Churchill Downs Inc. posted record revenue in Q3 despite weakness in its social casino division.
Data released Thursday show revenue above $303.4 million in the three months ending September 30, an 8% year-on-year gain and a new record. Adjusted earnings fell 7% to $67.3 million while net income more than doubled to $8.7 million.
The company’s advance deposit wagering service Twinspires.com saw revenue rise 9% to $55.1 million as race betting handle rose 14.3%, outpacing the overall US thoroughbred industry growth by a hefty 13.5 percentage points.
Revenue at the land-based casino division was basically flat at $83m but earnings improved nearly 14% to $30.4 million. Revenue was up at its Maine and Florida properties, while Mississippi and Kentucky suffered declines. CDI’s casino portfolio expanded in Q3 via the acquisition of Maryland’s Oceans Down property via a joint venture with Saratoga Casino Holdings.
Weakness was also seen by analysts at CDI’s terrestrial race betting division where revenue was flat at $41.3m, while earnings nudged up one-third to $400,000.
Churchill Downs Incorporated is a racing, gaming and online entertainment company operating in six segments: Racing, Casinos, TwinSpires, Big Fish Games, Inc (Big Fish Games), Other Investments and Corporate.
The racing segment includes: Churchill Downs Racetrack, Arlington International Race Course, Fair Grounds Race Course.