Key points:
- Canterbury Park stated the net loss was primarily related to its “share of depreciation, amortization and interest expense from the Doran Canterbury joint ventures”
- The company’s adjusted EBITDA decreased by 2% year-over-year during FY2024 to $10.2m, while adjusted EBITDA for Q4 2024 fell by 34.9% for a total of $1.3m
Canterbury Park Holding Corporation (Canterbury Park) has reported the company’s financial results from the fourth quarter of 2024 and full year (FY), witnessing an 80% decrease year-over-year in net income during FY2024 and a net loss of $1.2m for Q4.
Also having reported a decrease in revenue of 4.4% from the prior year period during Q4 2024, Canterbury Park generated just under $12m of revenue throughout the quarter, while adjusted EBITDA decreased by 34.9% year-over-year to $1.3m. The $1.2m net loss for Q4 2024 represents a decrease of 191.3% year-over-year, as Canterbury Park spoke on the financial challenges faced during the period.
“Throughout 2024, we focused on managing our operations to address the evolution of our business and market. In our seasonally slowest quarter, fourth quarter revenues of $12.0m and adjusted EBITDA of $1.3m, which together resulted in an adjusted EBITDA margin of 11.1%, reflect the efficacy of these efforts during a period when our Casino operations faced a recent increase in competition,” Canterbury Park President and CEO Randy Sampson said.
“To address the increased Casino operations competition, we are implementing several initiatives to further elevate guest service and are expanding our marketing programs beyond our traditional focus on existing customers to attract and retain new customers. We also continue to introduce new table game offerings to the market.”
Casino revenue decreased by 4.9% year-over-year during Q4 2024 for a total of $9m due to increased competition in the market for certain games, while pari-mutuel revenue fell by 9.5% from the prior year period to $1.1m due to lower simulcasting handle. Canterbury Park stated that the net loss can be primarily attributed to its share of “depreciation, amortization and interest expense from the Doran Canterbury joint ventures.”
Good to know: Canterbury Park stated construction of an additional 28,000 sq ft commercial office building within its Winners Circle development is ongoing
Throughout FY2024, revenue actually managed to increase by 0.2% from the prior year period for a reported total of nearly $61.6m during the period. The company’s net income decreased by 80% year-over-year, however, generating $2.1m for FY2024 while adjusted EBITDA fell by 2% from the prior year period to $10.2m.
“We remain focused on a range of strategies to create long-term value for our shareholders, including significant efforts to ensure Canterbury will benefit economically if online sports betting is approved in Minnesota,” Sampson said.
“As we near the completion of both our tax increment financing infrastructure and our barn relocation and redevelopment plan, our capital expenditures will decline in 2025 compared to 2024 and further decline in 2026 to our historical levels of between $2 to $3m per year.”
Casino and pari-mutuel revenue managed to report similar results to that of FY2023 during the period, as the Casino segment fell by just $1m during FY2024 to report $38.8m, while the revenue generated by pari-mutuel was under $30k less than the prior year total to be $8.2m.
