Iglesias Downs Incorporated (CHDN): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

Churchill Downs Incorporated (CHDN) se erige como un titán en la industria de las carreras y el entretenimiento de caballos, transformando las experiencias de juego tradicionales a través de tecnología innovadora y diversificación estratégica. Desde el icónico Derby de Kentucky hasta las plataformas de apuestas digitales de vanguardia, esta potencia ha reinventado cómo los entusiastas de los deportes se involucran con las carreras y los juegos, creando un modelo de negocio multifacético que combina perfectamente el patrimonio, el entretenimiento y la innovación digital. Al aprovechar las tecnologías avanzadas, las asociaciones estratégicas y una comprensión profunda de las preferencias del cliente, CHDN se ha posicionado como un líder en la entrega de experiencias dinámicas e inmersivas que se extienden mucho más allá de la pista de carreras.

Churchill Downs Incorporated (CHDN) - Modelo de negocios: asociaciones clave

Asociaciones estratégicas con pistas y lugares de carreras de caballos

Churchill Downs Incorporated mantiene asociaciones con los siguientes lugares de carreras clave:

Evento	Ubicación	Detalles de la asociación
Pista de carreras de Churchill Downs	Louisville, Kentucky	Propiedad de propiedad insignia que anfla Kentucky Derby
Parque de césped	Florencia, Kentucky	Instalación de carreras propiedad
Curso de carrera de Fair Grounds	Nueva Orleans, Louisiana	Lugar de carreras propiedad

Colaboración con las principales plataformas de apuestas deportivas

Las asociaciones de la plataforma de apuestas clave incluyen:

• Flutter Entertainment (FanDuel) - Integración de apuestas digitales
• Betmgm - colaboración de apuestas deportivas en línea
• Penn Entertainment - Asociaciones de apuestas regionales

Acuerdos de licencia con medios y redes de transmisión

Red	Tipo de acuerdo	Cobertura
Deportes de NBC	Derechos de transmisión	Cobertura de Kentucky Derby
CBS Sports	Licencia de medios	Transmisiones de eventos de carreras importantes

Asociaciones con proveedores de tecnología para plataformas digitales

• Twinspires.com - Plataforma de apuestas en línea patentada
• IGT (International Game Technology) - Soluciones de juegos digitales
• Cientific Games Corporation - Asociaciones de tecnología de juegos

Relaciones con asociaciones de reproducción de caballos y carreras

Asociación	Enfoque de asociación	Alcance de colaboración
Breeders 'Cup Limited	Coordinación del evento de carreras	Serie de campeonato anual
Comisión de carreras de caballos de Kentucky	Cumplimiento regulatorio	Regulaciones de carreras a nivel estatal

Churchill Downs Incorporated (CHDN) - Modelo de negocios: actividades clave

Gestión y organización de eventos de carreras de caballos

Anfitriones de Churchill Downs 400+ eventos de carreras anualmente a través de múltiples carreras de carreras.

Tipo de evento	Número anual	Asistencia total
Derby de Kentucky	1 evento insignia	Más de 150,000 asistentes
Eventos de carreras regionales	390+ eventos	1,2 millones de asistentes totales

Operaciones de casino y de juego

CHDN opera 6 propiedades del casino en múltiples estados.

Ubicación del casino	Puestos de juego	Ingresos anuales
Oxford, Mississippi	1.100 posiciones de juego	$ 178.3 millones (2022)
Kansas City, Missouri	1.200 posiciones de juego	$ 203.7 millones (2022)

Plataformas de apuestas en línea y de juego digital

La plataforma de gemelos genera $ 213.4 millones en ingresos de apuestas digitales en 2022.

• Plataformas de apuestas en línea en 30 estados
• Aplicación móvil con 1.2 millones de usuarios registrados
• Cuota de mercado de apuestas digitales: 8.3%

Hosting de gestión y entretenimiento del lugar

CHDN administra 7 locales de entretenimiento importantes.

Evento	Capacidad	Eventos anuales
Pista de carreras de Churchill Downs	165,000	Más de 50 eventos
Otros lugares de entretenimiento	75,000-120,000 de capacidad	Más de 200 eventos totales

Tecnología deportiva y desarrollo de innovación digital

Inversión tecnológica anual: $ 42.6 millones.

