Churchill Downs Inc. Expects Record-Breaking Derby Week

The combination of the country's top race and a first-rate facility have helped deliver record performance for Churchill Downs Inc. during Kentucky Derby week in recent years.

With a new seating area and amenities to be unveiled for this year's Derby week, CDI CEO Bill Carstanjen told investors and analysts in an April 27 conference call to expect another record-breaking year in 2023.

"Overall, we are very excited about our progress toward this year's Kentucky Derby (G1)," Carstanjen said. "Based on advanced reserved ticket sales, and other metrics available at this time, we expect to deliver record Derby week results. We will issue a press release after the Derby with all of the details."

The new seating area and amenities are located behind the first turn at Churchill Downs. It's a standalone grandstand.

"We've made fantastic progress on our projects at Churchill Downs racetrack. Our new First Turn experience is complete," Carstanjen said. "This is a one-of-a-kind entertainment venue that is itself the size of a small stadium, with 5,300 covered stadium seats and an additional 2,000 reserved indoor dining seats with exclusive views of the horses. 

"All of the covered stadium seats are sold and more than three-quarters of the indoor reserved seats are also sold with the remainder selling quickly each day."

Besides taking in the view of that new grandstand—or perhaps from that grandstand—fans also will readily notice plenty of construction as Churchill is overhauling its paddock area ahead of the 150th Derby celebration in 2024.

"While our focus is on hosting a special Kentucky Derby 149, we're also kicking off our year-long celebration in preparation for the 150th Kentucky Derby in May of 2024," Carstanjen said. "The 150th Run for the Roses will be a remarkable milestone for the longest continually run sporting event in the United States. The Derby has been run annually since 1875 despite world wars, recessions, and even pandemics.

"We have announced a number of new guest experiences and ticket offerings that will be available for this very special Kentucky Derby. In fact, early ticket sales are already underway and selling nicely. One of the most exciting developments will be the completion of the paddock project with breathtaking and unrestricted views of the Twin Spires along with spectacular new seating and dining experiences," Carstanjen continued. "This project will reinvent Churchill Downs racetrack and create unique once-in-a-lifetime experiences that will surpass anything like it anywhere in the United States. We remain on course to complete the paddock reimagination in time for the 150th Derby."

The conference call followed the company's first quarter earnings report issued April 26.

During that Thursday morning call Carstanjen also noted that Ellis Park will see a significant boost in purses this summer. In September CDI agreed to purchase Ellis Park for $79 million and is moving forward with a historical horse racing extension in Owensboro. 

"We have made numerous improvements at Ellis Park to enhance the racing experience for our customers and improve safety and environmental compliance at the property," Carstanjen said. "We will kick off the Ellis Park race meet on Friday, July 7, after the end of the Churchill Downs spring meet. The purse money has increased approximately 50% to over $15 million and we have added four new stakes races. We have more work to do to make this a great Kentucky racetrack and are committed to doing so."

Carstanjen also noted that the company continues to evaluate the best location for the Owensboro extension.