LOUISVILLE, Ky. (WDRB) – Churchill Downs Inc. CEO Bill Carstanjen said Thursday the company is mindful of concerns about the spread of the coronavirus but that as of today, he sees no “impact … in any meaningful way” to attendance at the 2020 Kentucky Derby on May 2.
The world’s most famous horse race typically draws about 150,000 people to Louisville, including attendees from around the globe.
Churchill Downs in recent years has encouraged a Japanese horse in the field, and that hasn’t changed, Carstanjen said on the company’s quarterly earnings call Thursday. The virus originated in China, where more than 78,000 people have been infected, and more than 800 cases have been documented in Japan, according to The New York Times.
Carstanjen said there are “many, many” sporting events and concerts in the U.S. planned in the months leading up to the Derby, and Churchill Downs officials will watch how those unfold.
“We have a lot of time to monitor and learn and study the best protocols to put in place if it (coronavirus), in fact, becomes relevant for our event, so our team will be very, very focused on that and pay attention to that,” Carstanjen said.
Carstanjen added that the company doesn’t have data about international attendees, saying there is a robust secondary market for reserved Derby seats.
“I think it’s a fair question to worry about, but from our calculus and how we think about it, I am not sure I see a path where that impacts our attendance in any meaningful way,” Carstanjen said.
Churchill Downs on Thursday reported $280 million in revenue in the final three months of 2019, exceeding Wall Street expectations of $264 million, according to Jefferies LLC analyst David Katz.
Derby City Gaming, the company's Louisville venue that offers slot-like historical horse racing machines, continued to shine in the Churchill Downs portfolio.
Derby City Gaming delivered pre-tax earnings, adjusted for certain items, of $32.9 million on a revenue base of $71.8 million, the company reported.
The company's overall net income fell to $137.5 million in 2019 from $352.8 million in 2018. But the 2018 amount was boosted by a $170 million gain on the sale of the company's former subsidiary Big Fish Games. Â
