Churchill Doubles Third Quarter Net Income
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Photo: Chad B. Harmon
The sun rises between the Twin Spires at Churchill Downs on May 2, 2016.
In a record-breaking third quarter, Churchill Downs reports a 107% increase in net income for the three months ending Sept. 30, 2016 compared with the same three months last year.
Net income for the 2016 third quarter reached $8.7 millon and the company reported record third-quarter net revenue of $303.4 million, up 8% from last year.
Churchill credited the strong quarter in terms of net revenue to an $18.7 million increase from Big Fish Games, primarily from casual and mid-core free to play game growth; a $4.3 million increase from the company's advance-deposit wagering outlet TwinSpires.com; and a $300,000 increase from the casino segment.
The company reports that TwinSpires saw its third quarter net revenue grow from $50.7 million in 2015 to $55.1 million this year. Churchill attributed the improvement to an 8% increase in active players. Those players contributed to a 14.3% growth in total handle at the ADW.
The company did say adjusted earnings (EBITDA) declined $4.9 million, driven by a $9.8 million decrease from Big Fish Games, partially offset by EBITDA increases of $3.7 million from the casino segment and $1.2 million from TwinSpires.