absent, the impact of any significant renewals, uh, which will differ from the relatively flat, Spanish Gap, representation included, in our financial disclosure to date, we expect to provide results for the full year, 2024 and us gaap at year end. Uh, as part of our normal reporting.

And a table summarizing 6:30 here today, results in Spanish Gap. Can be found in a trending schedule that will be posted to our website after the 10 CE is filed.

Moto GP Health, 10 races. Uh, in the 6-month period ended 63025 compared to 8 races in the prior year period.

Spanish, gaap revenue, and IBA were 220 million euro and 75 million euro respectively, for the 6 months ended 630.25

Year-over-year comparisons, comparisons are impacted by the mix of races as Flyway races in General carry a higher cost per race.

Brian Wendling: Note that the second half of the year contains a higher mix of races with greater profitability. The majority of MotoGP's revenue and costs are euro-denominated. Going forward, we intend to provide both US dollar and euro-denominated growth rates to better portray underlying trends in the business. Lastly, looking briefly at the corporate and other results year to date, revenue was $198 million, which includes Quint results and approximately $12 million of rental income related to the Las Vegas Grand Prix Plaza. Corporate and other adjusted OIBDA loss was $4 million, includes Grand Prix Plaza rental income, Quint results, and corporate expenses. As a reminder, Quint's business is seasonal, with the largest and most profitable events taking place in Q2 and Q4.

For the full year 2025. We expect a normalized race calendar on like 2024 which was impacted by several race. Count. Cancellations.

note that the second half of the Year contains a higher mix of races with greater profitability,

the majority of moto gp's revenue and costs are Euro denominated going forward. We intend to provide both US dollar and Euro denominated growth rates to better portray underlying Trends in the business.

Brian Wendling: Turning to the Liberty Live Group, there's attributed cash of $308 million, and $400 million of undrawn margin loan capacity related to our Live Nation margin loan. As of August 6, the value of the Live Nation stock held at Liberty Live Group was $10.4 billion. We have $1.15 billion in principal amount of debt against these holdings. Liberty and F1 are in compliance with our debt covenants at quarter end. And with that, I'll turn it over to Stefano to discuss Formula One in more detail.

Uh, lastly, looking briefly at the corporate and other results here today, revenue was $198 million, which includes Quint results, and approximately $12 million of rental income related to the Las Vegas Grand Prix, Plaza, corporate, and other adjusted oil loss was $4 million. This includes Grand Prix Plaza rental income, Quint results, and corporate expenses. As a reminder, Quint's business is seasonal, with the largest and most profitable events taking place in Q2 and Q4.

turning to the Liberty Live group, there's attributed cache of 308 million and 400 million of, undrawn margin loan, capacity related to our Live Nation marginal,

As of August 6th, the value of the Live Nation stock held at Liberty. Live group was 10.4 billion.

We have 1.15 billion in principal amount of debt against these Holdings.

Liberty and F1 are in compliance with our debt. Covenants at quarter end. And with that, I'll turn it over to Stephano to discuss Formula 1 in more detail.

Stefano Domenicali: Thanks, Brian. It continues to be an incredible season as we head into a well-deserved summer break for our F1 community. We've witnessed a thrilling competition and on-track action that shows everything Formula One represents. Several drivers across the grid have stood on the podium this season, demonstrating the depth of talent across the grid. What is equally impressive is our competitive midfield battles. Every single team down to 10th place has scored meaningful points this season. I'd like to take a moment to congratulate Nico Hülkenberg on achieving his first podium at Silverstone, a moment that perfectly captured the unpredictability and human stories that makes F1 so captivating. Our fans are showing up in larger numbers than ever, with impressive engagement across metrics. Attendance has been solid, with nearly all events operating at capacity.

Several drivers across the grid have stood on the podium disease, demonstrating the depth of talent across the group.

What is equally impressive is our competitive midfield battles every single team dealt with in place that's called a meaningful points. This season I'd.

I'd like to take a moment to congratulate the nickel will come but it's on achieving these first boarding about silver stuff.

Ah moment, the Pope of the captured the unpredictability in human stories that makes F. One so captivating.

Our fans are showing up in larger numbers than ever with impressive engagement that cosmetics.

And then this has been solid with nearly all event, so but 18 have capacity 12 of the past 40 races, So doubt and six races set the new it then this is records, including silver some will come in close to 500000 fans over the full day weekend.

Stefano Domenicali: 12 of the past 14 races sold out, and 6 races set a new attendance record, including Silverstone, welcoming close to 500,000 fans over the 4-day weekend. At the Paddock Club, we've sold 28,000 tickets this season to date through Hungary. Early forecasts, based on advance partner requests, are already indicating strong demand for 2026. Looking at TV viewership for the 2025 season, nearly every race is showing healthy growth in year-over-year live viewership across F1 top 15 markets. Key large European markets have seen robust growth, including Germany, the UK, and France, as well as our non-European markets like the US, Australia, Canada, and Brazil. In the US, in particular, live viewership is up 7% season to date compared to last year, and ESPN has seen several races set viewership records for their events.

The bubble clip, we've sold 28000 and think it's a season to date through Hungary.

Before because based on advance partners requests are already indicating strong demand for 2026.

Looking up to TV viewership for the 25 season, nearly every race is showing healthy growth in year over year live viewership across F. One top 50 markets.

A large European markets have seen robust growth, including Germany, the U K and France, as well, our new European markets like the U S, Australia, Canada, and Brazil, and the U S. In particular in light of viewership is up 7% season to date compared to last year and E. S. P. M S.

Seems semi racist set viewership with acres for daily beds.

Stefano Domenicali: Our additional race content is benefiting total viewership, with live audiences for the sprint race in Miami up to 35% year-over-year, attracting the largest US audience for a sprint race since the format was introduced in 2021. Perhaps even more impressive is our traction on digital and social platforms. Viewership of F1 highlights on our YouTube channel grew 30% compared to last year, and over half of this audience is under 35. Our social media followers reached 106 million, growing over 20% year-over-year, primarily driven by TikTok, Instagram, and YouTube. F1 remained the fastest growing major sport property on social platform.

Our traditional reis content ease benefit in total dealership with a live audiences for the screen two AC Miami up to the 20% year over year, attracting the largest U S. O. This photo screen twice since the phone that was introduced in 2021.

Perhaps even more impressive is our traction on digital and social platform viewership. Both F. One a lights on our Youtube channel grew 30% compared to last year and a little bit off of these audience is under 35.

Our social media followers reached the Huntington 6 million growing over 20% year over year, primarily driven by Tictoc is picking up and Youtube.

That's why I remain the fastest growing major sports property or social platform.

Stefano Domenicali: Driven by both an exciting season on track and cultural buzz around the F1 movie, F1 drew its largest reach ever on social media in Q2, with over 20 billion total social impressions, growing over 100% compared to Q2 of the last year. In June, the F1 movie was released to the world. The movie was the largest global opening weekend ever for a Brad Pitt film and was shown on more than 44,000 screens across 80 markets. In its first 5 weeks, the F1 movie saw global box office sales over $500 million, becoming the highest-grossing Apple film to date. The film will be released on Apple TV later this year and will continue to strengthen fan engagement with our sport. It's worth emphasizing the scale of our total global fan base.

Driven by both an exciting seasonal track and cultural bus out on the air for a movie F. One drill it's largest suites and buzz on social media in the second quarter with over 20 billion total social impressions grew at over 100 per cent compared to the second quarter of the last year.

In June the F. Four movie was released to the World. The movie was the largest global opening weekend ever.

<unk> brought the theme I was shown on more than 44000 screens across 80 markets in its first five weeks. The F. One movie So global box office sales over 500 immediate become in their highest grossing apples seem to date. The theme would be released on Apple TV later this year.

And we've continued to strengthen funnel engagement with our sport.

He is fully sympathize and the scale of our total global fan base as Nielsen reported earlier. This year you have won some base reached the record number of 826 million in 2024, 43% of these things that are under 35 and 42% of our friends are female they highs as shared in F. One.

Stefano Domenicali: As Nielsen reported earlier this year, the F1 fan base reached a record number of 826 million in 2024. 43% of these fans are under 35, and 42% of our fans are female, the highest share in F1 history for both segments... Additionally, we recently publicized results from a global fan survey conducted by Motorsport Network. 27% of the survey respondents were under 24 years old, and half of these were female. 75% of the fans who became interested in the sport in the last year were female. Importantly, for our commercial business, 1/3 of fans are more likely to consider a purchase if it is from an F1 partner. We will continue to cultivate this fan base in creative ways to interact with Formula One on race, on non-race weekend alike.

History for both segments.

Really we recently publicized result from our global fan survey conducted by Motorsport networks, 27% of the survey responded well under 24 years old and therefore these web female 75% of the fan will became interested in the sport and the last deal with female importantly for that.

Our commercial business one in three fan I'm more likely to concede that approaches if these from an F. One partner.

