Churchill Downs Incorporated Posts Record Revenue of $2.46bn in 2023
Date: 2024-02-23 Author: Dima Zakharov Categories: EVENTS
Revenue Growth Across Core Segments
Churchill Downs Incorporated (CDI) has reported record revenue of $2.46 billion for the fiscal year 2023, marking a substantial 36.0% increase compared to the previous year. This growth spanned across all core business areas, with the most significant surge observed in live and historical racing.
Live and Historical Racing Dominance
The live and historical racing segment emerged as CDI's primary revenue source, surpassing the gaming business. Revenue from this sector soared by 70.4% to $1.05 billion, driven largely by properties acquired during the Peninsula Pacific Entertainment (P2E) acquisition.
Strategic Acquisitions Drive Revenue
CDI's strategic acquisitions, including the $2.75 billion purchase of Peninsula Pacific Entertainment (P2E) in November 2022, played a pivotal role in boosting revenue. The addition of Virginia properties and the opening of Turfway Park in northern Kentucky significantly contributed to revenue growth.
Challenges Amidst Growth
While revenue growth signals a positive trajectory for CDI, increased operating expenses have overshadowed some of the gains. Total operating expenses surged by 27.6%, impacting the net profit margin for the fiscal year.
Quarterly Performance and Future Expansion
The final quarter of 2023 reflected continued growth for CDI, with revenue increasing by 16.8% to $561.2 million. Looking ahead, CDI announced plans for new facilities in Virginia and Kentucky, aiming to further expand its presence and revenue streams in these regions.
