NASDAQ$CHDN

Churchill Downs Inc. · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Churchill Downs Incorporated reported increased revenue and net income compared to the previous year, driven by strong performance across its business segments.

Churchill Downs Incorporated reported record 2021 net revenue of $1,597.2 million, up 52% over the prior year. Net income was $249.1 million, compared to a net loss of $81.9 million in the prior year. Adjusted EBITDA was a record $627.0 million, up 119% compared to $286.5 million in the prior year.

  • Record 2021 net revenue of $1,597.2 million, up 52% over the prior year.
  • 2021 net income was $249.1 million, compared to net loss of $81.9 million in the prior year.
  • Record 2021 Adjusted EBITDA of $627.0 million, up 119%, compared to $286.5 million in the prior year.
  • Announced definitive agreement to acquire substantially all of the assets of Peninsula Pacific Entertainment LLC for total consideration of $2.485 billion.

Headline financials

Total Revenue

$365M

Previous: $278M+31.1%
EPS (adj)

$0.64

Previous: $0.10+540.0%
Adjusted EBITDA

$127M

Previous: $79.2M+60.4%
Net Income

$43.3M

Previous: $17.1M+153.2%
Operating Income

$34.7M

Previous: $22.7M+52.9%
Gross Profit

$83.4M

Previous: $52.2M+59.8%
Cash & Equivalents

$291M

Previous: $67.4M+332.2%
Total Assets

$2.98B

Previous: $2.69B+11.0%
Stock-Based Comp

$7.4M

Previous: $6.4M+15.6%

Revenue & EPS history

Churchill Downs · Revenue · Quarterly

$365M

Q4 2021+31.1%vs Q4 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Churchill Downs · $172M total across 1 segment · Q4 2021

  • Gaming
    $172M+41.4%

Forward guidance

The company estimates spending between $300 million and $350 million for project capital in 2022.

Tailwinds

  • Homestretch Club target completion May 2022
  • Turn 1 Experience target completion May 2023
  • Turfway Park HRM Facility target completion September 2022
  • Derby City Gaming Expansion and Hotel target completion Late 2022 / Second Quarter 2023
  • Derby City Gaming Downtown Property Build Out target completion Second Quarter 2023

Headwinds

  • Amount may vary significantly based on the timing of work completed
  • Amount may vary significantly based on unanticipated delays
  • Amount may vary significantly based on timing of payments to third parties
  • Capital investments at Rivers Des Plaines and Miami Valley Gaming are funded through operating cash flow and debt facilities at the joint venture entity and are not funded by CDI.
  • Paddock / Under the Spires target completion May 2024 - TBD

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

+1.2%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+3.1%

Avg return

30 days after

60%

39 / 65 earnings

Positive

+14.0%

Q3 2011

Best reaction

-16.2%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.1%+10.5%-6.4%
Q4 2025-6.1%-2.8%-12.1%
Q3 2025+7.5%+3.5%+10.4%
Q1 2025-16.2%-13.0%-11.2%
Q4 2024-0.4%-4.4%-6.2%
Q3 2024+4.4%+5.2%+5.7%
Q2 2024-2.6%+2.3%-2.4%
Q1 2024+4.6%+5.4%+7.7%
Q4 2023+3.1%+3.9%+1.3%
Q3 2023-3.0%-2.2%+8.3%
Q2 2023-8.9%-11.2%-5.0%
Q1 2023+13.2%+17.5%+8.4%
Q4 2022+0.7%+0.7%+0.0%
Q3 2022-4.9%-0.1%+7.5%
Q2 2022+0.9%-2.5%-4.3%
Q1 2022+3.9%+5.6%+1.1%
Q4 2021+1.9%+12.3%+4.4%
Q3 2021-5.7%-4.8%-8.8%
Q2 2021-1.1%-1.8%+11.1%
Q1 2021+0.9%+2.4%-8.3%
Q4 2020+0.6%+4.2%+2.2%
Q3 2020-6.6%-6.8%+12.7%
Q2 2020+10.6%+14.2%+41.5%
Q1 2020-1.8%-7.7%+30.1%
Q4 2019-7.6%-14.5%-37.4%
Q3 2019-2.0%-6.4%-2.0%
Q2 2019+2.9%-6.4%+0.4%
Q1 2019+5.3%+13.8%+7.6%
Q4 2018-4.0%-7.3%-7.6%
Q3 2018+11.0%+9.9%+13.9%
Q2 2018-2.4%-1.8%-1.2%
Q1 2018+7.4%+7.3%+19.8%
Q4 2017-0.0%+3.4%-4.8%
Q3 2017+0.4%+2.0%+11.8%
Q2 2017+2.1%+0.6%+4.1%
Q1 2017+1.4%-2.0%-0.4%
Q4 2016-0.4%-1.0%+3.9%
Q3 2016-2.9%-3.6%+12.1%
Q2 2016+6.7%+8.6%+14.4%
Q1 2016-6.9%
Q4 2015+4.4%
Q3 2015+4.3%
Q2 2015+5.7%
Q1 2015+5.0%
Q4 2014+3.3%
Q3 2014-0.9%
Q2 2014+0.1%
Q1 2014-0.9%
Q4 2013-1.5%
Q3 2013-2.3%
Q2 2013+3.3%
Q1 2013+1.3%
Q4 2012+1.9%
Q3 2012-3.9%
Q2 2012+4.1%
Q1 2011+5.2%
Q1 2012+5.2%
Q4 2011+8.3%
Q3 2010+14.0%
Q3 2011+14.0%
Q4 2010+1.4%
Q2 2011+1.4%
Q2 2010+1.4%
Q4 2009+1.4%
Q1 2010-3.8%

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