Canterbury Park Holding Corporation Reports 2024 Fourth Quarter Results
Canterbury Park Holding (CPHC) reported Q4 2024 financial results with net revenues of $12.0 million, down from $12.5 million in Q4 2023, and an Adjusted EBITDA of $1.3 million. The company posted a Q4 net loss of $1.2 million ($0.25 per share).
For full-year 2024, CPHC achieved net revenues of $61.6 million, slightly up from $61.4 million in 2023. Net income was $2.1 million ($0.42 per share), including a $1.7 million gain from land transfer. Casino revenues declined to $38.8 million due to increased competition, while Food & Beverage and Other revenues showed growth.
The Canterbury Commons development continues to progress with nearly 1,000 residential units, multiple venues, and 57,000 square-feet of office space. Phase II of Triple Crown Residences reached 87% occupancy, while The Omry achieved 80% lease rate. The company maintains a strong balance sheet with over $15 million in unrestricted cash and expects reduced capital expenditures in 2025.
Canterbury Park Holding (CPHC) ha riportato i risultati finanziari del quarto trimestre 2024 con ricavi netti di 12,0 milioni di dollari, in calo rispetto ai 12,5 milioni di dollari del quarto trimestre 2023, e un EBITDA rettificato di 1,3 milioni di dollari. L'azienda ha registrato una perdita netta di 1,2 milioni di dollari nel quarto trimestre (0,25 dollari per azione).
Per l'intero anno 2024, CPHC ha raggiunto ricavi netti di 61,6 milioni di dollari, leggermente in aumento rispetto ai 61,4 milioni di dollari del 2023. L'utile netto è stato di 2,1 milioni di dollari (0,42 dollari per azione), includendo un guadagno di 1,7 milioni di dollari derivante dal trasferimento di terreni. I ricavi del casinò sono diminuiti a 38,8 milioni di dollari a causa dell'aumento della concorrenza, mentre i ricavi da cibo e bevande e altri settori hanno mostrato una crescita.
Lo sviluppo di Canterbury Commons continua a progredire con quasi 1.000 unità residenziali, molteplici locali e 57.000 piedi quadrati di spazio per uffici. La Fase II delle Triple Crown Residences ha raggiunto l'87% di occupazione, mentre The Omry ha raggiunto un tasso di affitto dell'80%. L'azienda mantiene un solido bilancio con oltre 15 milioni di dollari in contante non vincolato e prevede una riduzione delle spese in conto capitale nel 2025.
Canterbury Park Holding (CPHC) reportó los resultados financieros del cuarto trimestre de 2024 con ingresos netos de 12.0 millones de dólares, una disminución respecto a los 12.5 millones de dólares del cuarto trimestre de 2023, y un EBITDA ajustado de 1.3 millones de dólares. La compañía registró una pérdida neta de 1.2 millones de dólares en el cuarto trimestre (0.25 dólares por acción).
Para el año completo 2024, CPHC logró ingresos netos de 61.6 millones de dólares, un ligero aumento respecto a los 61.4 millones de dólares en 2023. La utilidad neta fue de 2.1 millones de dólares (0.42 dólares por acción), incluyendo una ganancia de 1.7 millones de dólares por la transferencia de terrenos. Los ingresos del casino disminuyeron a 38.8 millones de dólares debido al aumento de la competencia, mientras que los ingresos de alimentos y bebidas y otros mostraron crecimiento.
El desarrollo de Canterbury Commons continúa avanzando con casi 1,000 unidades residenciales, múltiples locales y 57,000 pies cuadrados de espacio de oficinas. La Fase II de las Triple Crown Residences alcanzó un 87% de ocupación, mientras que The Omry logró un 80% de tasa de arrendamiento. La compañía mantiene un sólido balance con más de 15 millones de dólares en efectivo no restringido y espera reducir los gastos de capital en 2025.
캔터베리 파크 홀딩스 (CPHC)는 2024년 4분기 재무 결과를 보고하며 순수익이 1,200만 달러로 2023년 4분기의 1,250만 달러에서 감소했으며, 조정 EBITDA는 130만 달러로 나타났습니다. 회사는 4분기에 120만 달러의 순손실을 기록했습니다 (주당 0.25달러).
