Churchill Downs Inc. reported record net revenue for Q4 2025, driven by growth in its Live and Historical Racing segment, despite a decrease in net income. The company also announced significant capital investments and continued its strategy of returning capital to shareholders.
Record net revenue of $665.9 million, up 7% year-over-year.
positiveRecord Adjusted EBITDA of $247.0 million, up 4% year-over-year.
positiveReturned $456.3 million of capital to shareholders through share repurchases and dividends in 2025.
positiveAnnounced plans to invest $180-$200 million in Rockingham Grand Casino in New Hampshire.
neutralNet income attributable to CDI decreased 28% to $51.3 million in Q4 2025 compared to $71.7 million in the prior year quarter.
negativeFull year 2025 net income attributable to CDI was $383.0 million, down from $426.8 million in the prior year.
negativeGaming segment revenue decreased 3% to $250.3 million in Q4 2025 due to cessation of HRM operations in Louisiana and decreases in Mississippi.
negativeGaming segment Adjusted EBITDA decreased 9% to $108.9 million in Q4 2025.
negativeFull year 2025 Adjusted EBITDA for the Gaming segment decreased 5% to $483.0 million.
negativeTransaction, pre-opening, and other expenses increased by $7.3 million after-tax in Q4 2025.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total |
|---|---|---|---|---|
Live and Historical Racing | N/A | — | — | — |
Wagering Services and Solutions | N/A | — | — | — |
Gaming | N/A | — | — | — |
All Other | N/A | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% |
Segment performance shows business unit health and growth drivers.
Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.
We ended 2025 with net bank leverage of 4.1x and returned $456.3 million of capital to our shareholders through share repurchases and dividends during 2025.
Fourth quarter 2025 revenue increased $43.9 million due to a $20.8 million increase from our Kentucky HRM venues, a $16.1 million increase from our Virginia HRM venues, a $4.6 million increase primarily from our New Hampshire venues, and a $2.4 million increase at Churchill Downs Racetrack.
Full year 2025 revenue increased $175.4 million due to an $88.3 million increase from our Virginia HRM venues, a $72.6 million increase from our Kentucky HRM venues, an $8.4 million increase from Churchill Downs Racetrack, and a $6.1 million increase primarily from our New Hampshire venues.
Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.
Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.