We will continue to cultivate these from Bayesian creative ways to interact with Formula one race on the non res weekend alike.

Stefano Domenicali: Growth in our fan engagement is translated to strong interest from commercial partners, generating continued financial strength. In our race promotion business, we renewed the Austrian Grand Prix through 2041, and the Canadian Grand Prix through 2035, reflecting the confidence our partners have in F1 value and growth trajectory. We also announced our 2026 calendar. We are excited to welcome Madrid to the F1 family as a new race beginning next year. 2026 marks the final lap for Zandvoort, and we are tremendously grateful for all our promoter has done to delight fans since their return to the calendar in 2021. We look forward to welcoming one of the numerous interested nations and city to this slot in 2027 and beyond.

Growth in our funnel engagement east translated to strong interest from commercial partners gender, They think continued financial things.

In our race promotion business with a new the Austrian Grand Prix through 2041, and the Canadian Grand Prix to vote through 2035, reflecting the confidence our father, and having that form value and growth trajectory.

We also announced our 26 calendar we are excited to welcome <unk> to the F. One family as the new Res beginning next year.

Doesn't that the six months the final lap for example, we are tremendously grateful for old our promoter is done to the lifespan since they returned to the calendar in 2020, while we look forward to welcoming one of the numerous interested nations and ceded to these slots in 2027 and beyond.

Stefano Domenicali: The 2026 calendar also advanced our continued improvement in the geographic flows of races, with the Canadian Grand Prix now following Miami, driving expected freight efficiency and consolidating our European races into one unbroken run over the summer months. For Las Vegas Grand Prix, we are very happy with the progress made so far this year. Our ticket sales are trending ahead of last year, driven by higher sell-through rates. We have agreed to contract extension with all our founding partners and are working to secure long-term procurement contracts to reduce future build-out costs. We and our partners see the incredible value of this race as we continue to build it for long-term success. Turning to media rights, we are finalizing contracts in several regions, including Japan, Australia, Pan Asia, Mexico, and Latin America.

It went the six calendar also advance our continued improvement in the J Jill good ethics flows of races with the Canadian couldn't breathe now fully Miami driving expected fleet efficiency and consolidate in our European races into one and broken down over the summer months.

For Las Vegas grown BREIT, we had a very happy with the progress made so far this year I would think of as sales are trending ahead of last year driven by higher sell through rates.

We have agreed to contract extension with all our foundry partners and are working to secure long term procurement contracts to reduce future build out cost.

We and our partners see the incredible value of these race as we continued to build it for long term success.

Tony into media rights, we are finalizing contract in several regions, including Japan, Australia.

In Asia, Mexico, and in Latin America, we continue to make progress on our U S media rights agreements and that a company now with attractive position in the U S market Nielsen.

Stefano Domenicali: We continue to make progress on our US media rights agreement and are confident in our attractive position in the US market. Nielsen reported the American fan base grew over 10% to 52 million fans in 2024, and the US remains our largest market on social. We continue to focus on securing the ideal partner to support our broader commercial strategy for continued growth in the US market. In Brazil, we have secured a return to Globo TV for 2026, who previously held our rights for 40 years. This platform has the largest share of the total viewer in Brazil and commands over 50% of the free-to-air broadcasting market. Additionally, alongside our race promotion renewal in Canada, we also contracted a long-term extension to Bell Media's media rights deal.

<unk> reported the American from base grew over 10% to 52 million fans in 2024 and the U S. We may know a lot of good small kids on social.

We continue to focus on securing the ideal partners to support our broader commercial strategy for continued growth in the U S market.

In Brazil, we have secured a return to global television for 2056, who previously held a rightful put to use this platform as the largest share of the total viewers in Brazil and comments over 50% of the free to air Broadcasting market. Additionally, alongside our race promotion renewal in Canada we.

We also contracted the long term extension to Bell Media's media rights deal.

Stefano Domenicali: F1 TV continues to outperform our expectations, with especially robust growth in the US, UAE, Canada, Brazil, and Sweden, and with the new premium tier offering seeing strong uptake. Our sponsorship was entering 2025 with the high visibility into our pipeline, and I'm very pleased with the significant new partnership activity we have announced. MSC Cruises extended as our global partner through 2030, and we welcome Pepsi as an official partner, bringing their powerful portfolio, including Doritos, Gatorade, and Sting Energy, into the F1 ecosystem. With this incredible success benefiting our 2025 result, our team is now focusing attention on our pipeline for 2026 and beyond. I'm confident in our progress on several high-value renewals and new partnerships that will drive continued growth. On our other revenue stream, looking first at the Paddock Club.

F. One TD continues to outperform our expectations with especially robust growth in the U S UAE, Canada, Brazil, and Sweden with the new premium tier offering has seen strong uptake.

Our sponsorship.

It was entering 2025 with the high visibility into our pipeline and I'm very pleased with the significant new partnership but activity we have announced.

M C cruises extended that as our global partner tools through 2030, and we welcome Pepsi as an official partner, bringing the power of Hooper fully included Doritos gasoline thing energy into the F. One the ecosystem.

With these incredible success benefiting our 2035 results. Our team is now focusing attention on our pipeline for 2000 and since they seek some bill I'm confident in our progress on several high value with news and new partnership that will drive continued growth.

Our other revenue stream looking first at the Paddock club, we continue innovating our premium hospitality products, including leveraging key learnings from Las Vegas to diversify and then it has this experience we were excited to announce How's 44, our partnership with Lewis Hamilton. So I would say that's one that we launched.

Stefano Domenicali: We continue innovating our premium hospitality product, including leveraging key learnings from Las Vegas, to diversify and enhance this experience. We were excited to announce House 44, our partnership with Lewis Hamilton, Soho House, and F1, that will launch at six circuits this year, beginning in Silverstone. We believe there are additional innovative products to come. Licensing remains a continual area of focus and growth. F1's new partnership with Disney is the latest example of our effort towards F1's always-on strategy, bringing F1 into the lives and homes of our fans beyond 24 races a year. We will deliver a 360-degree licensing program with Mickey and Friends across consumer product categories, retail, track site activation, and experience, and are thrilled to launch this partnership in 2026. Our LEGO partnership also continues to show strong growth and generate buzz on social.

At six silver could this year beginning of silver.

We believe there are additional innovative products to cup lie.

License remain a continued areas of focus and growth if one's new partnership with Disney is the latest example of that would afford towards F. One's always a strategy, bringing F. One into the lives in the homes of our funds beyond 24 races a year.

We will deliver a 360 degree licensing program with medium friends Iqos consumer product categories retail like site activation and the experience and are thrilled to launch the spot the cheaper that doesn't and 26.

Our legal partnership also continued to show strong growth and generate buzz on social legal marketing activation heat over 'twenty. One PD only reached this year across our consumer products business. Our partners sold the 12 million units. So broad that in Q1 2026, we will see a number of new.

Stefano Domenicali: LEGO marketing activation hit over 21 billion in reach this year. Across our consumer product business, our partners sold 12 million units of product in Q1. In 2026, we will see a number of new licensed products launching across soft and hard lines. In experiential licensing, F1 Arcade globally welcomed over 200,000 guests through its door in Q2 alone. The third US venue in Philadelphia opened at the end of May, and Denver, Las Vegas, and Chicago will open in Q4. We are also pleased to report that the F1 Exhibition now surpassed 1 million tickets sold.

License product launching across self theyre not lives.

In exponential licensing and foreigner globally welcomed over 200000 guests through its all in the second quarter alone.

Yes opinions to Philadelphia opening at the end of meat and Denver, Las Vegas, and Chicago will open in the fourth quarter.

We are also pleased to report that the F. One exhibition now surpassed 1 million tickets sold.

Stefano Domenicali: ... Turning to Grand Prix Plaza, the new activation launched to the public in May, capitalized on the F1 brand to promote the site as a premier destination in Las Vegas. The venue has welcomed visitors from 72 different countries since opening. We believe our karting operation is now the second highest grossing track in the country, exceeding 1,000 riders a day on the weekends, with strong and growing revenue per person. It is, however, still early days, and the overall revenue contribution is modest. And finally, we hope many of you saw our F1 75 motion activation, marking 75 years of F1 through a vintage-inspired premium pop-up at luxury retail Selfridges in London. Originally planned as a 2-week activation, it was extended due to exceptional demand.

Turning to Grand Prix Plaza, the new activation launched to the public in May capitalize on their phone brand to promote the site as a premier destination in Las Vegas.

The venue has welcomed digital from 17 different countries seem to opening we believe our casting operation is now the second highest grossing tracking the country exceeding 1000 riders a day on the weekends with strong and growing revenue per person. It is however, still early days and the overall revenue contribution is modest.

And finally, we hope many of you saw our F 175, emotional activation, marking 75 years of F. One through a beam inspired premium pop up at the look through retail separate using loved the original plan is a two week activation. He was extended due to exceptional in the mouth.