2024년 전체 연도 동안 CPHC는 순수익 6,160만 달러를 달성했으며, 이는 2023년의 6,140만 달러에서 약간 증가한 수치입니다. 순이익은 210만 달러(주당 0.42달러)로, 토지 이전으로 인한 170만 달러의 이익을 포함합니다. 카지노 수익은 경쟁 증가로 인해 3,880만 달러로 감소했으며, 음식 및 음료와 기타 수익은 성장을 보였습니다.
캔터베리 커먼스 개발은 거의 1,000개의 주거 유닛, 여러 개의 장소 및 57,000 평방피트의 사무공간과 함께 진행되고 있습니다. 트리플 크라운 레지던스의 2단계는 87%의 점유율에 도달했으며, 오므리는 80%의 임대율을 기록했습니다. 회사는 1,500만 달러 이상의 제한 없는 현금을 보유하고 있으며 2025년에는 자본 지출이 감소할 것으로 예상하고 있습니다.
Canterbury Park Holding (CPHC) a annoncé les résultats financiers du quatrième trimestre 2024 avec des revenus nets de 12,0 millions de dollars, en baisse par rapport à 12,5 millions de dollars au quatrième trimestre 2023, et un EBITDA ajusté de 1,3 million de dollars. L'entreprise a affiché une perte nette de 1,2 million de dollars au quatrième trimestre (0,25 dollar par action).
Pour l'année complète 2024, CPHC a réalisé des revenus nets de 61,6 millions de dollars, légèrement en hausse par rapport à 61,4 millions de dollars en 2023. Le bénéfice net s'élevait à 2,1 millions de dollars (0,42 dollar par action), incluant un gain de 1,7 million de dollars provenant du transfert de terrains. Les revenus des casinos ont diminué à 38,8 millions de dollars en raison de la concurrence accrue, tandis que les revenus de la nourriture et des boissons ainsi que d'autres secteurs ont montré une croissance.
Le développement de Canterbury Commons continue de progresser avec près de 1 000 unités résidentielles, plusieurs lieux et 57 000 pieds carrés d'espace de bureau. La phase II des Triple Crown Residences a atteint un taux d'occupation de 87 %, tandis que The Omry a enregistré un taux de location de 80 %. L'entreprise maintient un bilan solide avec plus de 15 millions de dollars en liquidités non restreintes et s'attend à une réduction des dépenses d'investissement en 2025.
Canterbury Park Holding (CPHC) hat die finanziellen Ergebnisse für das vierte Quartal 2024 veröffentlicht, mit Nettoumsätzen von 12,0 Millionen Dollar, ein Rückgang von 12,5 Millionen Dollar im vierten Quartal 2023, und einem bereinigten EBITDA von 1,3 Millionen Dollar. Das Unternehmen verzeichnete im vierten Quartal einen Nettoverlust von 1,2 Millionen Dollar (0,25 Dollar pro Aktie).
Für das gesamte Jahr 2024 erzielte CPHC Nettoumsätze von 61,6 Millionen Dollar, was einen leichten Anstieg gegenüber 61,4 Millionen Dollar im Jahr 2023 darstellt. Der Nettogewinn betrug 2,1 Millionen Dollar (0,42 Dollar pro Aktie), einschließlich eines Gewinns von 1,7 Millionen Dollar aus dem Grundstückstransfer. Die Casino-Einnahmen sanken auf 38,8 Millionen Dollar aufgrund des gestiegenen Wettbewerbs, während die Einnahmen aus Speisen und Getränken sowie anderen Bereichen ein Wachstum zeigten.
Die Entwicklung von Canterbury Commons schreitet mit fast 1.000 Wohneinheiten, mehreren Veranstaltungsorten und 57.000 Quadratfuß Bürofläche voran. Die Phase II der Triple Crown Residences erreichte eine Belegungsrate von 87 %, während The Omry eine Mietquote von 80 % erzielte. Das Unternehmen verfügt über eine starke Bilanz mit über 15 Millionen Dollar an unbeschränkten Mitteln und erwartet im Jahr 2025 geringere Investitionsausgaben.
