SMI Blames Bad Economy, Poor Weather For Decreased Ticket Sales In Q3
Weak economic conditions and poor weather contributed to decreases in Q3 ticket revenue at Speedway Motorsports Inc. The company reported total revenue of $137.5M for the quarter, a 3% decrease from the $142.3M it reported for the same period last year. Ticket revenue totaled $32.9M for the quarter, a 9% decrease from the same period a year ago, and event-related revenue, which includes sponsorship sales, totaled $37.7M, a 6% decrease from '12. Broadcast revenue rose 3% to $60.4M. The company said it continues to be challenged by the economy, and it reduced its year-end guidance by $0.10-0.30 to $0.80-0.90 a share. SMI President & COO Marcus Smith in a statement said, "Similar to many other sports and entertainment venues, our results continue to reflect the ongoing tough economic conditions. ... We believe attendance and other event related revenue trends do appear to be stabilizing and will eventually improve as the economy recovers. Looking forward, most of our NASCAR Sprint Cup and Nationwide Series event sponsorships for 2014, and many for racing seasons beyond 2014, are already sold."