Williams Grand Prix Holdings PLC : Williams Reports 2017 Annual Results

20/04/2018 Williams Reports 2017 Annual Results

Williams Grand Prix Holdings PLC (WGPH, Ticker: WGF1) today announced the Group's financial results for the year ended 31 December 2017. WGPH is the holding company of the Williams group of companies, which includes Williams Grand Prix Engineering Limited and Williams Advanced Engineering Limited.

Group revenue remained broadly unchanged in 2017 at £166.2m, compared to £167.4m in 2016. EBITDA for 2017 was £10.8m, compared to £15.5m in 2016. This performance represents solid results at our Formula One operation and continued good progress at Williams Advanced Engineering.

Financial performance improved across both Formula One and Williams Advanced Engineering last year, offset by a reduction in non-recurring project revenue that impacted overall Group revenue and EBITDA. The Formula One business generated £125.6m in revenue in 2017 (2016: £116.7m) with an EBITDA of £16.0m (2016: £12.4m). Williams Advanced Engineering recorded revenue of £39.5m in 2017 (2016: £36.9m) with an EBITDA of £5.0m (2016: £4.2m).

"The team at Williams delivered solid results last year and our 2017 financial performance reflects that continued progress," said Mike O'Driscoll, Group Chief Executive Officer. "Revenue was up at both the Formula One operation and Williams Advanced Engineering in 2017, following on from a strong performance in 2016. Our results gave us confidence to continue investing in our facility and technical capabilities.

"Our Formula One team maintained fifth place position in the FIA Constructors' Championship for the second successive year. Williams Martini Racing was the only team, outside of the top three, to reach the podium in 2017, which was achieved by Lance Stroll at the Azerbaijan GP. This illustrates the large gap in competitive expenditure between the leading teams and the rest of the grid. We are hopeful that Liberty Media's long-term vision for the future of the sport can deliver a more level playing field, on which all teams can compete more fairly. In the meantime, we are intensely focused on improving our own performance, following a tough start to this season's campaign.

"Williams Advanced Engineering goes from strength-to-strength, and 2017 represented another year of growth. We continued to invest in our own proprietary technology, in electrification and composite technology, and together with our capabilities in aerodynamics and systems integration, we have a solid foundation for future growth. Our customer base continued to expand, attracted by our engineering expertise, innovative approach, and pace of delivery.

"Although there are many challenges on the horizon, we are well placed to succeed, with a strong and talented organization, and world class facilities. These results once again demonstrate the capabilities of the Williams team to continue to grow the business in a tough and unrelenting environment."

 

Key Statistics

	F1	WAE	Other1	Group
2017
Revenue (£m)	125.6	39.5	1.1	166.2
EBITDA (£m)2	16.0	5.0	(10.2)	10.8
Operating free cash flow3				19.4
2016
Revenue (£m)	116.7	36.9	13.8	167.4
EBITDA (£m)2	12.4	4.2	(1.1)	15.5
Operating free cash flow3				(9.9)

Notes:

1. Williams Heritage, Williams Conference Centre, Group costs, and other projects delivered outside of F1 and Williams Advanced Engineering.

2. EBITDA represents earnings before interest, taxes, depreciation and amortisation and excludes non-cash share-based payment charges and mark-to-market charges on financial derivatives.

3. Operating free cash flow represents cash flows from operating activities including capital expenditure and disposals of fixed assets. There was a material impact in 2016 due to lower accruals for performance related payments and timing differences including deferring our submission of our research and development expenditure credit.

-Ends-

Notes to Editors

Williams Grand Prix Holdings PLC Williams Grand Prix Holdings PLC is the holding company of the Williams group of companies which includes Williams Grand Prix Engineering Limited. The Group employs close to 800 people, and generates its revenues from its long-standing Formula One business and its more recently developed Advanced Engineering operation. The Group's aim is to be a championship-winning Formula One team and a world-class engineering and technology business generating consistent and satisfactory returns for its shareholders.

Williams Grand Prix Engineering Limited Williams Grand Prix Engineering Limited's core competencies are the design and development of racing cars to compete in the Formula One World Championship. As one of the world's leading Formula One teams, the company has secured 16 FIA Formula One World Championship titles since its foundation in 1977. Nine of these titles have been won in the Constructors' Championship in association with Cosworth, Honda and Renault. The remaining seven titles were won in the Drivers' Championship with Alan Jones, Keke Rosberg, Nelson Piquet, Nigel Mansell, Alain Prost, Damon Hill and Jacques Villeneuve.

Williams Grand Prix Engineering Limited continues to develop by adapting its intellectual property and rapid development skills in projects outside of Formula One under the trading name Williams Advanced Engineering.

Williams Advanced Engineering Limited Williams Advanced Engineering Limited operates a technology and engineering services business and is part of the Williams Group. In 2010, Williams Grand Prix Engineering Limited began diversifying its operations, leading to the establishment of the Williams Advanced Engineering division, which has now become Williams Advanced Engineering Limited. Combining cutting edge technology and the industry's best engineers with precision and speed to market derived from four decades of success in the ultra-competitive environment of Formula One, Williams Advanced Engineering provides world class technical innovation, engineering, testing, manufacturing and operational consultancy services to the automotive, motorsport, aerospace, defence, health and energy sectors. Working in close collaboration with its customers, Williams Advanced Engineering helps meet the sustainability challenges of the 21st century and improve performance, with its expertise in aerodynamics and thermodynamics, electrification, advanced lightweight materials and vehicle integration.

Contacts: Sophie Ogg, Head of F1 Communications E: Sophie.ogg@williamsf1.com M: +44 (0) 7977275762

Matthew Knowles, Head of Williams Advanced Engineering Communications E: Matthew.Knowles@williamsf1.com M: +44 (0) 7483016079