The leading force in U.S. horse racing, Churchill Downs Incorporated, announced unprecedented earnings for the 2022 fiscal year, hitting an astounding $1.8 billion. This signifies a substantial 13% jump from the year prior. Several elements contributed to this remarkable financial achievement, including the immense triumph of the 148th Kentucky Derby, which attracted record attendance and produced unparalleled income.
Strategic purchases also played a crucial part in Churchill Downs’ exceptional year. The corporation’s acquisition of Peninsula Pacific Entertainment, encompassing venues in Virginia, considerably augmented revenue. The company also broadened its presence in other vital areas, obtaining Chasers Poker Room in Salem, New Hampshire, and Ellis Park Racing & Gaming.
These tactical maneuvers, combined with the enduring allure of the Kentucky Derby, propelled Churchill Downs to a groundbreaking year, with adjusted EBITDA reaching an unsurpassed $7.636 billion, a 22% climb from the preceding year. The company’s net earnings also escalated to a record $4.394 billion, indicating a dramatic 76% rise compared to 2021.
Churchill Downs’ final quarter outcomes reflected its impressive yearly performance, with earnings soaring by $87 million year-over-year, primarily credited to the recently acquired Virginia establishments. The company’s adjusted EBITDA for the fourth quarter also witnessed a substantial $13.4 million increase.
Churchill Downs Inc. connects its latest expansion to the purchase of Peninsula Pacific Entertainment’s venues in New York and Iowa. Although income declined at the firm’s seven established locations across five states, Churchill Downs emphasized progress at Ocean Downs in Maryland as a counterbalance. The organization also experienced a $1.2 million rise in equity investment earnings during the final quarter of 2022.