Core Insights - The House Edge is recognized as a unique marketplace service in the casino, gaming, and online sports betting sectors, providing superior returns through in-depth research and industry insights [1][2] Company Insights - Howard Jay Klein, with 30 years of experience in major casino operations, leads The House Edge and focuses on value investing by assessing management quality [2] - Klein's background includes significant roles at Ballys, Trump Taj Mahal, Mohegan Sun, and Caesars Palace, contributing to his extensive knowledge of the industry [2] Industry Insights - The House Edge leverages a vast intelligence network across the US gambling and entertainment sectors, including insights from various levels of employees and management [2]

Group 1: Share Buyback Programs - Several major firms have announced significant new share buyback programs as Q1 2025 concludes, with three stocks having buyback capacity of 8% or more of their market capitalizations [1] - Applied Materials has authorized a $10 billion share buyback program, bringing its total buyback capacity to $17.6 billion, which is nearly 14% of its $126 billion market capitalization [1] - Churchill Downs has approved a $500 million share repurchase program, resulting in a total buyback capacity of $626 million, approximately 8% of its $8 billion market capitalization [6] - DICK'S Sporting Goods announced a $3 billion share buyback program, giving it a total buyback capacity of approximately $3.51 billion, equal to 22% of its nearly $16 billion market capitalization [11][12] Group 2: Dividend Increases - Applied Materials announced a significant dividend increase of 15%, raising the payment to $0.46 per share, with a yield of 1.2% [4] - DICK'S Sporting Goods also raised its dividend by 10%, planning to pay a total of $4.85 over the next four quarters, resulting in a dividend yield of 2.5% [14] Group 3: Financial Performance and Metrics - Applied Materials has repurchased $4.4 billion worth of shares over the last four quarters, but the timing of these purchases was not optimal as the current share price is 19% lower than the average repurchase price of $192 [2][3] - Churchill Downs has repurchased $216 million worth of shares in the last 12 months, which is moderately above its average repurchase pace of $187 million over the past decade [7] - DICK'S Sporting Goods spent $268 million on share buybacks in fiscal 2024, below its average annual buyback pace of $430 million over the past 10 years, with the current share price being 8% lower than the average price paid for shares [13]

Core Viewpoint - Churchill Downs Incorporated (CDI) will release its first quarter 2025 financial results on April 23, 2025, after market close, followed by a conference call on April 24, 2025, at 9 a.m. ET [1] Financial Results Announcement - The financial results will be accessible through a news release on CDI's website [3] - An online replay of the conference call will be available by noon ET on April 24, 2025 [2] Company Overview - Churchill Downs Incorporated has been providing entertainment experiences for over 150 years, starting with the Kentucky Derby [4] - The company is headquartered in Louisville, Kentucky, and has expanded through acquisitions and operations in live racing, online wagering, and regional casino gaming [4]

Core Points - Churchill Downs Incorporated ("CDI") announced a new $500 million share repurchase program, replacing the previous program authorized in September 2021, which had an unused authorization of $125.6 million as of March 12, 2025 [1] - The new share repurchase program allows for repurchases at management's discretion, either in the open market or through privately negotiated transactions, and has no time limit [1] Company Overview - CDI has been creating entertainment experiences for over 150 years, with the Kentucky Derby being its most iconic asset [2] - The company is headquartered in Louisville, Kentucky, and has expanded through acquisitions and operations in live and historical racing, online wagering, and regional casino gaming [2]