Stefano Domenicali: Finally, on sustainability, in July, we published our 2025 update, highlighting our continued commitment to sustainable growth and progress to date. We achieved a 26% reduction in emission in 2024 versus our 2018 baseline, ahead of internal expectations. This achievement is particularly noteworthy against the backdrop of more races and bigger events, demonstrating that we can grow sustainably while expanding our global footprint. As we look ahead, Formula One's momentum across every dimension of our business position, as well for the continued growth. The foundation we are building today will drive long-term value creation for all our partners and stakeholders. Avanti tutta, full speed ahead. And now, I will turn the call back over to Derek. Ciao. Thank you.

Finally on sustainability in July we published our 2025 update highlighting our continued commitment to sustainable growth and progress to date, we achieved 26, but it says reduction in emission in 2020 Foods. This reserve in 2018 baseline ahead of internal expectations.

Achievement is particularly in our notes, we will see against the backdrop of more racism big events, demonstrating that we can grow sustainably, while expanding our global footprint.

As we look ahead full moon was momentum across every dimension of our business position us well for the continued growth. The foundation. We are building today will drive long term value creation for all our partners and stakeholders Avanti.

I wanted to touch full speed ahead, and now I will turn the call back over to Delek, Joe. Thank you.

Derek Chang: Thank you, Stefano, and thank you, Brian. Before going to Q&A, I want to remind you to save the date for this year's Liberty Media Investor Day. We will be hosting our Investor Day alongside the inaugural F1 Business Summit on Thursday, 20 November, in Las Vegas, in advance of this year's Grand Prix. We will have limited in-person attendance, but the Investor Day will be webcast. Stay tuned for more details. We appreciate your continued interest in Liberty Media, and now we would like to take questions. Operator?

Thank you Stephanie and thank you, Brian before going to Q&A I want to remind you to save the date for this year's Liberty media at Investor Day, we will be hosting our Investor day, alongside the inaugural Epsilon business Summit on Thursday November 20th in Las Vegas.

This year's Grand Prix.

We will have limited in person attendance at the Investor day will be webcast stay tuned for more details.

We appreciate your continued interest in Liberty media and now we would like to take questions.

Operator.

Operator: Thank you. At this time, we'll be conducting a question-and-answer session. If you'd like to ask a question, please press star one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star two if you'd like to remove your question from the queue. One moment, please, while we poll for questions. Our first question comes from David Kamovoski with J.P. Morgan. Please proceed with your question.

Thank you at this time, we'll be conducting a question and answer session. If you'd like to ask a question. Please press star one on your telephone keypad.

Information telling them will indicate your line is in the question queue. You May press star two if you'd like to remove your question from the Q1.

One moment, please while we poll for questions.

Our first question comes from David camera Vosky with J P. Morgan. Please proceed with your question.

David Karnovsky: Hey, thank you. For Derek or Stefano, you know, obviously, there's been a lot in the press on the US media rights. Maybe you can update us on where things stand with the process. How are you thinking about priorities in terms of reach versus payment, and what role F1 might, F1 TV might play? Thank you.

Hi, Thank you for darker Stefano obviously, there's been a lot in the press on the U S media rights.

Maybe you can update us on where things stand with the process. How are you thinking about priorities in terms of reach versus payment and what role off what might a F. One TV might play okay.

Stefano Domenicali: Derek, if I may, I can start, if it's okay for you?

David If I may I can start if it's okay for you yeah, absolutely. Thanks, David for the question I think that.

Derek Chang: Yeah. Absolutely.

Stefano Domenicali: Thanks, David, for the question. I think that as you said, I will start from the last of your remarks. F1 TV is and has to be, and it will be part of the package of what we are negotiating now into the future. This is absolutely relevant because, as you have seen, David, the numbers are growing. There is an incredible opportunity for us to stay connected with our, let's say, fan base that is maturing and is growing in term of attention, in term of knowledge. And of course, you know, the discussion we are having are in a good place because we believe that we are, as I said, very, very good opportunity to keep the momentum that it is very strong in US.

I think that as you said the I wish tufts over the last of Yoga Moss Epsilon T D ease and has to be and it will be part of that Oh. The package of what we are negotiating now into the future. This is absolutely a random because as you have seen David the numbers are growing.

Opportunities for us to stay connected with our let's say sub base that these are mature and there's and it's growing in some of our attention in terms of knowledge and of course, you know that the the discussion we are having are in a good place because we.

We believe that we are as I said very very good opportunity to to keep the momentum that it is very strong in U S and just I think yesterday it will be the indication that this year, we were over 1 million follower on the races anyways that this week right. So we are progressing our negotiation.

Stefano Domenicali: And just, I think yesterday, there will be the indication that, this year, we were over 1 million followers on the races in US. That is really great. So we are progressing our negotiations. Of course, there are weeks in front of us. We have not a great rush to finalize everything, because we want to make sure that, as you said, we find the right solutions. One thing that I definitely can add is, we are looking for, I would say, midterm, not long-term, midterm, agreement, because we believe that we are still in a position that, our growth will, will have the chance even further to be negotiated better in the future. But everything is looking good, and, and, and the balance is definitely important, as you said, between reach and, and awareness.

So of course, there are the weeks in front of US we have not the grade Raj.

Rush to finalize everything because we want to make sure that I just said, we find the right solutions and wanted that they definitely can add is that we're looking for I would say midterm.

Long term mid term agreements because we believe that we are seeing a position that our growth will have the chance even further to be negotiated and better in the future, but everything is looking good and and and the balance is definitely important as you said between reach and awareness, but we believe that everything is progressing according to our plan.

Stefano Domenicali: But we believe that everything is progressing according to our plan.

Yeah.

Derek Chang: Thanks, Stefano. I would just add that, you know, as we continue to look at the US market, we are very pleased with the progress we've made over the last few years with the addition of the races that we have here and sort of the engagement that we're seeing, and look forward... And the fact that the business has been built in the US and what that doing to help promote the, and foster the sort of robust discussions that we're having, and look forward to having this next deal take us into the future.

Thanks, Stefano and I would just add that you know as we continue.

Turning to look at the U S market. We are very pleased with progress we've made.

Over the last few years with the addition of the races that we have here and sort of the engagement that we're seeing and look for it.

And the fact that the business has been built in the U S and what that's doing to help promote and foster the sort of robust discussions that we're having and look forward to having this next deal take us into the future.

David Karnovsky: Okay. Then maybe just one on the Vegas Grand Prix. It'd be great to hear a bit more about the on-sale process for the year, how the strategy is starting at a lower price point is paying out. And does that plus what you could do on expense management, I don't know, inform any of you on the ultimate kind of contribution of the race of the financials for the year? Thank you.

Okay, and then maybe just one on the Vegas Grand Prix of D. A.

To hear a bit more about the sale process for the year, how the strategy is starting at a lower price point is paying out in.

Does that plus what you could do on expense management.

Form any view on the ultimate kind of contribution of the rest of the financials for the year. Thank you.

Stefano Domenicali: Well, I can definitely say that Vegas is progressing very, very good according to our plan. If I go specific to your question, it's definitely what we have done differently to last from the previous year. That has been the first year of that experience. We definitely start with the price that is pretty clear will not dropped out. And this has been very, very clear, and the package that we have sold is following this direction. And we definitely believe that, of course, from this year onwards, the contribution of Vegas Grand Prix in terms of economical input will be definitely much more important than what has been so far in the first two years.

Well I can definitely say that the Vegas. He is progressing very very good. According to our plan. It's like those specifics of your question is definitely what we have done differently if the loss from the previous year.

Being the first year of Oh that looks fetus, we definitely start with the price of these pretty clear with no dropped out and and and and this has been very very clear in the package that we have sold is a solid this direction and and that we definitely believe that of course is that some D. C. At all was the contribution that they get lumped into like a novel input will be dead.

Much more important what has been so far to the first two we use.

Derek Chang: Yeah, and I would just add, you know, a huge shout-out to Stefano and the whole F1 team, the LVGP team, because the amount of progress they've made this year has been, you know, pretty, impressive as we've had, you know, at the beginning of the year, talked about what needed to get done there, both on the expense side as well as the revenue side. And as Stefano talked about in his comments earlier, I think we've got the agreements in place with our partners in Las Vegas. I was just out there a couple weeks ago, and I think the enthusiasm for where the race stands, and where we're going with this thing is pretty palpable and I think puts us in really good shape going forward.

Yeah, I would just add you know a huge shout out to Stefano and D. O F. One team the <unk> team because.

There are a lot of progress they've made this year has been you know pretty impressive as we've.

You know at the beginning you talked about what needed to get done there.

The expense side as well as the revenue side and Stefano talked about it in his comments earlier I think we've got agreements in place with our partners in Las Vegas I was just out there a couple of weeks ago.

The enthusiasm for where the race fan.

Along with this thing is Apple.

I think that doesn't feel like it.

