The parent company of Canterbury Park Racetrack reported a profit of $438,180 for 2008, which was a decline of more than 80% over the net income in 2007 for the Shakopee, Minn., racing entity.
Canterbury Park Holding Corp. recently reported it had 2008 net revenues of $46 million, $6.9 million less than 2007 net revenues of $52.9 million. The decline in net revenues for the year consisted of a 15.4% decrease in card club revenues, a 12.5% decrease in pari-mutuel revenues, and a 13.5% decrease in other operating revenues, the company said.
Operating expenses decreased 7% to $45.3 million in 2008, primarily due to decreases in purse expense, salaries and benefits, insurance expense and various cost cutting measures, the company added.
"While 2008 operating results were well below our goals for the year, they were not surprising," said Canterbury Park president Randy Sampson in a news release. "For the first three quarters of 2008, our revenues were adversely affected by two factors beyond our control; a ban on smoking in public places that applies to our business but not to Native American casinos that compete with our card room, and the opening of the Running Aces Harness Track in the north metro area that directly competes with us in simulcast wagering, poker and casino card games.”
The company reported fourth-quarter net revenues were $8.8 million, down 22% from revenues of $11.2 million during the same period in 2007. Net income was $15,514, as compared to $635,378 in the 2007 fourth quarter.
The company also announced that its 2009 annual meeting of shareholders will be held June 4 at 4 p.m. at the racetrack. The date of record for shareholders entitled to vote at the annual meeting is April 9.
Shares of Canterbury Park Holding Corp. were down 3.6% to $5.79 in afternoon trading on the Nasdaq stock exchange, which was off 3.2% for the day.