Williams Grand Prix Holdings PLC Reports 2016 Annual Results; Significant Improvements in Revenue and EBITDA

05/04/2017 Williams Reports 2016 Annual Results; Significant Improvements in Revenue and EBITDA

Williams Grand Prix Holdings PLC (WGPH, Ticker: WGF1) today announced the Group's financial results for the year ended 31 December 2016. WGPH is the holding company of the Williams group of companies, which includes Williams Grand Prix Engineering Limited.

Group revenue increased from £125.6m in 2015 to £167.4m last year. EBITDA improved from a loss of £3.3m in 2015 to a profit of £15.5m in 2016. The performance gains reflected the continued strength of our Formula One operation, and significant growth in Williams Advanced Engineering.

The Formula One business generated revenues of £116.7m (2015: £101.5m), with an EBITDA of £12.4m (2015: £0.2m). Williams Advanced Engineering generated revenues of £36.9m (2015: £21.3m) with an EBITDA of £4.2m (2015: £2.1m).

Mike O'Driscoll, Group Chief Executive Officer, said; "Our 2016 financial results represent continued improvement, with strong revenue growth across both Formula One and Advanced Engineering. Following a complete restructuring of our business over the previous two years, both operationally and financially, we made further gains in 2016. Our Formula One division continued to operate profitably, despite enormous levels of competitive spending in what is arguably sport's toughest financial environment. Williams Advanced Engineering, although still a developing business, continues to make excellent progress.

"Our Formula One team achieved fifth place in the Constructors' Championship in 2016, following successive third place finishes the previous two years. Commercial rights income is paid a year in arrears, and these accounts reflect our third place in the 2015 Constructors' Championship. We have recently made significant new appointments to our technical team, in our push to improve on-track performance and drive WILLIAMS MARTINI RACING to the front of the grid. Our team continues to attract support from some of the world's leading companies and brands, and we are very optimistic about the overall potential for the sport, under Liberty Media's stewardship.

"Williams Advanced Engineering made significant progress in 2016, and has continued to build and strengthen its customer base. Its project portfolio has expanded significantly over the past twelve months, which is reflected in the 74% growth in revenue over the prior year. Our expertise in battery and EV technology, coupled with our capabilities in lightweight materials, aerodynamics and systems integration offers substantial opportunities in the years ahead. We believe that Williams Advanced Engineering has a solid platform for continued expansion.

"These financial results demonstrate that we are continuing to build a stronger and more capable organisation, and a solid foundation for future sporting and commercial success."

Key Statistics

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 over 700 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 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's 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, defence 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.