Louisville, Kentucky-based Churchill Downs Inc. recently reported record net revenues of 9.8 million for the third quarter, up 61 percent over the same period in 2014, mainly due to the growth of Seattle-based Big Fish online gaming company, acquired last December. Churchill Downs posted .2 million in profits, up 20 percent over third quarter 2014, or 24 cents per diluted share. Year-to-date earnings were .7 million, or .26 per diluted share, down 4 percent over the same period last year.
Chief Executive Officer Bill Carstanjen said, “We delivered record revenues and record adjusted EBITDA largely driven by the contribution from our Big Fish Games division.” Big Fish reported a 34 percent increase in “bookings” or in-app purchases in the quarter, to $114.4 million. The company contributed revenue of $103.5 million and adjusted EBITDA of $33.3 million.
Big Fish’s casino game division reported an overall increase of 8 percent, but the free-to-play casual division experienced a 158 percent rise in average paying users, based on the popularity of Gummy Drop! and the successful launch of Dungeon Boss.
The advance deposit wagering platform TwinSpires posted 9 percent growth for the quarter, with $245.5 million in total handle and revenue of $50.3 million.
Revenue from Churchill’s racinos remained steady at $82.7 million for the quarter. However, live-racing handle dropped16 percent for the quarter, to $238 million, with revenue of $38.9 million, down 5 percent. The drop was based on decreases at the Arlington International racetrack outside Chicago.