Financial Data and Key Metrics Changes - Churchill Downs Incorporated achieved record net revenue and adjusted EBITDA for 2024, with net revenue increasing by 11% and adjusted EBITDA rising by 13% compared to 2023 [11][42] - The company generated nearly $1.2 billion in adjusted EBITDA, with HRM venues in Virginia contributing 20% to this figure [31][44] - Free cash flow reached $688 million, representing a 33% increase per share over the prior year [50] Business Line Data and Key Metrics Changes - All three business segments reported record net revenue and adjusted EBITDA, with significant contributions from the Kentucky Derby and HRM properties [11][42] - The Wagering Services and Solutions segment, previously known as TwinSpires, saw adjusted EBITDA grow by nearly $34 million, primarily from the Exacta business [46][47] - The gaming segment's adjusted EBITDA grew by 4%, driven by the performance of the new Terre Haute property [48] Market Data and Key Metrics Changes - The Rose Gaming Resort opened in Virginia in late 2024, contributing to the growth of HRM operations in the state [31][44] - The company has 1,800 HRMs in the market, with plans to add an additional 400 games by mid-2025 [32][33] - The Owensboro HRM venue opened on February 12, 2025, and is performing well [36] Company Strategy and Development Direction - The company is focused on enhancing the Kentucky Derby experience through significant capital investments and renovations, including the Starting Gate Courtyard and Pavilion project [18][19] - Future projects aim to expand the Derby experience and improve hospitality offerings, with completion expected by 2028 [28][29] - The company plans to pursue disciplined growth in HRM opportunities in Virginia and Kentucky while maintaining a strong balance sheet [38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth trajectory of The Rose and the overall HRM market in Virginia, emphasizing the importance of customer education and marketing [34][70] - The company anticipates strong growth in adjusted EBITDA for 2025, driven by new projects and continued success in existing operations [46][50] - Management acknowledged challenges in the regional gaming market but remains focused on identifying growth opportunities [97] Other Important Information - The company repurchased over 160,000 shares in Q4 2024, returning over $218 million to shareholders through buybacks and dividends [53] - Bank covenant net leverage was reported at 4.0 times, with expectations for a decrease in the coming year [54] Q&A Session Summary Question: Thoughts on ROI from announced Derby projects - Management believes they can manage construction projects without disrupting the Derby experience and expects these projects to generate long-term shareholder returns [60][62] Question: The Rose's trajectory and ramp - Management is optimistic about The Rose's performance, noting the importance of patience as the market becomes educated about HRMs [70][72] Question: Five-year payback target for HRM investments - Management confirmed that a five-year payback is a reasonable target for HRM projects, including The Rose, and emphasized the importance of long-term performance [78][80] Question: Confidence in demand for premium Derby seats - Management highlighted trends in consumer behavior favoring experiential events and noted strong demand for premium seating, with plans to expand the customer base [87][90] Question: Future investment in regional gaming - Management evaluates regional gaming opportunities on a case-by-case basis, focusing on growth potential and market dynamics [96][98] Question: Gray market gaming enforcement in Kentucky and Virginia - Management reported progress in enforcing laws against gray market gaming, with ongoing efforts in both states [112][114] Question: Pricing power in a higher inflationary environment - Management indicated that current trends in wage growth and inflation have not significantly impacted pricing power across their businesses [120][121] Question: Trends in Virginia's HRM market - Management expressed confidence in the long-term growth of HRM properties in Virginia, despite short-term challenges [126][127]

Churchill Downs (CHDN) reported $624.2 million in revenue for the quarter ended December 2024, representing a year-over-year increase of 11.2%. EPS of $0.92 for the same period compares to $0.86 a year ago.The reported revenue represents a surprise of +1.29% over the Zacks Consensus Estimate of $616.24 million. With the consensus EPS estimate being $0.93, the EPS surprise was -1.08%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wa ...

Churchill Downs (CHDN) came out with quarterly earnings of $0.92 per share, missing the Zacks Consensus Estimate of $0.93 per share. This compares to earnings of $0.86 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -1.08%. A quarter ago, it was expected that this racetrack operator and gambling company would post earnings of $0.96 per share when it actually produced earnings of $0.97, delivering a surprise of 1.04%.Over the l ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-33998 Churchill Downs Incorporated (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organ ...

FOR IMMEDIATE RELEASE Contact: Sam Ullrich (502) 638-3906 Sam.Ullrich@kyderby.com CHURCHILL DOWNS INCORPORATED REPORTS 2024 FOURTH QUARTER AND FULL YEAR RESULTS LOUISVILLE, Ky. (February 19, 2025) - Churchill Downs Incorporated (Nasdaq: CHDN) (the "Company", "CDI", "we") today reported business results for the quarter and full year ended December 31, 2024. Company Highlights | CONSOLIDATED RESULTS | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | | | | | | Years Ended December ...

LOUISVILLE, Ky., Feb. 19, 2025 (GLOBE NEWSWIRE) -- Churchill Downs Incorporated ("CDI" or "the Company") (NASDAQ:CHDN) announced today a multi-year series of capital projects that will enhance and expand the Kentucky Derby experience across three key areas of Churchill Downs Racetrack ("Churchill Downs"). The series of transformational projects are, collectively, the largest expansion and renovation undertaken in the 150-year history of CDI. The three projects are: The Skye Reconstruction and Expansion Proj ...