Buoyed by new track openings and NASCAR's bulky media contract, International Speedway Corp. reported higher-than-expected earnings for the fiscal third quarter ended Aug. 31 and said earnings should meet expectations in the fourth quarter.
With a bow to the uncertain economic environment, however, the track operator said it would add no seats next year and scale back other spending plans.
Third-quarter earnings jumped to $21.8 million, or 41 cents a share, compared with $12.8 million, or 24 cents a share, in the year-earlier period. Analysts on average had expected earnings of 39 cents a share, and the company said to expect 54 cents to 56 cents a share in the fourth quarter. Revenue rose 23 percent to $132.1 million, from $107.2 million.
"We posted solid results for the third quarter and anticipate a strong finish to the year," said Jim France, president of the company, in a prepared statement. "As we look to fiscal 2002, we continue to assess the impact of the economy and world events on certain aspects of our business, particularly in the areas of ticket pricing, seating capacity and corporate spending. ... As such, we currently do not anticipate any seating additions for 2002 and are scaling back other capital spending plans as well."
New tracks in Kansas City and Chicago were opened in the third quarter of 2001.
