Williams reports financial improvement

Williams Grand Prix Holdings PLC, the holding company of the Williams group of companies, which includes Williams Grand Prix Engineering Limited, has released its interim results for the six months to June 30 2015.

In comparison to the same six-month period last year, Williams's turnover has improved by just over £19million, from £44.1m to £63.2m.

At the same time the earnings before tax, interest, depreciation and amortisation (EBITDA) is down from £19.6m in 2014 to £1.4m.

For the F1 operation, in particular, revenues are up from £34.6m last year to £51.8m, with an EBITDA of £2.5m, compared to £19.8m in 2014.

The team's improved on-track performance last season has been key to this step.

Group CEO Mike O'Driscoll said: "Our first half results represent a significant improvement over the same period in 2014, with strong revenue growth and positive cash flow.

"We made a small EBITDA loss through the first half of the year, which was in line with our expectations.

"Mid-way through 2013 we set out on an ambitious turnaround strategy to reinvigorate the Formula 1 team, create a strong and profitable Advanced Engineering business, and divest non-core activities.

"In 2014 we made excellent progress against those objectives, with a third place finish in the Formula 1 constructors' championship, and an expansion of our Advanced Engineering division. This progress has been sustained into 2015.

"The improved performance of our Formula 1 team on the track is now reflected in both higher commercial rights income and increased sponsorship revenue, bolstering our financial results.

"We will prioritise technological innovation, but simultaneously continue to balance our investment, with strong controls, during a time of rising costs for all constructors."

O'Driscoll warned that maintaining the results that generated the improved revenue would be a challenge as Williams went up against better-funded rivals such as Ferrari and Red Bull.

"Overall, these interim results are encouraging, and represent very good progress," he said.

"However, we face continued cost pressures due to the spending levels of our major Formula 1 competitors, and this challenging environment will undoubtedly continue in the near term.

"We remain determined to build the necessary foundations for future sporting and commercial success, both on and off the track."