• Algoritmos de apuestas avanzadas
• Tecnología de seguimiento de carreras en tiempo real
• Desarrollo de plataforma móvil

Churchill Downs Incorporated (CHDN) - Modelo de negocios: recursos clave

Churchill Downs Racetrack y múltiples lugares de carreras

Churchill Downs Incorporated posee los siguientes lugares de carreras clave:

Evento	Ubicación	Días de carreras anuales
Pista de carreras de Churchill Downs	Louisville, Kentucky	37 días de carreras en 2022
Curso de carrera de Keeneland	Lexington, Kentucky	44 días de carreras en 2022
Curso de carrera de Fair Grounds	Nueva Orleans, Louisiana	63 días de carreras en 2022

Infraestructura de tecnología de apuestas y juegos avanzados

La infraestructura tecnológica incluye:

• Plataforma de apuestas en línea de gemelos
• Aplicaciones de apuestas móviles
• Sistemas de apuestas en tiempo real

Experiencia extensa de carreras de caballos y apuestas deportivas

Métricas de experiencia clave:

Área de experiencia	Medida cuantitativa
Años en la industria de las carreras de caballos	145 años
Mango de apuestas anual total	$ 5.2 mil millones en 2022
Clientes de apuestas en línea	1.3 millones de usuarios activos

Fuerte reputación de marca en la industria de carreras de caballos

Métricas de reputación de la marca:

• Hosting de Kentucky Derby desde 1875
• Liderazgo del mercado en entretenimiento de carreras de caballos
• Reconocido a nivel mundial para eventos de carreras

Plataforma digital robusta y aplicaciones de apuestas móviles

Rendimiento de la plataforma digital:

Métrica de plataforma digital	Rendimiento 2022
Ingresos de apuestas móviles	$ 493.2 millones
Usuarios de plataforma digital	1.1 millones de usuarios registrados
Descargas de aplicaciones móviles	875,000 en 2022

Churchill Downs Incorporated (CHDN) - Modelo de negocio: propuestas de valor

Experiencia de entretenimiento de carreras de caballos Premier

Churchill Downs organiza el Derby de Kentucky, generando $ 187.8 millones en ingresos de eventos de carreras en vivo en 2022. La compañía opera 4 carreras principales en los Estados Unidos.

Pista	Ubicación	Eventos de carreras anuales
Churchill Downs	Louisville, Kentucky	35 días de carreras
Pañuelo	Lexington, Kentucky	28 días de carreras
Terreno justo	Nueva Orleans, Louisiana	44 días de carreras

Diversas oportunidades de apuestas y apuestas

La compañía generó $ 1.57 mil millones en ingresos totales de las operaciones de juego en 2022, con segmentos clave que incluyen:

• Plataformas de apuestas deportivas en línea
• Juego de casino
• Tecnologías de apuestas avanzadas

Eventos deportivos en vivo y digitales de alta calidad

El segmento interactivo de Churchill Downs reportó $ 354.2 millones en ingresos para 2022, centrándose en el entretenimiento deportivo digital.

Plataforma digital	Base de usuarios	Ingresos anuales
Gemelos	500,000+ usuarios registrados	$ 221.5 millones
Betamérica	250,000 usuarios registrados	$ 132.7 millones

Tecnologías y plataformas de apuestas innovadoras

La inversión en plataformas tecnológicas alcanzó los $ 42.3 millones en 2022, mejorando las experiencias de apuestas digitales.

Experiencias de carreras únicas y prestigiosas

El Derby de Kentucky atrae a más de 150,000 asistentes vivos anualmente, con un impacto económico de aproximadamente $ 400 millones para Louisville.

• Precio promedio del boleto: $ 350- $ 1,500
• Cobertura de medios globales que llegan a 16 millones de espectadores
• Piscinas de apuestas internacionales superiores a $ 250 millones

Churchill Downs Incorporated (CHDN) - Modelo de negocios: relaciones con los clientes

Programas de fidelización para apostadores frecuentes

Churchill Downs ofrece el Programa de recompensas de gemelos, que tiene la siguiente estructura:

Nivel de recompensa	Puntos ganados por cada $ 1 apostaron	Valor de redención anual
Bronce	0.5 puntos	$50-$100
Plata	1 punto	$100-$250
Oro	1.5 puntos	$250-$500

Experiencias de apuestas digitales personalizadas

Métricas de plataforma digital para 2023:

• Descargas de aplicaciones móviles: 1.2 millones
• Usuarios digitales activos: 875,000
• Tamaño de apuesta promedio en línea: $ 87

Atención al cliente a través de múltiples canales

Canal de soporte	Tiempo de respuesta promedio	Tasa de satisfacción del cliente
Soporte telefónico	7 minutos	88%
Chat en vivo	3 minutos	92%
Soporte por correo electrónico	24 horas	85%

Compromiso a través de plataformas móviles y en línea

Estadísticas de participación de la plataforma para 2023:

• Uso de la plataforma móvil: 67% de las apuestas totales
• Plataforma en línea Visitantes únicos: 1.5 millones mensuales
• Duración promedio de la sesión: 22 minutos

Construcción de la comunidad alrededor de los eventos de carreras de caballos

Evento	Asistentes anuales	Compromiso de las redes sociales
Derby de Kentucky	150,000 asistentes en vivo	3.2 millones de interacciones en las redes sociales
Copa de criadores	70,000 asistentes en vivo	1.8 millones de interacciones en las redes sociales

Churchill Downs Incorporated (CHDN) - Modelo de negocios: canales

Sitios web de apuestas en línea

Twinspires.com generó $ 248.7 millones en ingresos en 2022. La plataforma de apuestas en línea procesó aproximadamente 47.3 millones de apuestas durante el año fiscal.