Its shape going forward.

Dan Rossomondo: Thank you.

David Karnovsky: Thank you.

Thank you.

Oh.

Operator: Our next question is from Brian Kraft with Deutsche Bank. Please proceed with your question.

Our next question is from Bryan Kraft with Deutsche Bank. Please proceed with your question.

Bryan Kraft: Hi, good morning. Brian, I was wondering if you could help us to quantify the contribution from the F1 movie to primary revenue so that we don't all end up overestimating the revenue that's going to be recurring. And then, secondly, how will the MotoGP management team 16% ownership be accounted for, both in terms of the income statement and the share count? Thank you.

Hi, good morning, Brian.

Brian I was wondering if you could help us to quantify the contribution from the F. One movie to primary revenue so that.

I'll end up over estimating the revenue that's got to be recurring and then secondly, how will the Moto G. P management team, 16% ownership be accounted for it both in terms of the income statement and the and the share count. Thank you.

Brian Wendling: Yeah. So on the F1 movie, think of it as a mid-teen, mid-teens number for the quarter. That's one-time in nature on revenue. And then I'll answer your MotoGP question, but then I would kick it over to Stefano after that to really talk a bit more about the benefit of the F1 movie to the overall ecosystem. But quickly on MotoGP, the 16% will be accounted for as a non-controlling interest, so you'll see a big amount on our balance sheet above equity, and then we'll pick up 84% of the earnings of the business through the P&L. The other 16% will be allocated to non-controlling interest. Stefano, do you want to comment on F1, the movie?

Yeah, so on the F. One movie.

Think of it as a mid teen mid teens number for the quarter that's onetime in nature.

Revenue.

And then I'll answer your Moto G. P question, but then I would kick it over to Stefano after that that really talk a bit more about the benefit of the F. One movie to the overall ecosystem, but quickly on Moto G. P.

The 16% will be accounted for as a as a noncontrolling interest so you'll see a big amount on our balance sheet above equity and then we will pick up 84% of the earnings of the of the business through the P&L. The other 16% will be allocated to non controlling interest.

Stefan how do you want to comment on F. One.

Stefano Domenicali: Yeah.

Yep.

Brian Wendling: Yeah.

Stefano Domenicali: Yeah, absolutely. I mean, thanks, Brian. And Brian, I would say, the effect of the movie is not only, of course, about the dollars and economical input, but the sport will have an incredible opportunity to grow its awareness and to generate the, I would say, the circular economy around that, because it's a new product that has been incredibly strong. And actually, you know, why we were, in a way, quite positive about the input in US was fascinated to see the impact on the more mature markets. So these things will generate definitely interest, will definitely bring money to the ecosystem, to the teams, to the F1 stakeholders. So that's really the work we can see, what we can see happening.

Yeah, absolutely I mean, thanks, Brian.

I would say that the effect of the movie is not only of course about the dollars and economics of input, but the sport that will have an incredible opportunity to grow these awareness and to generate the I would say the circular economy around that because he is a new product that's been incredibly strong.

And actually in Hawaii.

In a way quite puzzled about the input and U S was what's fascinating to see the inputs on the more mature markets. So these things will generate definitely incidents.

Really bring money to the ecosystem to the teams to the S. One stakeholder. So that's really the work that we can see.

What we can see happening if you think that's it often just couple of weeks at the movie itself, but also more than $500 million of the bulk of it is something that keeps you in the amount of ink that is.

Stefano Domenicali: If you think that after just a couple of weeks, the movie itself brought more than $500 million at the box office, it's something that gives you the amount of interest that is generating. We don't have to forget that this movie will be out on Apple platform later on at the end of the year. So that momentum will have a longer effect. That will be definitely create interest that can be monetized later on into the all the system that is around Formula One.

We don't have to forget that this movie will be out on Apple pass on later at all at the end of the year. So that's the momentum they have a longer effect that would be definitely create interest that can be monetized later, all each of the oldest system. But these are also about what.

Bryan Kraft: Thank you. Thanks for that color, and I thought the movie was great, by the way.

Thank you thanks for the color and I thought the movie was great by the way.

Yeah.

Derek Chang: Go again. Thank you. Thank you, Brian.

So again.

Thank you thank you Brian.

Yeah.

Operator: Our next question comes from Stephen Leszek with Goldman Sachs. Please proceed with your question.

Our next question comes from Stephen <unk> with Goldman Sachs. Please proceed with your question.

Stephen Laszczyk: Hey, great for taking the questions. One on MotoGP and one on F1, for me. Maybe first on Moto, I think it's clear that you see a lot of opportunity to improve the reach and monetization of the sport. I think it's also pretty clear that you expect a period of investment and, and repositioning the, to play out over the next couple of years. So just be curious if there's maybe any early frameworks or, or thinking around how investors should expect the pace of investment to be matched against the pace of execution against the revenue opportunity, and really what that means for the trajectory of profitability, for the business over the next few years. Any thoughts or frameworks there, I think would be helpful. And then, a quick one, just on the hospitality at, at F1.

Great for taking the questions one of them Moto G P and one on F. One for me.

Maybe first one murdo and I think it's clear that you see a lot of opportunity to improve the reach and monetization of the sport I think it's also pretty clear that you expect a period of investment and repositioning that to play out over the next couple of years. So I would just be curious if there's maybe any early frameworks or thinking around how investors should expect the pace of investment to be matched against the peso.

<unk> against the revenue opportunity and really what that means for the trajectory of profitability.

For the business over the next few years any thoughts or framework. There I think would be helpful. And then a quick one just on hospitality at F. One you called out in the press release and I think in the prepared remarks. The strength. We're seeing there is there any way to maybe elaborate more on the drivers and magnitude of that growth and if we were to look at comparable G. P is year over year in the quarter.

Stephen Laszczyk: You called out in the press release, and I think in the prepared remarks, the strength you're seeing there. Is there any way to maybe elaborate more on the drivers and magnitude of that growth? And if we were to look at comparable GPs year-over-year in the quarter, what types of growth we're seeing from paddock and hospitality? Thank you.

Types of growth, we're seeing from from panic in hospitality.

Thank you.

Derek Chang: Okay, this is Derek. Let me just take this to start. I think, as it relates to sort of MotoGP, and you're absolutely right, we do see a lot of opportunity here. I think that, and I'll let the team sort of opine here, but, you know, no one actually knows who these drivers are, and few people know about the sport. And I think that's, that's a, you know, fundamentally, we have a great sport, and it's a great place for us to start. So we do see, opportunity, I think from an investment standpoint into MotoGP. We, like F1, will plan to invest. I don't think it's gonna be something that's, that's, you know, outsized per se, but we do want to accelerate growth there and see, and see the opportunities to do so.

Okay. This is Derek let me just take this to start I think as it relates to sort of note that GP and you're absolutely right. We do see a lot of opportunity here I think that I'll, let the team sort of alpine here, but you know.

No one nationally notion of these drivers are two people know about sport and that's that's a you know fundamentally we have a great sport.

Great place for us to start so we do see a pop.

<unk> I think from an investment standpoint in Nevada.

We like Epsilon.

And to invest but I don't think it's going to be something that that you know outsized per se, but we do want to accelerate wireless back and see and see the opportunities to do so I'll, let Carlos ethylene escalator.

Derek Chang: I'll let Carlos Ezpeleta from MotoGP speak a little bit more in detail on that, and we'll come back to the hospitality question.

But a G P R.

I think a little bit more in detail on that I would come back to her question.

Carlos Ezpeleta: ... Thank you, Derek. Yes, thank you, Derek. Yeah, we see, we see growth basically divided into two areas. The first one being how to monetize our current fan base or our current business better. And the second one, and especially one where Liberty can be very helpful, is evolves around an increased fan base around the world. And whether that is through content, through storytelling, or through our, you know, strategically growing different markets, all of that evolves around growing our fan base.

Thank you Derek yes.

Thank you Derrick Yeah, we see we see growth basically divided into two areas. The first one being how to monetize our current fan base for our current business better and the second one on especially one where liberty can be very helpful. As it evolves around and increased our fan base around the <unk>.

World.

And whether that is through content through storytelling or through our strategically growing different markets.

All of that evolves around growing our fanbase I do have to say that we have invested.

Carlos Ezpeleta: I do have to say that we have invested, that investment already started before the operational Liberty Media, and that's hiring key roles around commercial and marketing and investing in sort of a fan insights and research roles. And all of that has already start to lead to potential increases in the business. But we do see that the biggest driver of growth will be increasing our fan base globally. As Derek was saying, we do have, you know, a lot of opportunity in showcasing what the sport is and who the riders are, and we see that that will be the biggest driver of growth.

That investment already started before the operational Liberty media and its hiring key roles around commercial and marketing and investing in sort of a fan insights are and and research roles and all of that has already start to lead to potential increases in the business.

But we do see that the biggest driver.

Both will be increasing our fan base globally.

