Churchill Downs Inc. Posts Small Loss For Q1, With Main Business Segments Profiting
Revenue from Churchill Downs Inc.’s "three main business segments -- racing operations, casinos, and online betting -- were all up" in Q1 compared with the same period last year, but CDI "still posted a small loss for the period," according to financial documents cited by Matt Hegarty of DAILY RACING FORM. Total revenue from its operations was up 13% to a record $167.3M. Revenue from its casinos was up 20% to $86.6M, "largely due to the inclusion of numbers from a casino in Maine" that CDI acquired in the middle of last year. Meanwhile, revenue from CDI's online gambling operations was $46.1M, up 7%, and revenue from its racing operations was $30.6M, up 10%. Still, operating expenses were up 14%, while interest expense jumped $3.5M, "sending the overall results into the red with a loss of $700,000." In Q1 '13, CDI had net income of $1.1M. Though revenue from racing operations "was up overall in the quarter, expenses from racing operations significantly exceeded the revenue figure," at $43.2M and $30.6M, respectively. Revenue from racing operations was up due to CDI's "decision to run 36 race dates during the quarter at its Calder Race Course in Miami, a first for the track." Revenue was down 15% at Arlington Park near Chicago and down 11% at Fair Grounds in New Orleans (DRF.com, 4/23). At presstime, shares of CDI were trading at $87.71, down 0.15% from the close of business on Wednesday (THE DAILY).