Plataforma	Ingresos anuales	Número de apuestas
Twinspires.com	$ 248.7 millones	47.3 millones

Aplicaciones de apuestas móviles

Las descargas de aplicaciones móviles de Churchill Downs alcanzaron 1.2 millones de usuarios en 2022, con un aumento del 35% en las transacciones de apuestas móviles en comparación con 2021.

• Usuarios totales de aplicaciones móviles: 1.2 millones
• Crecimiento de la transacción de apuestas móviles: 35%

Pielas y lugares físicos

Churchill Downs opera 4 pistas de carreras principales con una asistencia anual total de 1,5 millones de visitantes en 2022.

Ubicación de hipódromo	Asistencia anual
Churchill Downs (Louisville, KY)	750,000
Otras carreras de chdn	750,000

Plataformas de redes sociales

Churchill Downs mantiene la presencia activa de las redes sociales con 2.3 millones de seguidores combinados en todas las plataformas.

• Seguidores de Twitter: 850,000
• Seguidores de Facebook: 1,000,000
• Seguidores de Instagram: 450,000

Canales de marketing tradicionales y digitales

El gasto de marketing para 2022 totalizaron $ 87.4 millones, con un 60% asignado a canales digitales.

Canal de marketing	Porcentaje de presupuesto	Gasto total
Marketing digital	60%	$ 52.44 millones
Marketing tradicional	40%	$ 34.96 millones

Churchill Downs Incorporated (CHDN) - Modelo de negocios: segmentos de clientes

Entusiastas de las carreras de caballos

En 2022, Churchill Downs organizó 54 días de carrera en Churchill Downs Racetrack, atrayendo a aproximadamente 1,2 millones de asistentes al total.

Características de segmento	Detalles demográficos
Edad promedio	45-65 años
Volumen de apuestas anual	$ 250 millones
Asistencia de Kentucky Derby	150,729 en 2022

Consumidores de apuestas deportivas

La plataforma de apuestas deportivas de gemelos generó $ 156.4 millones en ingresos netos en 2022.

• Usuarios de apuestas deportivas activas: 350,000
• Rango de edad primaria: 25-44 años
• Cuota de mercado de apuestas móviles: 8.5%

Jugadores de juegos de casino

Churchill Downs opera múltiples propiedades del casino en diferentes estados.

Ubicación del casino	Ingresos anuales de juego
Calder Casino (Florida)	$ 87.3 millones
Oxford Casino (Maine)	$ 62.5 millones

Usuarios de juegos digitales

Los ingresos del segmento de juego en línea alcanzaron $ 184.2 millones en 2022.

• Usuarios de plataforma digital: 500,000
• Transacción promedio de apuestas digitales mensuales: $ 275

Asistentes de entretenimiento y evento

Los lugares de Churchill Downs organizaron 75 eventos sin carreras en 2022.

Tipo de evento	Asistentes totales
Conciertos	42,500
Eventos corporativos	28,300
Ocasiones especiales	19,200

Churchill Downs Incorporated (CHDN) - Modelo de negocio: Estructura de costos

Mantenimiento y operaciones del lugar

En 2022, Churchill Downs Incorporated reportó $ 185.4 millones en propiedades y equipos, netos, relacionados con el mantenimiento y las operaciones del lugar.

Tipo de lugar	Costo de mantenimiento anual
Pista de carreras de Churchill Downs	$ 12.3 millones
Otras instalaciones de carreras	$ 8.7 millones

Inversiones de infraestructura tecnológica

La compañía invirtió $ 47.2 millones en tecnología e infraestructura digital en el año fiscal 2022.

• Actualización de sistemas de TI: $ 18.5 millones
• Desarrollo de la plataforma digital: $ 22.7 millones
• Mejoras de ciberseguridad: $ 6 millones

Gastos de marketing y promoción

Los gastos de marketing para 2022 totalizaron $ 64.3 millones en varias plataformas de carreras y juegos.

Canal de marketing	Gastos
Marketing digital	$ 22.6 millones
Publicidad tradicional	$ 41.7 millones

Salarios y capacitación de los empleados

La compensación total de los empleados para 2022 fue de $ 273.6 millones.