Eric was saying Oh, we do have a.

You know a lot of opportunity and showcasing what the sport is and who the riders are and we see that that will be the biggest driver of growth.

Derek Chang: Great. Thanks, Carlos. I think as we come back to the question on hospitality, Stefano, if you want to give your thoughts on that, that would be helpful.

Great. Thanks, Carlos I think as we come back to the question on hospitality Stefano if you want to.

Give your thoughts on that that would be helpful. Yeah.

Stefano Domenicali: Yeah. Absolutely. Thanks, Aaron. Thanks, Stephen. I mean, I think first of all, I just can confirm everything that Carlos said, that demand is very strong. What we are doing is making sure that we have different products that can contribute to what are the needs of our partners and fans. Of course, the fact that we are now having incredible partners that are able to activate their investment in Formula One through hospitality packages is giving us the chance to highlight the need of keeping the focus on quality, and also try to capture any other opportunity around the world where we can extend out of a hospitality to follow the demand that we're having. That is very important, and this is what we are doing, what we are negotiating, or we are discussing with the promoters.

Yeah.

Absolutely Thanks, Dan and thanks to you, but I mean, I think first of all I just can come for me Richard that caused the demand is very strong. What we are doing is making sure that we have different products that can contribute to what are the needs of wawa.

And in France.

Of course, the fact that we have now have been incredible partners that are able to activate it.

That is that's where you still want to sue hospitality packages is giving us the chance to highlighted the need of keeping the focus on quality and also try to capture any other opportunity around the world, where we can extend that out.

Out of our hospitality too.

All of the demands that we have it that is very important and this is what we are doing well. We have negotiated we are discussing with the promoter wildly. When there is a we can see that there is enough demand to grow the quantity keeping the quality of the stuff that we want that's what it is what we are doing and I think it's really what is important to say that we are war.

Stefano Domenicali: When there is, and we can see that there is enough demand to grow the quantity, keeping the quality of the standard we want, definitely this is what we are doing. And I think it's really what is important to say that, we are working since a couple of years and, not stopping for sure on making sure that our hospitality program are entertainment, pure entertainment, that have a unicity, that we can offer to our fans that are coming to the track. This, this is really something that has been recognized unique from other disciplines, from other world of entertainment, and that's what we are focusing on. So quantity for sure, but quality and uniqueness of the offer that we can provide to our fans.

In the sense that a couple of years and they're not stopping for sure all making sure that our hospitality program.

Entertainment Pure entertainment that type of Ivy League City are that we can offer to our fast that accommodates would attract this is really something that they recognize the unique from other disciplines from other worlds of entertainment and that's why we are focusing so wanted to for sure but quality of using yourself. The offer that we can provide to huawei.

Thanks.

Derek Chang: Yeah, I mean, a great example of that is this past weekend's race in Budapest, where they just unveiled a whole new, you know, Paddock Club facility, which is larger and certainly much more upgraded than previously, which speaks to both quantity and quality that Stefano just referenced.

Yeah, I mean, a great example of that is passed this past weekend's race and Budapest, where they just unveiled the whole new patent club facility, which is larger and certainly.

Much more upgraded than previously which speaks to both quantity and quality that stuff out just reference.

Carlos Ezpeleta: Thank you very much.

Okay. Thank you very much.

Operator: Our next question comes from Ben Swinburne with Morgan Stanley. Please proceed with your question.

Our next question comes from Ben Swinburne with Morgan Stanley. Please proceed with your question.

Ben Swinburne: Thank you. One on MotoGP, and then I wanna ask, Stefano about sponsorship. I think the last disclosure we had from the deal deck, Brian or Derek, was back in, I think, 2023. I think it was about EUR 480 million. I'm just curious if you could talk about how the business has performed just from a top-line perspective, you know, as you get through 2024 and expectations for 2025. I think you have more races this year than you were running, than Moto was running in those couple of years, just to help us think about growth rates. And then, Stefano, you in your prepared remarks, you talked about the sponsorship team focusing on 2026. You sounded excited about the opportunities.

Thank you one Moto G P and then I want to ask Stefano about sponsorship.

But at the last disclosure, we had from the deal deck, Brian or or or Derek was back in I think 2023.

I think it was about 480 million euros I'm just curious if you could talk about how the business performed just from a topline perspective, you know as you get through 'twenty four and expectations for 25, I think you have more races. This year than you were running the motor It was running in those couple of years just to help us think about growth rates.

<unk>.

And then Stefano you you said in your prepared remarks, you talked about the sponsorship team focusing on 26, you sounded excited about the opportunities I'm. Just wondering if you could spend a little more time on how you're feeling about the pipeline into next year. Because this year is a great year for growth in that revenue line I'm. Just wondering if you feel like you can keep keep the gross.

Ben Swinburne: I'm just wondering if you could spend a little more time on how you're feeling about the pipeline into next year, because this year is a great year for growth in that revenue line. I'm just wondering if you feel like you can keep the growth going in 2026 at a healthy clip, given what your team is seeing right now. Thanks.

Going in 26 at a healthy clip given what your team is seeing right now.

Derek Chang: I will start with and have Brian take the first question, then we'll pass it back to Stefano.

I will start and have Brian take the first question then I'll pass it back to Stefano.

Brian Wendling: Yeah, Ben, I would point you to the info deck that was put on our website on the day the deal closed. But you can see in there, and re-reminder, these are, these are not our numbers. They're in Spanish GAAP. They're not US GAAP. They're in euros. There's a whole bunch of disclaimers I put on them, and those are all on the deck as well. So read those carefully. But with that said, 2023, yet in 2022, you had EUR 475 million. In 2023, you had 486... I'm sorry, yeah, 2023, you had EUR 486 million. 2024, you had EUR 462 million.

Yes, Ben I would point you to the info to act that was put on our website on the on the day the deal close but you can see in there and a reminder, these are these are not our numbers there in Spanish gap, there not U S GAAP or in Europe, or there's a whole bunch of disclaimers out but on them and those are all on the deck as well so read those carefully but with that.

At two.

2023, and 2022, you had a 475 million Euro 2023, you had 46 I'm sorry, Yes, 23 of 46 million Euro two.

2024, you're at $462 million Euro same.

Brian Wendling: Same race count across each of those, but there were cancellations that impacted 2024, where your expectations were higher, but you had cancellations, two of which got replaced with lower fee races. You'll be able to see the OIBDA numbers in there as well. There were some bad debt amounts in that were kind of one-time in nature in 2024. You'll see an information pack or a trending schedule filed on our site later today, where you can see the year-to-date numbers. What I would say on that is, when we think about where we sit for the six months ended 30 June 2025 versus 30 June 2024, keep in mind, there's always a different mix of races. There were 10 races.

Same range kind of across each of those but there were cancellations that impacted 2024.

Expectations were higher but you had cancellations that two of which got replaced with lower fee races.

You'll be able to see the OIBDA numbers in there as well there were some some bad debt amounts and that were kind of onetime in nature in 2024, you'll see an information pack.

Or are they trending schedule filed on our site later today, where you can see the year to date numbers and what I would say on that is when we think about where we sit for the six months ended 630 25 versus 624 keep in mind, there's always a different mix of races. There were 10 right.

<unk> and 'twenty five two additional flyways I believe for state races in the prior year, but flyways tend to have a higher cost certify the fireworks in general tend to have a higher cost and then the economics, obviously it depends by each race, but we would expect to see a higher mix of profitability.

Brian Wendling: In 2025, two additional flyaways, I believe, versus 8 races in the prior year. Those flyaways tend to have a higher cost. The flyaways in general tend to have a higher cost, and then the economics obviously depend by each race. But we would expect to see a higher mix of profitability for the races that remain in the back half of the year. And then we'll put back over to Stefano for the question on sponsors.

The races that remain in the back half of the year.

I will start and stop.

Stepping up for the.

The question that sponsors yeah.

Stefano Domenicali: Yeah. Thanks, Eric. Ben, I think that you are absolutely right. I think that what is relevant to say is that the momentum that we are living, we are pretty convinced that we'll keep being strong. We were talking just before about the movie. The movie will capture another dimension of brand that will be attracted by what we can offer to them. Of course, being in this moment where, as I said, that the pipeline seems to be very interesting, we need to make sure we keep the balance.

Thanks, David I think that's absolutely right I think that what is relevant to say is that the that the momentum that we are leaving we are pretty convinced that we'll keep the strong data we were talking just before about the movie the movie would capture another dimension of brands.

We'll be attracted by it but what we can offer to them of course have been in this moment, whether as I said that the pipeline seems to be very very interesting we need to make sure. We keep the balance and we will keep doing what we've just got that in order to keep the quality also here.

