Tony Stewart, a prominent figure in NASCAR, has recently faced significant financial challenges following his decision to exit the sport. After co-owning Stewart-Haas Racing (SHR) since 2009, Stewart announced earlier this year that the team would cease operations at the end of the 2024 season, a move that has led to substantial economic repercussions.
The closure of SHR, a team with two Cup Series championships and 69 victories, has resulted in the layoff of approximately 323 employees. Additionally, the team’s four charters, which guarantee entry into NASCAR races, have been sold to various organizations. Front Row Motorsports acquired one charter for an estimated $20 to $25 million, while Trackhouse Racing purchased another for their No. 88 team, driven by Shane van Gisbergen. The total revenue from these sales is estimated to be around $75 million.
Despite these sales, Stewart’s departure from NASCAR has not been as financially advantageous as anticipated. The ongoing lawsuit involving 23XI Racing and Front Row Motorsports against NASCAR over charter agreements has further complicated the situation. The legal disputes and the challenges in selling the charters have potentially diminished the expected profits from SHR’s closure.
Stewart’s decision to leave NASCAR was influenced by his growing dissatisfaction with the sport’s direction and escalating operational costs. He has expressed frustration over the increasing expenses associated with maintaining a competitive team, stating, “It’s costing us more money than it’s ever [to compete in NASCAR].”
In light of these challenges, Stewart has shifted his focus to the National Hot Rod Association (NHRA), where he has found renewed enthusiasm for racing. He remarked, “I’m super glad I’m going drag racing this weekend. If it weren’t for the fact that I’ve got a couple of appearances that I have to make, I wouldn’t be in another NASCAR race the rest of the year. Wouldn’t waste my time.”
While Stewart’s transition to NHRA marks a new chapter in his racing career, the financial implications of his departure from NASCAR highlight the complexities and challenges associated with exiting a major motorsport organization.