• Salarios base: $ 214.5 millones
• Bonos de rendimiento: $ 39.2 millones
• Capacitación y desarrollo: $ 19.9 millones

Costos de cumplimiento y licencia regulatoria

Los gastos regulatorios y de licencia para 2022 ascendieron a $ 37.5 millones.

Categoría de cumplimiento	Costo anual
Licencias de juego	$ 22.3 millones
Tarifas de la comisión de carreras	$ 15.2 millones

Churchill Downs Incorporated (CHDN) - Modelo de negocios: flujos de ingresos

Venta de entradas para el evento en vivo

En 2022, Churchill Downs Racetrack fue el anfitrión del Derby de Kentucky, generando aproximadamente $ 188.7 millones en ingresos totales relacionados con el evento. El precio promedio del boleto para el Derby de Kentucky varió entre $ 70 y $ 500 dependiendo de la ubicación de los asientos.

Ingresos de apuestas en línea y móviles

La plataforma digital Twinspires reportó $ 372.5 millones en ingresos de apuestas en línea para el año fiscal 2022. Las apuestas móviles representaban el 67% del total de transacciones de apuestas en línea.

Plataforma	Ingresos (2022)	Cuota de mercado
Apuestas en línea de gemelos	$ 372.5 millones	42% del mercado digital
Segmento de apuestas móviles	$ 249.38 millones	67% de la plataforma en línea

Ingresos para juegos de casino

Churchill Downs Casino Properties generó $ 517.2 millones en ingresos de los juegos durante 2022, con propiedades clave que incluyen:

• Carreras de parques de césped & Juegos: $ 86.3 millones
• Oxford Casino (Maine): $ 124.6 millones
• Calder Casino (Florida): $ 152.9 millones

Patrocinio y publicidad

Los ingresos por patrocinio para Churchill Downs totalizaron $ 43.7 millones en 2022, con socios principales que incluyen:

• Woodford Reserve (bourbon oficial)
• Jack Daniel's
• Longines

Servicios de suscripción de plataforma digital

La plataforma de apuesta avanzada de gemelos generó $ 47.3 millones a partir de servicios de suscripción y contenido premium en 2022, con aproximadamente 225,000 suscriptores activos.

Nivel de suscripción	Costo mensual	Suscriptores
Nivel básico	$14.99	175,000
Nivel premium	$29.99	50,000

Churchill Downs Incorporated (CHDN) - Canvas Business Model: Value Propositions

You're looking at the core value drivers for Churchill Downs Incorporated as of late 2025, based on their Q2 2025 performance. Here's the quick math on what they are delivering to customers and shareholders.

Iconic Entertainment: The spectacle and tradition of the Kentucky Derby

The 151st running of the Kentucky Derby delivered record engagement across media and wagering, cementing its place as a premier annual event. While ticketing revenue dipped slightly, the overall economic impact from the event was substantial.

The value proposition is quantified by these Q2 2025 figures:

• Derby alone betting totaled $234.4 million, an 11% increase year-over-year.
• The full Derby Day card saw $349 million in all-sources handle, a 9% jump from the prior year.
• Derby Week handle reached nearly $474 million.
• Average viewership for the race was 17.7 million viewers, up 6%, peaking at 21.8 million viewers.
• Churchill Downs Racetrack revenue was up $4.9 million year-over-year, driven by wagering and sponsorship.

Still, the track's adjusted profit saw a minor pullback, declining by about $1 million due to higher pari-mutuel taxes and the high comparison base from the 150th running.

Convenient Wagering: Profitable, accessible online horse racing via TwinSpires

The digital wagering arm, including TwinSpires Horse Racing and Exacta's HRM installations, showed growth, particularly around major events. This provides customers with accessible betting channels.

The Wagering Services and Solutions segment delivered:

Metric	Q2 2025 Amount (in millions)	Year-over-Year Change
Revenue	$168.4	Up 5.3%
Adjusted EBITDA	$48.0	Increase of $1.8

TwinSpires Horse Racing revenue specifically increased by $5.1 million, primarily from higher Derby Week wagering. However, this segment's adjusted profit was pulled down by $2.4 million in increased legal and marketing expenses.

Regional Gaming: Localized, modern Historical Racing Machine entertainment venues

The expansion of Historical Racing Machine (HRM) venues, especially in Kentucky and Virginia, is a major value creator, offsetting softness in other gaming areas.

The Live and Historical Racing segment generated $540.9 million in revenue for Q2 2025, marking a 10.3% increase year-over-year. This growth translated directly to profitability:

• Kentucky HRM venues contributed a $15.3 million increase in Adjusted EBITDA.
• Virginia HRM venues contributed a $3.0 million increase in Adjusted EBITDA.