- Slight increase in full-year revenue to $61.6M from $61.4M
- Strong occupancy rates: 87% for Triple Crown Residences Phase II and 80% for The Omry
- Robust cash position with over $15M in unrestricted cash
- Growth in Food & Beverage and Other revenues
- Expected reduction in capital expenditures for 2025-2026
- Q4 net loss of $1.2M compared to $1.4M profit in Q4 2023
- Casino revenue declined 4.9% in Q4 due to increased competition
- Full-year net income dropped to $2.1M from $10.6M in 2023
- Pari-mutuel revenue declined 9.5% in Q4
- Operating expenses increased while revenues decreased in Q4
Insights
Canterbury Park reported mixed Q4 and full-year 2024 results that reflect ongoing challenges in its core casino operations offset by real estate development progress. The company posted Q4 revenues of $12.0 million (down from $12.5 million in Q4 2023) and a net loss of $1.2 million ($0.25 per share), compared to net income of $1.4 million in the prior-year period. Full-year 2024 revenues were $61.6 million (slightly up from $61.4 million), while net income declined substantially to $2.1 million ($0.42 per share) from $10.6 million in 2023.
The declining profitability stems from competitive pressures in Canterbury's casino business, which saw a 4.9% revenue decline in Q4, and a loss from equity investments of $5.5 million for the full year. Food & Beverage and Other revenue segments showed modest growth, suggesting some success with diversification efforts.
From a balance sheet perspective, Canterbury remains financially stable with over $15 million in unrestricted cash and short-term investments and $19 million in tax increment financing receivables. Management expects capital expenditures to decline in 2025 and further in 2026 as development projects mature.
Canterbury Commons continues to generate long-term value with nearly 1,000 residential units, five restaurants, entertainment venues, and 57,000 square feet of office space either completed or under development. The Triple Crown Residences Phase II has achieved 87% occupancy, while The Omry has 80% of units leased.
Management's strategy involves implementing targeted initiatives to combat casino competition, expanding non-gaming entertainment options, and pursuing expense control measures to maintain stable cash flow generation.
Canterbury's real estate development arm shows promising momentum despite the challenging operating environment in its core business. The Canterbury Commons mixed-use development represents a strategic pivot that's creating diversified revenue streams and enhancing property value appreciation.
The 87% lease rate at Triple Crown Residences Phase II and 80% occupancy at The Omry senior apartments demonstrate strong market acceptance of the residential components. These occupancy rates exceed typical lease-up expectations for multifamily developments in secondary markets, suggesting the destination concept is resonating with renters.
The development strategy intelligently combines residential density with entertainment venues, restaurants, and office space to create a self-sustaining ecosystem that drives foot traffic across the property. With 50 additional acres remaining for future development, Canterbury has significant untapped land value that doesn't appear fully recognized in current valuations.
The nearing completion of infrastructure projects, including the road adjacent to the amphitheater that will unlock 25 acres for development, represents a critical inflection point. As these enablement projects finish, Canterbury should see declining capital expenditures while simultaneously opening new revenue-generating opportunities.
The transition from a primarily gaming-focused business to a diversified entertainment and lifestyle destination positions Canterbury to better weather competitive threats in the casino industry. Each completed development phase enhances the attractiveness of remaining parcels, creating a potential compounding effect on property values over time.
SHAKOPEE, Minn., March 10, 2025 (GLOBE NEWSWIRE) -- Canterbury Park Holding Corporation (“Canterbury” or the “Company”) (Nasdaq: CPHC) today reported financial results for the fourth quarter and full year ended December 31, 2024.
($ in thousands, except per share data and percentages) | |||||||||||||||||
Three Months Ended December 31, | Twelve months ended December 31, | ||||||||||||||||
2024 | 2023 | Change | 2024 | 2023 | Change | ||||||||||||
Net revenues | -4.4 | % | 0.2 | % | |||||||||||||
Net income(1) | - | -191.3 | % | -80.0 | % | ||||||||||||
Adjusted EBITDA(2) | -34.9 | % | -2.0 | % | |||||||||||||
Basic EPS(1) | - | -189.3 | % | -80.5 | % | ||||||||||||
Diluted EPS(1) | - | -192.6 | % | -80.3 | % | ||||||||||||
(1) Net income and basic and diluted EPS for the twelve months ended December 31, 2024 include a
(2) Adjusted EBITDA, a non-GAAP measure, excludes certain items from net income, a GAAP measure. Non-GAAP financial measures are not intended to be considered in isolation from, a substitute for, or superior to GAAP results. Definitions, disclosures, and reconciliations of non-GAAP financial information are included later in the release.
