McLaren Racing has reported a loss of £71.4 million during 2019 in its latest accounts, down from £84.4 million a year prior.
Meanwhile, the group saw turnover rise from £60 million to £185 million, as well as a £26 million fall in operating losses.
The last two years have seen significant a shake-up at the Woking-based outfit, with the team enjoying improvements in their constructors’ championship fortunes, jumping from sixth in 2018 to fourth in 2019.
Andreas Seidl and James Key have joined the team as team principal and technical director respectively, while McLaren Racing took over separate arms of the business McLaren Marketing and Team McLaren.
The group took a £150 million loan from the National Bank of Bahrain ahead of the 2020 season and secured further investment from MSP Sports Capital (£150 million) and UBS O’Connor and Caspian (£35 million).
In a strategic report on the business, McLaren Racing CEO Zak Brown said: “As ever the key direct risks and uncertainties faced by the business are: continuing to be competitive in F1, ability to gain and retain sponsorship, control of the cost base of developing F1 cars and staff recruitment, and retention. All of these are obviously linked.
“The new regulations for 2021 and 2022 provide a significant challenge to all those involved in F1, however, with that comes opportunity.
“We believe the new partnership with Mercedes will provide a powertrain that will provide us with opportunities to achieve our objectives and challenge for positions towards the front of the grid in the near future.”
But with a word of warning, he added: “With regard to the wider economic and sporting environment, clearly the impact of Covid-19 has been significant on 2020, although the introduction of strong testing and containment measures meant 17 races were still able to take place.
“Whilst we are now racing once again, and 23 races are scheduled for the 2021 season, the long-term impact on future years remains uncertain.”