To be fair, the broader Gaming segment revenue fell 3% to $266.3 million, largely because of the cessation of HRM operations in Louisiana.

High-End Hospitality: Premium seating and dining experiences at flagship venues

Value is delivered through premium experiences at the flagship racetrack, though capital allocation priorities are shifting. The company is focused on targeted upgrades rather than massive overhauls for now.

You see this in the capital plans:

• A roughly $20 million project is slated for completion at Churchill Downs before the 2026 Derby.
• A previously proposed roughly $900 million renovation project at the racetrack is currently listed as "TBD" after being paused.

Shareholder Return: New $500 million share repurchase program approved (Q2 2025)

Churchill Downs Incorporated is actively returning capital to shareholders, signaling management's confidence in the business valuation. The Board approved a new authorization in Q2 2025.

The commitment is clear:

• New common stock repurchase program approved on July 22, 2025, for up to $500 million.
• This new program replaces the prior authorization of the same amount from March 2025.
• During Q2 2025, the company already repurchased 2,565,964 shares for a total cost of $250.4 million.

The company ended Q2 2025 with $182.4 million in cash and cash equivalents.

Churchill Downs Incorporated (CHDN) - Canvas Business Model: Customer Relationships

You're looking at how Churchill Downs Incorporated structures its interactions with its patrons across racing, gaming, and digital platforms as of late 2025. It's a mix of high-touch service for marquee events and automated efficiency for daily digital engagement.

Dedicated VIP host services for high-net-worth casino and Derby patrons

The focus here is on exclusivity and personalized service, often tied to the highest spenders at the racetrack and within the gaming venues. While specific VIP host staffing numbers aren't public, the financial results from premium experiences show where this relationship investment lands. For instance, the 151st Kentucky Derby, which Churchill Downs Incorporated structures with premium offerings, saw all-sources handle for the race itself hit a record of $234.4 million, up 11% from the prior year. Also, the company's Q2 2025 net revenue hit an all-time record of $934.4 million, partly fueled by these high-value customer interactions.

Automated, self-service digital interface for TwinSpires online wagering

The TwinSpires platform serves a segment that values speed and convenience. The digital relationship is transactional and self-directed. For the Kentucky Derby Day program in Q2 2025, TwinSpires handled $108.0 million in wagering, a 17% increase over the prior year's record. However, this digital segment shows near-term risk; TwinSpires Horse Racing saw its adjusted EBITDA decrease by $2.4 million in Q2 2025 due to higher legal expenses and increased marketing spend related to Derby Week. Still, Q3 2025 saw TwinSpires Horse Racing revenue increase by $5.3 million year-over-year, indicating continued digital engagement.

Loyalty programs for regional gaming and HRM venue customers

Churchill Downs Incorporated uses its five-tier FastTrack Rewards program to create stickiness across its growing network of Historical Racing Machine (HRM) and casino properties in five states. This program directly translates gaming activity into tangible benefits, which is key for customer retention. Here's a snapshot of how points are earned, showing the direct link between spend and relationship status:

Venue Type	Tier Point Earning Rate	Redeemable Point Earning Rate
HRM Machines (Kentucky)	1 point per $5 handle	1 point per $5 handle
HRM Machines (Virginia)	1 point per $5 handle	1 point per $10 handle
Slots (IN, NY, MD)	1 point per $5 coin-in	1 point per $5 coin-in

The Live and Historical Racing segment, which includes these venues, generated $540.9 million in revenue in Q2 2025, up 10.3% year-over-year, showing the scale of the customer base participating in these loyalty structures.

High-touch, curated hospitality for Derby week ticket holders

This relationship is time-bound and experience-driven, centered around the Kentucky Derby and Oaks. While Derby Week ticketing revenue dipped slightly compared to the prior year, the overall engagement metrics soared. The 151st Derby drew an average TV audience of 17.7 million viewers (up 6%) and a peak audience of 21.8 million (up 8%). Furthermore, social media impressions during Derby Week reached over 285,000,000, a 67% increase from 2024. The company is investing in smaller, targeted hospitality upgrades, with roughly $30 million in projects planned for Millionaires Row and other exclusive areas, expected to finish before the 2026 Derby.

Direct engagement through retail sportsbooks and casino floors

This covers the in-person, day-to-day interaction at properties like del Lago Resort & Casino and the various HRM sites. The Gaming segment revenue was $266.3 million in Q2 2025, though it saw a 3% decline, partly due to the cessation of HRM operations in Louisiana. Conversely, the overall Live and Historical Racing segment revenue increased by $50.7 million in Q2 2025, driven by Virginia and Kentucky venues. The company is actively managing this relationship portfolio, evidenced by the Q3 2025 repurchase of 515,527 shares for a total cost of $53.5 million, signaling a commitment to shareholder value which underpins the entire business structure.