Management Commentary
“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
“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. Collectively, our goal is for these efforts is to better position Canterbury as the gaming entertainment venue with the best service and table game variety in the region. We are also focused on further expanding the non-gaming entertainment side of our business as we had more mid- and large-scale events in 2024 than ever before, which drove higher cash flow from Food & Beverage and Other operations. We expect to accelerate this momentum in 2025 with more exciting events planned than in prior years. As our business and market continue to evolve, we are bringing additional attention to our expense control strategies that are focused on creating more operating efficiencies. We expect our collective revenue optimization and expense control initiatives will help maintain our ability to again deliver solid annual cash flow this year and beyond.
“Canterbury Commons is firmly positioned as a premiere destination for living, playing and working that brings consistently high levels of traffic and energy to the property. With nearly 1,000 residential units, five restaurants and breweries, two music and entertainment venues, 57,000 square-feet of office space, and other distinct amenities already open or under development, and another 50 acres available for future development, we expect Canterbury Commons will create new long-term revenue sources and positive economics for the Company.
“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. We are well positioned for the future as we generate consistent annual cash flow and have a strong balance sheet with over
Canterbury Commons Development Update
Swervo continues to make progress on the construction of its state-of-the-art amphitheater. The Company’s barn relocation and redevelopment plan is nearing completion with over 300 new stalls completed and in operation, with the balance of the planned backside improvements on schedule for completion prior to the 2025 live racing season. Canterbury is also nearing completion of the road adjacent to the amphitheater which will unlock the development potential of roughly 25 acres of land in that portion of the site.
Residential and commercial construction updates related to joint ventures include:
- Phase II of The Doran Group’s upscale Triple Crown Residences at Canterbury Park has leased
87% of its available units.- Repairs on Phase I of the Triple Crown Residences were fully completed in late 2024 and a certificate of occupancy was granted in February 2025.
80% of the 147 units of senior market rate apartments at The Omry at Canterbury are leased.- The pizza restaurant, fitness center and BBQ restaurant in the 10,000 square-foot commercial building within the Winners Circle development are all open.
- Construction of an additional 28,000 square-foot commercial office building within the Winners Circle development is ongoing. The primary user has
50% of the space under lease and discussions are ongoing with other potential tenants. - The Company’s joint venture partner, Trackside Holdings, LLC, continues to make progress with construction of an approximately 16,000 square foot project on 3.5 acres of trackside land that will house a new music venue, restaurant and bar in the spring of 2025.
Residential and commercial construction updates related to prior land sales include:
- Pulte Homes of Minnesota continues development on the 45-unit second phase of its row home and townhome residences.
Developer and partner selection for the remaining 50 acres of Canterbury Commons, including 25 acres that will become available for development following the completion of the new road noted above, continues. Additional uses could include office, retail, hotel and restaurants.
Summary of 2024 Fourth Quarter Operating Results
Net revenues for the three months ended December 31, 2024 were
Operating expenses for the three months ended December 31, 2024 increased slightly to
The Company recorded a loss from equity investment of
The Company recorded an income tax benefit of
Adjusted EBITDA, a non-GAAP measure, for the three months ended December 31, 2024 and December 31, 2023 was
Summary of 2024 Full-Year Operating Results
Net revenues for the twelve months ended December 31, 2024 were
Operating expenses for the twelve months ended December 31, 2024 were
The Company recorded a
The Company recorded a loss from equity investment of
The Company recorded income tax expense of
The Company recorded net income of
Adjusted EBITDA was
Additional Financial Information
Further financial information for the fourth quarter and full-year ended December 31, 2024, is presented in the accompanying tables at the end of this press release. Additional information will be provided in the Company’s Annual Report on Form 10-K that will be filed with the Securities and Exchange Commission on or about March 11, 2025.