Stefano Domenicali: And we will keep doing what we've just started in order to keep the quality also here, and to keep progression with the fact that we can have partners that we have, we can give them, I would say, less visibility with the higher number of money, with the higher money, because we are differentiating the different categories. We do not forget this year, we brought Barilla, Owen, LEGO, Pepsi, and LVMH, and these have created an ecosystem that is generating more interest in other categories that we are now to evaluate in the right way. What I can see even more important is that, for example, one category is betting, as you know. That is an opportunity that we need to take in the right way. We have a lot of discussion.

I'd like to keep.

The progression with the cycle, we cannot partners that we have but we can't give them, but I would say less visibility with the higher number of money with with the Hyatt money because we are a big fish in the different can sizes. We don't have to get these human grows but he left oh illegal Apache and as D. N H L.

It's created islands and ecosystem that is generating more interested in other categories that we are allowed to evaluate is there a way what I can see even more important is that we have for example, like integrity is bad thing as you know that pizza and the opportunities that we need to take it the right way, we have a lot of discuss shall be well.

Stefano Domenicali: We, we need to make the right call because, as you know, in circular market, this is a big opportunity now that there are legislation limitations we need to consider. And then another area that I said at the beginning would be very interesting to develop is, the consumer area that has never been important in the business of F1. So that's another, another area of a possible development that we are focusing in order to bring home, good, good, and important deals in the future. That is not only 2026, but, in the next year after.

Need to make the right call because as you know in surgical market. These are big opportunities out there that have legislation limitation procedure and then another added heads at the beginning would be very interesting to develop is that the.

The consumer area that has never been important in the business. So for one so that's another 11 Elba possible development that we are focusing in order to bring home a good and important things in the future that is not only 26, but in the next year. After this.

Derek Chang: Thank you.

Thank you.

Operator: Our next question comes from Kuken Morale with Evercore ISI. Please proceed with your question.

Our next question comes from Mcquilkin morale with Evercore ISI. Please proceed with your question.

Kutgun Maral: Great. Thanks for taking the question. I wanted to ask about the outlook for F1 race promotion, and maybe just excluding Vegas. I know this year is relatively light, but it seems like you have a number of deals or extensions in 2026 that could really help accelerate growth over there, particularly thinking about Melbourne. So I wanted to see if you could expand on the opportunity you see over there. Thank you.

Great. Thanks.

Thanks for taking the question I wanted to ask about the outlook for F. One race promotion and maybe just excluding Vegas I know this year is relatively light, but it seems like you have a number of deals or extensions in 2026 that could really help accelerate growth over there, particularly thinking about Melbourne. So I wanted to see if you could expand on the opportunity you see over there. Thank you.

No.

Stefano Domenicali: Yes, Kuken, I can. Sorry, Derek. Yeah.

Yes.

Got it.

Sorry, sorry, yeah.

Brian Wendling: Go ahead. Go ahead.

Got it.

Stefano Domenicali: Okay. Thank you. Thank you, Derek. I would say, well, definitely, the positive trend that we see is definitely there because in all the possible opportunities that we have, we have more demands and/or we have the chance to, let's say, work together better with our partners in order to make sure that, as Derek was mentioning before, Hungary has proved to not only Europe, but all the market, that if a country believes in our sport, there is room for investment, room for the right investment for fans, and also the right fee that needs to be recognized by the fact that the F1 is a business coup for a country and for a culture.

Okay. Thank you. Thank you, Doug I would say well definitely a positive trend that we see is definitely there because it you know the the possible opportunity that we have but we have more denials and or we have the chance to let's say work together with our partners in order to make sure that the aesthetic.

It was mentioned before hadn't goodie as it rolls to ultimately Europe I told the market that if a country believes in our sport or there is room for investment room for the REIT to invest.

But so fabs and also the right seeds that needs to be recognized by the fact that if one is the business kept for our country and for our culture. The Florida there are open.

Stefano Domenicali: Therefore, there are opportunities in front of us, but the other good thing is that for the deals that we have extended, with a quite significant term, is benefiting the fact that there is a robust growth in the year to come in order to keep the financial opening to the race as minimal as possible. But definitely, for the windows that we have in front of us, there are huge opportunities because, as you know, we don't want to move forward in term of number of races, even if the request is higher than what we can offer.

Opportunistic front of us, but the other good things that are for the deals that we have extended the.

And with a quite significant term.

Is it better tasting. The fact that there is a robust growth yet to come in order to keep that financial open into the race as a minimum as possible, but definitely for the windows that you're able to throttle back.

Is that a huge opportunity because as you know we don't want to move forward in terms of number of races. Even if the request is higher than what we can offer.

Yeah.

Brian Wendling: The conversations that Stefano and his team have with prospective promoters out there, they are, you know, it's a pretty healthy group of folks that are always coming in to have discussions. We clearly have certain limitations as it relates to calendar, but I think as we continue to scope it out in the future, there will be options, as we move forward.

The conversations that Stefano and his team have with perspective promoters out there they may.

Where are you now.

Pretty healthy.

The folks that are always coming in to have discussions with.

Clearly have certain limitations as it relates to calendar.

I think as we continue to scope it out in the future there will be options as we move forward.

Kutgun Maral: Very helpful. Thank you both.

Very helpful. Thank you both.

Operator: Our next question comes from Peter Supino with Wolfe Research. Please proceed with your question.

Our next question comes from Peter Zaffino with Wolfe Research. Please proceed with your question.

Peter Supino: Hi, good morning. I'm thinking about the profit recovery potential in Las Vegas. If memory serves, you have about $600 million of capital invested in Las Vegas, PP&E. In understanding and appreciating that the LVGP has benefited the entire sport, is that original capital investment something on which Liberty realistically aspires to earn a standalone return on capital that's better than your WAC?

Hi, good morning, I'm thinking about the profit recovery potential in Las Vegas. If memory serves you have about $600 million of capital invested in Las Vegas, PP&E and understanding.

And appreciating that the Lvg P has benefited the entire sport is that original capital investment, it's something on which liberty realistically expires to earn.

Standalone return on capital Thats better than your WAC.

Brian Wendling: Yeah, I mean, our, our goal is certainly to earn a return on, on that investment. And as you rightly point out, and we, and we've pointed out a few times before, less and less are we looking at the standalone economics of Las Vegas, because as, as Vegas continues to, grow and mature and we continue to work with the partners in that market, you, you see benefits to the overall ecosystem. Some intangible and a lot of them very tangible. So, but overall, yes, we certainly, aspire to earn a return on that, that investment.

Yeah.

Our goal is certainly to earn a return on our on that.

Investment and as you rightly point out and weekend, we've pointed out a few times before.

And last are we looking at the Standalone economics of Las Vegas, because as Vegas continues to.

Grow and mature and we continue to work with the partners in that market.

Do you see benefits to the overall ecosystem, some intangible and a lot of them very tangible so but overall, yes, we certainly aspire to earn a return on that investment.

Peter Supino: Thanks.

Thanks.

Operator: ...Our next question comes from Joe Stoff with Susquehanna. Please proceed with your question.

Our next question comes from Joe Stauff with Susquehanna. Please proceed with your question.

Joe Stauff: Thank you. Good morning. I wanted to ask if there's anything you could share with us on MotoGP and just, you know, say, the expiration schedule for the existing race promoter contracts that you have. And then the second question is, you know, on the new race promoter contracts within F1, you announced in Canada and Austria, is there any sense you can give us on kind of like the, the average growth that you'll realize over the period, or, you know, any delta you can get, share with us, please?

Thank you good morning, I wanted to ask.

If theres anything you could share with us.

On motor G P and just see the exploration.

Operations schedule for the existing race promoter contracts that you have.

And then the second question is on the.

The new race promoter contracts within F. One you announced in Canada and Australia.

There any sense.

You can give us on kind of like the.

The average growth that youll realize over the period or <unk>.

Any delta you can share with us please.

Derek Chang: Yeah, this is Derek. On the first question, with respect to race promotion at MotoGP, and I'll let Carlos talk about it in a little bit more detail, but there is a sort of a regular cadence of renewals probably coming up on new races we announced, I think, earlier today, both the Buenos Aires race or earlier this year, excuse me, but I alluded to it earlier in the call, the race in Argentina and then the one in Brazil coming back. So, but with that, I'll turn it over to Carlos right now to give a little bit more detail.

Yeah. This is Derek on the first question with respect to our race promotion at Moto G. P.

Let's talk about it all a bit more detail, but there is a sort of a regular cadence of.

Renewals, probably coming off our new races, we announced I think earlier today, Oh quite a harness race or earlier this year excuse me, but I alluded to it earlier earlier in the call the race in Argentina and then.

The one in Brazil coming back so.

With that I'll turn it over to Carlos right now to give a little bit more detail.

Oh.

Carlos Ezpeleta: Thank you, Derek. Yeah, on promoters, we're happy to say that it's one of the biggest areas of growth for the sport right now. We have a lot of demand of new countries wanting to come in to the calendar, and we do have space on the calendar, even though that we're we have a 22 race maximum agreement with the teams. There are, you know, we have four races in Spain, we have two races in Italy and other, let's say, other events which could be substituted to bring new markets in.