Finance: draft 13-week cash view by Friday.

Churchill Downs Incorporated (CHDN) - Canvas Business Model: Channels

You're looking at how Churchill Downs Incorporated gets its offerings-from the thunder of hooves to the digital bet slip-into the hands of customers as of late 2025. It's a multi-pronged approach, blending iconic physical locations with growing digital and regional gaming footprints.

Physical Racetracks (e.g., Churchill Downs Racetrack)

The flagship channel remains the physical racetrack, most notably Churchill Downs Racetrack in Louisville, Kentucky. This channel is crucial for major events, driving significant wagering and media exposure.

• Churchill Downs Racetrack conducts live Thoroughbred racing during Spring, September, and Fall Meets.
• The 151st Kentucky Derby in 2025 achieved an all-time record all-sources handle for the Kentucky Derby Race, Kentucky Derby Day Program, and Kentucky Derby Week.
• The 151st Kentucky Derby broadcast drew an average viewership of 17.7 million (up 6% versus the prior year) and a peak viewership of 21.8 million (up 8% versus the prior year).
• Revenue growth at Churchill Downs Racetrack in the second quarter of 2025 was supported by record Spring Meet wagering and growth in Derby Week wagering and licensing/sponsorship revenue.
• Derby Week helps bring over $400 million to the local Louisville economy each year.

Regional Historical Racing Machine (HRM) venues (e.g., Rosie's, The Rose)

This is a major growth channel, heavily weighted toward Historical Racing Machines (HRMs) in states like Virginia and Kentucky. The third quarter of 2025 showed this segment as a primary driver of overall company revenue growth.

The Live and Historical Racing segment saw a significant revenue increase of 21% year-over-year in the third quarter of 2025, with Adjusted EBITDA rising by 25%.

Key revenue contributions to the overall $54.5 million year-over-year net revenue increase in Q3 2025 came directly from these venues:

Channel/Venue Driver	Q3 2025 Revenue Increase (YoY)	Notes
Virginia HRM Venues	$30.1 million increase	Includes $26.0 million net increase from Northern Virginia venues.
Kentucky HRM Venues	$20.9 million increase	Includes a $12.2 million surge from western Kentucky venues.
Casino Salem (NH) Temporary Facility	$2.3 million increase	Contribution from the temporary mini casino facility.

Recent physical channel expansions supporting this include:

• The Rose Gaming Resort in Northern Virginia, which opened in November 2024, has 1,650 HRMs in phase one.
• Owensboro Racing & Gaming opened in Kentucky in the first quarter of 2025 with 600 HRMs.
• Expansion of Rosie's Richmond in Virginia completed on August 6, 2025, adding 450 incremental historical racing machines.
• Roseshire Gaming Parlor opened in Henrico County, Virginia, on September 29, 2025, with 175 historical racing machines.

TwinSpires.com and mobile app for online horse wagering

The digital channel, anchored by TwinSpires.com, captures wagers remotely. This channel saw a positive contribution to revenue in the third quarter of 2025.

• TwinSpires Horse Racing contributed a $5.3 million revenue increase year-over-year in the third quarter of 2025.
• TwinSpires Horse Racing contributed a $0.3 million net increase to Adjusted EBITDA in the third quarter of 2025.
• The company touts TwinSpires as the #1 most profitable horse race wagering platform.

NBC/Peacock for national broadcast and streaming of key events

Media rights and broadcast partnerships serve as a critical channel for reaching national audiences and promoting the core racing product, driving wagering and brand awareness.

• NBC Sports announced it will showcase the Kentucky Oaks on primetime for the first time ever in 2026.
• The 151st Kentucky Derby broadcast in 2025 achieved an average viewership of 17.7 million.

Wholly-owned regional casinos and retail sportsbooks

This channel includes wholly-owned gaming properties, which saw a revenue decrease in Q2 2025 due to the cessation of HRM operations in Louisiana, though other locations provided offsets.

Churchill Downs Incorporated oversees 30 industry-leading regional casinos and HRM/racing properties across 14 states.

The Gaming segment revenue in the third quarter of 2025 was $265.5 million, down from 2024's $270.3 million, a decrease of $4.8 million. This was driven by a $6.1 million loss from the cessation of HRM operations in Louisiana.

The Wagering Services and Solutions segment, which includes sports betting, saw a $0.2 million revenue increase in the third quarter of 2025.

The acquisition of 90% of Casino Salem in New Hampshire was completed on August 27, 2025, for $180 million, adding to the portfolio of wholly-owned assets.

