ISC Profits Decline Slightly In '12, But Company Believes Revenues Are Stabilizing
ISC's profit declined slightly last year and ticket sales remain challenging, but the company said it saw signs that its revenues were stabilizing. It expects ticket sales, corporate sponsorship and concessions revenue to remain flat this year. Any increase in revenue in '13 will be driven by the contractually guaranteed 3.6% increase in its NASCAR TV rights money. ISC Vice Chair & CEO Lesa France Kennedy said in a statement, "We continue to experience modest headwinds with admissions, not to the degree experienced in 2011, but enough to know we still have further inroads to make with our consumer." Total revenues for the fiscal year that ended Nov. 30, 2012, decreased by 2.7% to $612.4M. Profits declined by 21% to $54.6M. The company said total revenues were down less than 1% after adjusting for non-comparable events such as the Camping World Truck Series race at Darlington Raceway that was not held last year and the Nationwide Series race at Stock Car Montreal that ISC stopped promoting in '12. Ticket sales revenue decreased by 5.7% to $136M for the year. Motorsports-related revenue and concession sales decreased slightly as well. Total expenses increased by 2.2% to $507.4M. ISC said that it has sold out of all its NASCAR Sprint Cup Series race entitlements this year. The company said that it plans to increase capital expenditures to $100-$120M in the future for several years as it considers a major redevelopment project at Daytona Int'l Speedway. Kennedy said, "We are committed to meeting and exceeding our fans' expectations through on-going capital improvements at our facilities. We are providing our fans enhanced audio and visual experiences, more comfortable and wider seating, more concession and merchandise points-of-sale, and greater social connectivity."