Use of Non-GAAP Financial Measures
To supplement our financial statements, we also provide investors with information about our EBITDA and Adjusted EBITDA, each of which is a non-GAAP measure, and which exclude certain items from net income, a GAAP measure. We define EBITDA as earnings before interest, taxes, depreciation and amortization. We define Adjusted EBITDA as earnings before interest income (net of interest expense), income tax expense, depreciation and amortization, as well as excluding stock-based compensation (which includes our 401(k) match expense as this match occurs in Company stock), gain on insurance proceeds relating to equity investments, gain on disposal of assets, gain on the transfer or sale of land, depreciation and amortization related to equity investments, and interest expense related to equity investments. We define Adjusted EBITDA margin as Adjusted EBITDA as a percentage of net revenues. Neither EBITDA, Adjusted EBITDA, or Adjusted EBITDA margin are measures of performance calculated in accordance with generally accepted accounting principles ("GAAP"), and should not be considered an alternative to, or more meaningful than, net income as an indicator of our operating performance. See the table below, which presents reconciliations of these measures to the GAAP equivalent financial measure, which is net income. We have presented EBITDA as a supplemental disclosure because we believe that, when considered with measures calculated in accordance with GAAP, EBITDA gives investors a more complete understanding of our operating results before the impact of investing and financing transactions and income taxes, and it is a widely used measure of performance and basis for valuation of companies in our industry. Other companies that provide EBITDA information may calculate EBITDA or Adjusted EBITDA differently than we do. We have presented Adjusted EBITDA as a supplemental disclosure because we believe it enables investors to understand and assess our core operating results excluding the effect of these items and is useful to investors in allowing greater transparency related to a significant measure used by management in its financial and operational decision-making. Adjusted EBITDA has economic substance because it is used by management as a performance measure to analyze the performance of our business and provides a perspective on the current effects of operating decisions.
About Canterbury Park
Canterbury Park Holding Corporation (Nasdaq: CPHC) owns and operates Canterbury Park Racetrack and Casino in Shakopee, Minnesota, the only thoroughbred and quarter horse racing facility in the State. The Company generally offers live racing from May to September. The Casino hosts card games 24 hours a day, seven days a week, dealing both poker and table games. The Company also conducts year-round wagering on simulcast horse racing and hosts a variety of other entertainment and special events at its Shakopee facility. The Company is also pursuing a strategy to enhance shareholder value by the ongoing development of approximately 140 acres of underutilized land surrounding the Racetrack that was originally designated for a project known as Canterbury Commons™. The Company is pursuing several mixed-use development opportunities for the remaining underutilized land, directly and through joint ventures. For more information about the Company, please visit www.canterburypark.com.
Cautionary Statement
From time to time, in reports filed with the Securities and Exchange Commission, in press releases, and in other communications to shareholders or the investing public, we may make forward-looking statements concerning possible or anticipated future financial performance, business activities or plans. These statements are typically preceded by the words “believes,” “expects,” “anticipates,” “intends” or similar expressions. For these forward-looking statements, we claim the protection of the safe harbor for forward-looking statements contained in federal securities laws. Shareholders and the investing public should understand that these forward-looking statements are subject to risks and uncertainties which could affect our actual results and cause actual results to differ materially from those indicated in the forward-looking statements. We report these risks and uncertainties in our Annual Report on Form 10-K for the year ended December 31, 2024 filed with the SEC and subsequently filed Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. They include, but are not limited to: we may not be successful in implementing our growth strategy; sensitivity to reductions in discretionary spending as a result of downturns in the economy and other factors; we have experienced a decrease in revenue and profitability from live racing; challenges in attracting a sufficient number of horses and trainers; a lack of confidence in core operations resulting in decreasing customer retention and engagement; personal injury litigation due to the inherently dangerous nature of horse racing; material fluctuations in attendance at the Racetrack; material changes in the level of wagering by patrons; any decline in interest in horse racing or the unbanked card games offered in the Casino; competition from other venues offering racing, unbanked card games or other forms of wagering; competition from other sports and entertainment options; increases in compensation and employee benefit costs; the impact of wagering products and technologies introduced by competitors; the general health of the gaming sector; legislative and regulatory decisions and changes; our ability to successfully develop our real estate, including the effect of competition on our real estate development operations and our reliance on our current and future development partners; our obligation to make improvements in the TIF district that will only be reimbursed to the extent of future tax revenue; temporary disruptions or changes in access to our facilities caused by ongoing infrastructure improvements; inclement weather and other conditions affecting the ability to conduct live racing; technology and/or key system failures; cybersecurity incidents; the general effects of inflation; our ability to attract and retain qualified personnel; dividends that may or may not be issued at the discretion of our Board of Directors; and other factors that are beyond our ability to control or predict.
