Williams Grand Prix Holdings PLC (WGPH, Ticker: WGF1) today announced its interim results for the six months to 30 June 2014. WGPH is the holding company of the Williams Group of companies, which includes Williams Grand Prix Engineering Limited.
Overall Group income for the period was £46.6m (2013: £56.4m), with EBIT of £(17.1)m (2013: £(2.7)m). The year over year reduction in revenue and earnings is accounted for by the recognition in 2013 of a special non-recurring sponsorship payment for 2014 within last year’s accounts.
Group Chief Executive Officer Mike O’Driscoll said, “At the beginning of the second half of last year we began an ambitious strategy to rebuild the Formula One organisation, develop a strong Advanced Engineering division, and divest non-core operations. We have already made substantial progress towards our objectives.
“This strategy has required significant investment, as illustrated by our first half results, and it is anticipated that this will also impact the full year results.
“After a number of disappointing seasons, our Formula One team has been significantly strengthened across all key functions. Our long-term power unit supply agreement with Mercedes provides strength and stability. As a consequence we have made a significant step-change in our on-track performance. We have also made great progress commercially, underscored by our title partnership agreement with Martini.
“Williams Advanced Engineering is also evolving, as it completes its move into a new £8m facility that opened in the second quarter of 2014. This new base of operations will provide the business with the opportunity to increase its project portfolio and we are seeing a strong pull from the market for the company’s unique offering of energy efficient performance technologies.
“These financial results are in line with the Board’s expectation of what is required to rebuild and reinvigorate the team and we believe that they reflect the transitionary period that we must continue to work through if we are to realise the potential of the Group.”
Sir Frank Williams, Founder and Team Principal, added, “Our on track performance through the first half of this season is evidence that we have started to build a solid foundation for the future. Our long-term financial prosperity will of course always be a reflection, both directly and indirectly, of our Formula One performance. The impressive upturn in our performance this season is validating our approach.”
Notes to Editors
Williams Grand Prix Holdings PLC
Williams Grand Prix Holdings PLC is the holding company of the Williams group of companies (“Group”) which includes Williams Grand Prix Engineering Limited.
The Group employs over 600 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.
WGPE continues to develop by adapting its intellectual property and rapid development skills in projects outside Formula One under the trading name Williams Advanced Engineering.
Williams Advanced Engineering
Williams Advanced Engineering is the brand that is used for all Group activity outside of the Formula One team, with projects focused on the exploitation of Williams’ brand, intellectual property and know how.
Williams Advanced Engineering harnesses Formula One derived technology, development pace and knowledge to deliver highly innovative products and services to the motorsport, automotive, transport, aerospace and energy sectors. Working in close collaboration with its customers, Williams Advanced Engineering helps them meet the sustainability challenges of the 21st century and improve their performance, market position and brand image.