Churchill Downs Incorporated (CHDN) - Canvas Business Model: Customer Segments

Churchill Downs Incorporated serves distinct groups across its racing, gaming, and wagering platforms, with financial performance metrics reflecting the scale of these operations as of late 2025.

Horse Racing Enthusiasts: Patrons of live racing and TwinSpires ADW users

This segment includes those engaging with the core racing product, both in-person at Churchill Downs Racetrack and digitally via TwinSpires (part of the Wagering Services and Solutions segment).

• The 151st Kentucky Derby generated an all-sources handle of $349.0 million for the single day in Q2 2025.
• Viewership for the 151st Kentucky Derby reached an average of 17.7 million viewers, an increase of 6% versus the prior year.
• TwinSpires Horse Racing saw revenue increase by $5.1 million in the second quarter of 2025, driven by higher Derby Week wagering.
• In one reported instance, TwinSpires recorded $108.0 million in bets on the Derby Day races.
• For the third quarter of 2025, the Wagering Services and Solutions segment, which includes TwinSpires, recorded revenue of $127.2 million.

Regional Gaming Patrons: Local customers of HRM and casino properties

These patrons frequent the Historical Racing Machine (HRM) venues and wholly-owned regional casino properties, which are major contributors to the Live and Historical Racing segment.

Metric	Q3 2025 Value (Millions USD)	Source Context
Live and Historical Racing Segment Revenue	$305.7	Surged 21% year-over-year
Virginia HRM Venues Revenue Increase	$30.1	Quarter-over-quarter increase
Kentucky HRM Venues Revenue Increase	$20.9	Quarter-over-quarter increase
Gaming Segment Revenue (Q2 2025)	$266.3	Wholly owned regional properties
Terre Haute Casino Resort Revenue Contribution (Q1 2025)	$31.6	Incremental revenue in the first quarter

The growth in this segment is heavily reliant on the performance of newer and expanded HRM locations, such as the opening of Roseshire Gaming Parlor in September 2025 with 175 historical racing machines.

High-Net-Worth Individuals: Buyers of premium Derby tickets and suites

This group targets premium experiences at Churchill Downs Racetrack, though demand dynamics can shift based on economic conditions.

• Adjusted profit for Churchill Downs Racetrack in Q2 2025 declined by about $1 million due to a decrease in ticketing revenue for Derby Week.
• Lower-tier Kentucky Derby tickets in Q1 2025 were noted as being priced at $1,000-plus.
• The company is planning the $280 million-$300 million Victory Run project to replace older seating and dining areas with premium hospitality offerings, including private suites.

Corporate Sponsors: Brands seeking association with the Derby spectacle

These entities invest in the Derby spectacle for brand association, contributing to non-wagering revenue streams at the Racetrack.

Sponsorship and Licensing revenue for the Kentucky Derby grew in 2025. In Q2 2025, Churchill Downs Racetrack revenue was up $4.9 million year-over-year, partially supported by increased licensing and sponsorship revenue.

Retail Sports Bettors: Users of on-site, brick-and-mortar sportsbooks

This customer base interacts with Churchill Downs Incorporated through its retail and online sports betting operations, which fall under Wagering Services and Solutions.

• The sports betting business contributed an Adjusted EBITDA increase of $0.8 million in the third quarter of 2025.
• In Q1 2025, the company noted a slip in sports wagering of more than $1 million.

Churchill Downs Incorporated (CHDN) - Canvas Business Model: Cost Structure

You're looking at the major financial drains that keep Churchill Downs Incorporated running, which is a mix of massive capital projects, ongoing operational overhead, and regulatory costs. It's a heavy structure, especially with the current investment cycle.

Capital Investment Commitments

Churchill Downs Incorporated has significant capital expenditures tied up in its multi-year enhancement projects at the flagship racetrack. While the initial projection mentioned in your outline was $200-$240 million for 2025, management provided a broader forecast. The total projected capital expenditure for 2025 was set between $350 million and $400 million. A portion of this, specifically for the major racetrack renovations like The Skye Project, Conservatory Project, and Infield General Admission Project, was anticipated to be between $120 million and $130 million in 2025 alone, with completion targeted by the 154th Kentucky Derby in May 2028.

The key components of this capital outlay include:

• The Skye Terrace Renovation and Expansion Project: budgeted at $455 million to $465 million across multiple years.
• The Conservatory Project: budgeted at $320 million to $330 million across multiple years.
• Infrastructure improvements, including a new tunnel to the infield.

Debt Servicing Costs

The balance sheet carries substantial leverage, which translates directly into interest expense. As of the end of the third quarter of 2025, Churchill Downs Incorporated's long-term debt, net of current maturities and loan origination fees, stood at $1,963.2 million. This is definitely close to the $1.9 billion mark you noted. For context, the total interest expense, net, for the second quarter of 2025 was reported as ($74.2 million).