Thank you Derrick yeah.

On promoters.

We're happy to say that it's one of the biggest source of growth for <unk> for the for the sport right. Now we have a lot of demand of new countries wanting to come in to the calendar and we do have space on the calendar, even though that where we have a 22 races maximum.

Agreement with the teams. There are you know we have four races in Spain, we have.

Two races in Italy, and in other let's say other events, which could be substituted to bring a new markets.

Carlos Ezpeleta: This year, we have announced Buenos Aires to join the MotoGP calendar from 2027, and Brazil to return after 20 years. Both of those have considerable increments on the events they are substituting. We've also announced renewals with events in Spain and France, with very significant increases on the fees. So we do see a huge pipeline of demand of new countries wanting to join in. Of course, with the expectation around the partnership with Liberty, we do have to think about those strategically and keep space on the calendar for new markets or extending our presence in other markets.

This year, we have announced a bunch of assignments.

To join them.

He joined the Moto GP calendar from two.

There's only 27 in Brazil to return after 20 years.

So those have considerable instruments on the events are a subsidy or substituting we've also announced our renewals with events in Spain.

And France was very.

Very significant increases on the fees. So we do see a huge pipeline of demand of new countries wanting to join and of course with the expectation around the partnership with Liberty. We do have to think about this strategically and keep space on the calendar for for new markets or.

Extending our presence in other markets.

Carlos Ezpeleta: So we do see that the cadence of those contracts are increasing. The countries and promoters are looking to expand their agreements. They're typically five years, but some are now longer, for up to ten years.

So we do see that the cadence of those contracts or increase in all the countries promoters are looking to expand.

The agreements are there typically five years, but some are now longer for up to 10 years.

Derek Chang: Great. Thanks, Carlos. I think on the F1 question with respect to the two recent renewals, you know, we're not getting into the details of what those renewals are. But that being said, both of these are important markets for the F1 calendar and also bring other components to it, including the media rights renewal in Canada. But I'll let Stefano articulate that in a bit more detail.

Great. Thanks, Carlos I think on the.

One question with respect to recent renewals.

You know what.

Not getting into the details of what those renewals are but that being said both of these are important markets for you have one calendar and also bring other components to it including the media rights renewal in Canada, but I'll, let stefan to articulate that in a bit more detail.

Stefano Domenicali: Thanks, Derek. I just want to reassure you, assure Joe, that the delta are definitely positive. And positive not only in terms of financial contribution, but also positive for the ecosystem. Of course, every Grand Prix or every promoter has a different considerations to be recognized. For example, the Austrian one has to recognize that there is an incredible effect that we have from the investment of Red Bull in the F1 ecosystem, and this is pretty clear. On the other hand, Canada has been always an important market for Formula One, but there was the need also to invest by them in order to create the right environment for the growth.

Thanks Derek.

Just want to reassure you as I'm sure Joe that the Delta definitely positive and positive not only in terms of financial contribution, but those deposits or the ecosystem of course every Grand Prix, Oh, hey, promoters as different considerations.

Of course, if the ratio is still to be recognized for example, the ultra one has to recognize that there is any credible affected that we havent from divestment of Red Bulls and the athletic assistant.

Pretty clear on the other hand, Canada as a yeah.

Being always an important market for a month, but it was the need those between best.

In order to create the right environment for the growth and that's why you know the fact that we put in place new facilities, new products led to increases in terms of the opportunity for us in new grandstand for that.

Stefano Domenicali: That's why, you know, the fact that we put in place new facilities, new Paddock Club increases in terms of opportunity for us and new grandstand for the fans will all help the profitability, of course, from the promoters and also for us as a commercial rights holder. So I would say everything is taking very careful consideration, knowing that everyone is a specific reality that has to be considered differently. But overall, everyone is so supportive with on our approach because they see the benefit also on their own. We create a business opportunity, well, wherever we go. We create interest, we create the fact that everyone is using F1 to make sure that they can, you know, explain to the world what is behind the race.

For the fans will all help the profitability of course till the promoters and also for us.

As a as a commercially I hold that so I would say everything is thinking very carefully consideration knowing that every one is a specific a reality, but that's because they are different but the overall every one of these social support on our approach because they see the benefit of some bad all we create a business opportunity.

Well wherever we go we could eat into this week is the fact that that everyone is using F. One to make sure that they can.

Explain to the world what is behind it.

Stefano Domenicali: That is not only, you know, the attention to an event, is an attendance of attention to an ecosystem in order to produce technological inspiration and create what every country would like to bring home by hosting a Grand Prix. So overall, the delta are definitely positive everywhere we go.

Race that is not that all the time.

Answers to any event is I mean is that an attendance.

All of our attention to an ecosystem to commute technological exploration and create what every company would like to bring home by hosting a rubbery. So overall the delta of deaths.

Definitely positives everywhere we go.

Joe Stauff: Thank you very much.

Thank you very much.

Operator: Our next question comes from Ryan Gravett with UBS. Please proceed with your question.

Our next question comes from Ryan Gravette with UBS. Please proceed with your question.

Ryan Gravett: Great, thank you. With the MotoGP deal closed and the split coming, I was just wondering if you could provide an update on capital allocation plans and priorities from here. I know you talked about getting to 3 to 4 times at MotoGP, but how should we think about the right target leverage at the F1 OpCo level and just your general thoughts on share repurchases?

Ryan Grabet: Great, thank you. With the MotoGP deal closed and the split coming, I was just wondering if you could provide an update on capital allocation plans and priorities from here. I know you talked about getting to 3 to 4 times at MotoGP, but how should we think about the right target leverage at the F1 OpCo level and just your general thoughts on share repurchases?

Great. Thank you with the Moto GP deal closed and the split coming I was just wondering if you could provide an update on capital allocation plans and priorities from here.

I know you talked about getting to three to four times at Moto G P. But.

I should be thinking about the right target leverage yet the F. One opco level and just your general thoughts on share repurchases.

Yeah.

Derek Chang: ... Yeah, thanks for the question. We, as you rightly alluded to, we are delevering as we speak, and as we kinda come out to a point where we feel comfortable with the leverage, I think we continue to look at opportunities, you know, in the marketplace, which has always been sort of Liberty mantra. That being said, you know, from an M&A perspective, we always will have a high bar there and keep it disciplined to what we're looking at and potentially investing in. I think that this will play out as we move forward here, and it is certainly a discussion that we will continue to have.

Yeah. Thanks for the question we.

As you rightly Ah.

[noise] alluded to we are delevering.

As we speak and as we kind of come out.

To a point, where we felt comfortable with the leverage I think we continue to look at opportunities now in the marketplace, which has always been sort of liberty's mantra.

That being said you.

You know from an M&A perspective, we always will have a high bar, there and and keep a disciplined kind of what we're looking at.

And potentially investing it.

I think that this will play out as we move forward here and.

It is certainly a discussion that we want to hang it up.

Yeah.

Joe Stauff: All right. Thanks, guys.

Thanks, guys.

Operator: Our next question comes from Steven Cahill with Wells Fargo. Please proceed with your question.

Our next question comes from Stephen Cahill with Wells Fargo. Please proceed with your question.

Steven Cahall: Thank you. First one, just on F1 TV. I'm wondering if you've done any assessment of those subscribers. It seems like maybe some are super fans, some are cordless, definitely some could be both. But as you contemplate maybe moving to a streaming partner for some of your rights, you know, do you worry that there's any cannibalization risk of the folks that are cordless and just may be able to find that content with a subscription that they already have? And then a second one, just on competitive balance. I was wondering if you could talk, if there's anything new in the Concorde Agreement around this. We have another F1 season where six of the 10 teams aren't really racing for championships or podiums.

Thank you first one just on F. One T V. I'm wondering if you've done any assessment of those subscribers and it seems like maybe summer superfan summer cordless definitely some could be both but as you contemplate maybe moving to a streaming partner for some of your rights.

Do you worry if there's any cannibalization risk of the folks that are that are cordless and just may be able to find that content with a subscription that they already have.

And then a second one just on competitive balance I was wondering if you could talk if there's anything new in the Concorde agreement around this.

We have another at point season, where six of the 10 teams arent really racing for her championships or podiums I was wondering if there's anything in the new Concorde that might balance that more a little better over time I know you have some financial controls in there, but it hasn't yet kind of moved out of the sparing effect that you've got in the field. Thank you.

Steven Cahall: I was wondering if there's anything in the new Concorde that might balance that more, a little better over time. I know you have some financial controls in there, but it hasn't yet kind of moved out of this steering effect that you've got in the field. Thank you.

Derek Chang: Yeah, I'll start and Stefano, and turn it over to you, since I know you love talking about competitive balance. But, on the first question with respect to-

Yeah, I'll start and turn it over to you since I know you love talking about competitive balance, but on the first question with respect to.

Steven Cahall: Yeah.