The forward-looking statements in this press release speak only as of the date of this press release. Except as required by law, Canterbury assumes no obligation to update or revise these forward-looking statements for any reason, even if new information becomes available in the future.
Investor Contacts: | |
Randy Dehmer | Richard Land, Jim Leahy |
Senior Vice President and Chief Financial Officer | JCIR |
Canterbury Park Holding Corporation | 212-835-8500 or cphc@jcir.com |
952-233-4828 or investorrelations@canterburypark.com | |
- Financial tables follow -
CANTERBURY PARK HOLDING CORPORATION'S | |||||||||||
SUMMARY OF OPERATING RESULTS | |||||||||||
Three months ended | Twelve months ended | ||||||||||
December 31, | December 31, | ||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||
Operating Revenues: | |||||||||||
Casino | |||||||||||
Pari-mutuel | 1,125,731 | 1,243,905 | 8,226,047 | 8,253,615 | |||||||
Food and Beverage | 1,038,071 | 1,020,738 | 7,968,157 | 7,828,980 | |||||||
Other | 819,092 | 803,403 | 6,593,382 | 5,573,097 | |||||||
Total Net Revenues | 11,977,537 | 12,527,063 | 61,562,288 | 61,436,858 | |||||||
Operating Expenses | (12,075,269 | ) | (11,939,193 | ) | (56,861,654 | ) | (56,425,975 | ) | |||
Gain on Transfer/Sale of Land | - | - | 1,732,353 | 6,489,976 | |||||||
(Loss) Income from Operations | (97,732 | ) | 587,870 | 6,432,987 | 11,500,859 | ||||||
Other (Loss) Income, net | (1,587,787 | ) | 1,484,047 | (3,396,260 | ) | 3,479,390 | |||||
Income Tax Benefit (Expense) | 440,116 | (708,000 | ) | (923,885 | ) | (4,417,000 | ) | ||||
Net Income | ) | ||||||||||
Basic Net Income Per Common Share | ( | ) | |||||||||
Diluted Net Income Per Common Share | ( | ) | |||||||||
RECONCILIATION OF NET INCOME TO EBITDA AND ADJUSTED EBITDA | |||||||||||
Three months ended | Twelve months ended | ||||||||||
December 31, | December 31, | ||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||
NET INCOME | ( | ) | |||||||||
Interest income, net | (478,835 | ) | (544,769 | ) | (2,071,511 | ) | (1,978,122 | ) | |||
Income tax (benefit) expense | (440,116 | ) | 708,000 | 923,885 | 4,417,000 | ||||||
Depreciation and amortization | 944,807 | 837,100 | 3,620,899 | 3,145,372 | |||||||
EBITDA | (1,219,547 | ) | 2,364,248 | 4,586,115 | 16,147,499 | ||||||
Stock-based compensation | 372,932 | 335,817 | 1,447,009 | 1,378,373 | |||||||
Gain on insurance proceeds related to equity investments | - | (1,698,800 | ) | - | (4,227,701 | ) | |||||
Loss on disposal of assets | 55,714 | 176,425 | 49,214 | 157,160 | |||||||
Gain on transfer/sale of land | - | - | (1,732,353 | ) | (6,489,976 | ) | |||||
Depreciation and amortization related to equity investments | 1,415,230 | 439,270 | 3,086,695 | 1,753,256 | |||||||
Interest expense related to equity investments | 711,109 | 434,186 | 2,796,932 | 1,727,192 | |||||||
ADJUSTED EBITDA | |||||||||||
