Churchill Downs Q3 2024 10-Q Filed

TL;DR

CDI 10-Q filed: Q3 2024 results out, showing segment performance for racing, TwinSpires, and gaming.

AI Summary

Churchill Downs Inc. filed its 10-Q for the period ending September 30, 2024. The company operates in segments including Live and Historical Racing, TwinSpires, and Gaming. Financial details for the third quarter and year-to-date periods of 2024 and 2023 are presented.

Why It Matters

This filing provides investors with the latest financial performance data for Churchill Downs Inc., crucial for understanding the company's operational health and future prospects.

Risk Assessment

Risk Level: medium — The filing contains financial data and operational details that could impact the company's stock price and investor confidence.

Key Numbers

• 2024-09-30 — Reporting Period End Date (Indicates the end of the financial reporting period covered by the 10-Q.)
• 2024-10-23 — Filing Date (The date the 10-Q was officially submitted to the SEC.)

Key Players & Entities

• Churchill Downs Inc. (company) — Filer of the 10-Q
• 2024-09-30 (date) — End of reporting period
• 2024-10-23 (date) — Filing date
• Live and Historical Racing (business_segment) — Key operating segment
• TwinSpires (business_segment) — Key operating segment
• Gaming (business_segment) — Key operating segment

FAQ

Filing Documents

• chdn-20240930.htm (10-Q) — 1607KB
• ex1001.htm (EX-10.01) — 3KB
• exhibit31a2024093010q.htm (EX-31.A) — 10KB
• exhibit31b2024093010q.htm (EX-31.B) — 10KB
• exhibit322024093010q.htm (EX-32) — 7KB
• ex1001001.jpg (GRAPHIC) — 37KB
• ex1001002.jpg (GRAPHIC) — 90KB
• ex1001003.jpg (GRAPHIC) — 199KB
• ex1001004.jpg (GRAPHIC) — 208KB
• ex1001005.jpg (GRAPHIC) — 229KB
• ex1001006.jpg (GRAPHIC) — 209KB
• ex1001007.jpg (GRAPHIC) — 217KB
• ex1001008.jpg (GRAPHIC) — 225KB
• ex1001009.jpg (GRAPHIC) — 226KB
• ex1001010.jpg (GRAPHIC) — 216KB
• ex1001011.jpg (GRAPHIC) — 48KB
• 0000020212-24-000116.txt ( ) — 11335KB
• chdn-20240930.xsd (EX-101.SCH) — 49KB
• chdn-20240930_cal.xml (EX-101.CAL) — 71KB
• chdn-20240930_def.xml (EX-101.DEF) — 261KB
• chdn-20240930_lab.xml (EX-101.LAB) — 589KB
• chdn-20240930_pre.xml (EX-101.PRE) — 452KB
• chdn-20240930_htm.xml (XML) — 1647KB

-FINANCIAL INFORMATION

Part I-FINANCIAL INFORMATION Item 1.

Financial Statements (Unaudited)

Financial Statements (Unaudited) Condensed Consolidated Statements of Comprehensive Income for the three and nine months ended September 30, 2024 and 2023 3 Condensed Consolidated Balance Sheets at September 30, 2024 and December 31, 2023 4 Condensed Consolidated Statements of Shareholders' Equity for the three and nine months ended September 30, 2024 and 2023 5 Condensed Consolidated Statements of Cash Flows for the nine months ended September 30, 2024 and 2023 7 Notes to Condensed Consolidated Financial Statements 9 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 27 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 38 Item 4.

Controls and Procedures

Controls and Procedures 38

-OTHER INFORMATION

Part II-OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 40 Item 1A.

Risk Factors

Risk Factors 40 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 40 Item 3. Defaults Upon Senior Securities 40 Item 4. Mine Safety Disclosures 40 Item 5. Other Information 40 Item 6. Exhibits 41

Signatures

Signatures 42 FORM 10-Q FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2024 2

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS CHURCHILL DOWNS INCORPORATED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) Three Months Ended September 30, Nine Months Ended September 30, (in millions, except per common share data) 2024 2023 2024 2023 Net revenue: Live and Historical Racing $ 247.5 $ 219.5 $ 957.3 $ 818.9 TwinSpires 111.3 108.5 369.6 340.7 Gaming 269.7 244.3 783.1 740.2 All Other — 0.2 0.1 0.7 Total net revenue 628.5 572.5 2,110.1 1,900.5 Operating expense: Live and Historical Racing 171.3 158.2 549.9 505.7 TwinSpires 72.3 73.4 229.5 219.8 Gaming 194.8 175.6 561.7 528.3 All Other 4.5 1.3 10.2 12.0 Selling, general and administrative expense 59.8 50.2 172.0 150.6 Asset impairments 3.9 — 3.9 24.5 Transaction expense, net ( 4.0 ) 1.5 0.7 1.8 Total operating expense 502.6 460.2 1,527.9 1,442.7 Operating income 125.9 112.3 582.2 457.8 Other (expense) income: Interest expense, net ( 73.1 ) ( 67.9 ) ( 217.0 ) ( 197.8 ) Equity in income of unconsolidated affiliates 33.4 33.3 108.9 110.4 Gain on sale of Arlington — — — 114.0 Miscellaneous, net ( 0.1 ) 4.1 8.1 5.5 Total other (expense) income ( 39.8 ) ( 30.5 ) ( 100.0 ) 32.1 Income from operations before provision for income taxes 86.1 81.8 482.2 489.9 Income tax provision ( 19.9 ) ( 20.8 ) ( 125.4 ) ( 130.2 ) Net income 66.2 61.0 356.8 359.7 Net income attributable to noncontrolling interest 0.8 — 1.7 — Net income attributable to Churchill Downs Incorporated $ 65.4 $ 61.0 $ 355.1 $ 359.7 Net income attributable to Churchill Downs Incorporated per common share data: Basic net income $ 0.87 $ 0.81 $ 4.78 $ 4.78 Diluted net income $ 0.86 $ 0.79 $ 4.73 $ 4.69 Weighted average shares outstanding: Basic 73.9 75.2 74.0 75.3 Diluted 74.6 77.1 74.6 76.7 The accompanying notes are an integral part of the condensed consolidated financial statements. FORM 10-Q FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2024 3 CHURCHILL DOWNS INCORPORATED CONDENSED CONSOLIDATED BAL

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View this 10-Q filing on SEC EDGAR