Derek Chang: Sort of streaming platforms and F1 TV, you know, the reality is, in the world that we live in, and it's, it's not sort of one or the other or, or sort of the concept of, you, you've got to just make things available to, to consumers and to fans wherever they sort of wanna engage with you. And so that's, I think, what the overarching goal always is, is to try to provide your content in as many places as possible that consumers and fans can easily access. But with that, I'll turn it over to Stefano.

Streaming that F on T V.

The reality is in the world that we live in and that sort of one or the other or or sort of concept of <unk>.

You've gotta make things available to consumers and fans wherever they sort of Lana.

And so that's I think what the overarching goal is to try to provide your car Pat.

And as many places as possible that consumers and fans can easily access, but with that I'll turn it over to Stefano.

Stefano Domenicali: Thanks, Eric. I mean, just to go to the competitive balance, Steven, I think that we need to be considering F1 not in one season, but if you remember, two years ago, McLaren, who is today leading the championship, was last in the last row of the first Grand Prix, in the Bahrain Grand Prix. So I think that what has been done with regard to the budget cap and the possibility for the teams to that are able to win, to re-have reduced time or wind tunnel, and some other effect on their development, is having effect. The gaps in terms of the difference between team to team has never been so small.

Thanks, Derek I mean, they're just just to go to the competitive bother Steven I think that we need to be.

She's a F. One not one season, because you remember two years ago Maclachlan, who is today leads into Chad pushing was lost in the last year or the first two or three in the brain robbery. So I think that's what is being done with regard to the budget cap and the the possibility people the themes, though that that are able to win.

But at this time, a wind tunnel and some of that effect on the third development is that in effect, the gaps and turn them off.

The difference between team to team.

Never been so so so so so small and therefore I mean on that respect, but I do believe that the you know we're not worry at all about about these assets and I would say the model we are putting in in the Cold club that is absolutely fair because there are so many variables that will try to.

Stefano Domenicali: And therefore, I mean, on that respect, I do believe that, you know, we are not worried at all about these assets. And I would say the model we have put in the Concorde is absolutely fair because there are so many variables that will try to consider everything in order not to have, you know, something that can be perceived fake. Therefore, I do believe that the more that you are creating in term of attention to the fact that if you are more successful, you can gain more money from one side, but on the other side, on the sporting side, we are trying to create the right context from the sporting and tech, and technological regulation in order to try to keep the pack as competent as possible.

Consider the everything in order not to have the you know something that is it can be perceived the sake. Therefore, I do believe that the more that you are creating some of attention to the fact that the ECR.

<unk>.

Our successful you can be more money for one side, but on the other side on the sourcing side. We are trying to create that I come to us from the supporting ethics and technological regulation in order to to try to keep the fact as comfortable as possible and this is the beauty of the work together, but we have to do it together with the FAA and on us on both sides of the cap.

Stefano Domenicali: This is the duty of the work together that we have to do together with the FIA, and on us on both sides of the camp.

Steven Cahall: Thank you.

Thank you.

Operator: Our last question is from David Joyce with Seaport Research Partners. Please proceed with your question.

Our last question is from David Joyce with Seaport Research Partners. Please proceed with your question.

David Joyce: Thank you. I wanted to ask about MotoGP. You already talked about the race promotion cadence, but could you help us understand the typical duration of the media rights contracts, you know, and what might be expiring in the next 12 to 18 months? And similarly, with, on the sponsorship side, I know that's a ripe area for growth there. What are some typical contracts there, and how will those be renewing? Thanks.

Thank you I wanted to ask about Moto G. P. You already talked about the race promotion cadence, but could you help us understand the typical duration of the media rates contracts and what might be expiring in the next 12 to 18 months.

And similarly with on the sponsorship side I know that's.

A ripe area for for growth there.

What are some typical contracts there and.

Would those be renewing.

Derek Chang: Thanks for the question. As we are thinking about sort of both of those categories, clearly, you know, important pillars of our, of our revenue, and our growth, and as I think, because we spoke about earlier in terms of sponsorship and sort of that area, we, we do see a huge amount of opportunity there. We do think it's a long build, just because we've got to sort of, tell the story, get the, potential sponsors and people bought into to what we are, what we can do for them. And just like we saw with F1, that will be something that happens, you know, over time. On the media rights, we do have, a variety of deals coming up, as you might imagine, over the, over the course here in the next several years,...

Thanks for the question.

As we are thinking about sort of both of those categories lately are important.

Of our of our revenue.

And I'd, rather than us I think a cough.

Glenn earlier in terms of sponsorship and sort of that area. We do see a huge amount of opportunity. There. We do think it's a long tail.

Just because we've got a sort of.

Tell the story.

Get the potential sponsors that people bought into it.

What we are what we can do for them and just like we saw in the past that that won't be something that happens often.

Time.

On the media rights are we do have a variety of deals coming up.

You might imagine all.

And of course here in the next several years.

Derek Chang: I will let Dan speak about that in a little bit more detail. But, again, I think the goal there is probably to broaden the reach and continue to sort of build the brand of MotoGP and in the consciousness of sort of the general market. So that's sort of what we're pushing. But Dan, why don't you take that? Dan Rossomondo, Chief Commercial Officer at MotoGP.

I will add that.

Can't speak about that and I love that marquee talent, but again.

Again, I think the call there is probably two.

Broadening the reach and continue that path.

Sort of built the brand of <unk> and getting a conscious of sort of.

The general market. So that's that's sort of one more question.

But Dan why don't you take that down with someone now chief commercial Officer G. P.

Dan Rossomondo: Thanks. Thanks, Derek, and David, thanks for the question. I think I'll start with the media part first. I think the great part about our sport is that we are truly global in nature, so we have to be relevant and have the right media deals in a variety of countries, and everywhere we go, we want to have the best and most thorough distributions. Our deals do have different cycles, as Derek said, and I think the other really key part that Derek said is that we need to sort of change with how today's consumer is changing, where they're watching things, how they're consuming content. So we're always looking for what might be the next really key distribution methods, and we hopefully keep flexibility within our agreements to sort of touch on that and to change that as we can.

Thanks, Thanks, Derek and thanks for the question I think I'll start with the media part first I think the great part about our supporters that we are truly global in nature. So we have to be relevant and have the right media deals and a variety of countries and I mean, when we go when we went out to the best and most thorough distributions are.

Do you have different cycles, as Derek said and I think the other really key parts of the tariff set is that we need to sort of change with how today's consumers changing where there were watching things how they are consuming content. So we're always looking for.

What might be the next really key distribution methods and we hopefully keep flexibility within our agreements just sort of touch on that and to change that as we can on the sponsorship side.

Dan Rossomondo: On the sponsorship side, we, you know, it's been said a few times; we think that's a huge area of growth. One of the real reasons why we spent so much time and invested so much money over the last year on the brand identity and on building up both the business analytics and the marketing team was so that we can go out and tell better stories and attract new, new brands into the ecosystem. We have a variety of partners that are endemic inside of the industry. We have some really great ones that are non-endemic, but we clearly have to build out that, build out that, you know, pillar of our business. We're gonna do that by becoming more attractive to brands.

We know it's been said a few times, we think that's a huge area of growth one of the real reasons why we spent so much time and invested so much money over the last year on the brand.

Entity and on building up both for business analytics, and the marketing team well. So that we can go out and tell better stories and attract new new brands into the ecosystem and we have a variety of partners that are endemic inside of the industry. We have some really great ones that are non endemic what we clearly have to build out that.

Build out that pillar of our business and we're going to do that by becoming more attractive to brands that they want to tell stories with us when you want to get them to know our riders that are and we want to enter into long term deals with sponsors that are like minded and a really really good marketers. So that they can help us build our business and attract even more fans. So that's where we are.

Dan Rossomondo: If they wanna tell stories with us, we wanna get them to know our riders better, and we wanna enter into long-term deals with sponsors that are like-minded and are really, really good marketers so that they can help us build our business and attract even more fans. So that's where we are.

Bryan Kraft: Great. Thanks, Dan.

Thanks, Dave.

Derek Chang: Thank you. Yeah. Thank you, Dan. And I think that's our last question. So I wanna thank and welcome Carmelo and Carlos and Dan. Thank you, guys, for your participation. Thanks, Stefano, and thank you to everyone who joined the call today. We appreciate it, and look forward to speaking again soon.

Yeah. Thank you Dan and I think that's our last question I want to thank God and welcome I've come a long Carlos Dan. Thank.

Thank you guys for your participation. Thanks, Stefano and thank you to everyone who joined the call today, we appreciate it.

And look forward to speaking again soon.

Brian Wendling: This concludes today's conference. You may disconnect your lines at this time, and we thank you for your participation.

Operator: This concludes today's conference. You may disconnect your lines at this time, and we thank you for your participation.

This concludes today's conference you may disconnect your lines at this time and we thank you for your participation.

Okay.

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