Major financial contrast emerges in 23XI and FRM’s financials ahead of the lawsuit hearing against NASCAR: Reports

NASCAR: Cup Qualifying - Source: Imagn
23XI Racing's co-owner Michael Jordan - NASCAR: Cup Qualifying - Source: Imagn

23XI Racing and Front Row Motorsports' financials have been released as part of their ongoing lawsuit against NASCAR. The findings have revealed a disparity in income between the two teams.

Ad

The profit margin favours 23XI the most. The team makes a major share of their income from sponsorships alone, fetching about $39 million per year. NASCAR-related income, on the other hand, pales in comparison.

While the Michael Jordan-owned team regularly clears the $50 million mark, FRM operates at less than half that figure. The findings are in line with the $100 million loss reported by FRM team owner Bob Jenkins.

NASCAR analyst Bob Pockrass shared excerpts from the released files, writing,

Ad
"Still going through the documents and reports from Friday night release to see what is most notable and new. Here are the 23XI and Front Row profit-loss statements:"
Ad

In other news, NASCAR have requested that two of 23XI's team owners sit out the pre-trial session. The sancitoning body fears unwarranted bias due to Denny Hamlin and Michael Jordan's popularity. The judge is yet to rule on the matter, but the team is allowed to issue a five page brief on the matter.

The two teams, meanwhile, have asked to question Roger Penske and Rick Hendrick for throwing their support behind NASCAR's 2025 charter deal. However, Hendrick's deposition has run into scheduling conflicts, prompting the teams to ask for Hendrick's exclusion.

Ad

Insider comments on 23XI's Denny Hamlin competing in rival series amid NASCAR chief's scathing remarks

As part of the pre-trial disclosure, text exchanges between NASCAR chiefs Steve O'Donnell and Steve Phelps have been released. The interaction has exposed their animosity towards rival series like SRX.

The two executives have bashed Denny Hamlin's participation in the series for a one-off event, and some of their remarks took aim at the series itself.

Ad
“This is NASCAR. Pure and simple. Enough. We need legal to take a shot at this,” O'Donnell texted.
"These guys are just plain stupid. Need to put a knife in this trash series,” Phelps wrote.

NASCAR insider Bob Pockrass has weighed in on the matter, writing,

“How I view texts from this lawsuit: The Steves are extremely thorough/pragmatic as far anticipating challenges to NASCAR business as well as understanding needs of teams … but also extremely sensitive that their efforts didn't generate what they'd consider loyalty to the brand.”

SRX was dismantled after its 2023 season, and the texts are now a part of the teams' damning evidence against NASCAR's monopolistic practices. A summary motion calling NASCAR as 'premier stock car racing series' has further thrown a wrench in their defence. Put together, it can be argued that the sanctioning body tried to strong-arm other racing series when it tried to emulate their sporting DNA.

Get the latest NASCAR All-Star race news, Xfinity Series updates, breaking news, rumors, and today’s top stories with the latest news on NASCAR.

Quick Links

Edited by Vignesh Kanna
Sportskeeda logo
Close menu
WWE
WWE
NBA
NBA
NFL
NFL
MMA
MMA
Tennis
Tennis
NHL
NHL
Golf
Golf
MLB
MLB
Soccer
Soccer
F1
F1
WNBA
WNBA
down arrow icon
More
Manage notifications