Here is a snapshot of the debt profile as of September 30, 2025, compared to the prior year-end:

Liability Component (in millions)	As of September 30, 2025	As of December 31, 2024
Long-term debt, net	$1,963.2	$1,767.9
Notes payable, net	$3,079.9	$3,076.2

Venue Operations and Personnel Costs

Operating costs are high because Churchill Downs Incorporated manages multiple physical venues across its segments, including racetracks, casinos, and HRM (Historical Racing Machine) locations. Total operating expense for the nine months ended September 30, 2025, reached $1,114.7 million. Employee compensation is a major component of this overhead. While some quarters show lower compensation expense, such as a $1.1 million decrease impacting Q1 2025 Adjusted EBITDA, the overall trend reflects a growing operational footprint, with Q1 2025 administrative costs, including corporate compensation and overhead, rising by $1 million year-over-year.

Marketing, Legal, and Regulatory Outlays

The TwinSpires Horse Racing segment faces specific, often volatile, cost pressures from legal battles and promotional spending. For instance, in the second quarter of 2025, the segment saw a $2.4 million decrease in Adjusted EBITDA, which was attributed to increased legal expenses and higher marketing spend related to Derby Week. Similarly, in the first quarter of 2025, increased legal expenses caused a $1.0 million decrease in Adjusted EBITDA for TwinSpires.

Regulatory and tax costs are also material. The structure of horse racing regulation means costs are passed through to operators. For example, a recommended tax structure included a 1.5 per cent tax rate on all pari-mutuel bets, including online wagering. Furthermore, Churchill Downs Incorporated has been involved in litigation regarding fees imposed by the Horseracing Integrity and Safety Authority (HISA), where the company argued that the fee assessment method, which included a percentage of race purses, was illegal; at one point, the lawsuit noted Churchill Downs owed almost $2.0 million in unpaid fees.

These costs can be broken down by segment impact:

• TwinSpires Horse Racing: Experienced negative EBITDA impact from increased legal expenses in Q1 2025 and Q2 2025.
• Gaming Segment: Experienced a revenue decline in Q2 2025 partly due to the closure of HRM operations in Louisiana, which was tied to regional regulatory changes.
• Regulatory Fees: Litigation has centered on HISA fees, which were assessed based on a percentage of race purses.

Finance: review the Q4 2025 operating expense forecast against the $1.96 billion debt load by next Tuesday.

Churchill Downs Incorporated (CHDN) - Canvas Business Model: Revenue Streams

Churchill Downs Incorporated's revenue streams in late 2025 are anchored by its diversified portfolio across live racing, historical racing, regional gaming, and online wagering platforms.

The Live and Historical Racing revenue segment was the largest contributor, posting $540.9 million in revenue for the second quarter of 2025. This represented a 10.3% increase year-over-year, driven by growth in Historical Racing Machine (HRM) venues in Kentucky and Virginia, including the impact of The Rose facility which opened in Northern Virginia in November 2024.

Gaming revenue from wholly-owned regional casinos was $266.3 million in Q2 2025. This figure reflected a 3% revenue decline, partially due to the cessation of HRM operations in Louisiana and lower contributions from some of the nine other wholly-owned gaming properties.

Online wagering revenue from the TwinSpires platform, categorized under Wagering Services and Solutions, reached $168.4 million in Q2 2025. This segment saw a 5.3% increase, benefiting from record wagering on Derby Week.

The following table summarizes the external customer revenue breakdown for the reportable segments in Q2 2025:

Revenue Stream Category	Q2 2025 Revenue (in millions)	Year-over-Year Change
Live and Historical Racing Revenue	$540.9	Up 10.3%
Gaming Revenue	$266.3	Down 3%
Wagering Services Revenue (including TwinSpires)	$168.4	Up 5.3%

The Kentucky Derby ticketing, licensing, and sponsorship fees are concentrated within the Churchill Downs Racetrack operations. While overall Churchill Downs Racetrack revenue was up $4.9 million year-over-year, this was achieved despite lower ticketing revenue compared to the prior year's historic 150th running. The 151st Kentucky Derby itself generated an all-time record $349 million in all-sources handle for the single race day. Wagering growth across Derby Week was significant, with Derby Day wagering increasing 9% over the previous record.

Food, beverage, and hospitality sales at physical venues are integrated within the segment results, particularly the Live and Historical Racing segment. Specific figures for food, beverage, and hospitality sales separate from ticketing and HRM revenue are not itemized in the Q2 2025 segment disclosures, but the overall strength of the Racetrack is noted:

• Derby Week ticketing revenue was lower than the previous year.
• Growth in wagering and sponsorship revenue offset the ticketing dip at the Racetrack.
• The 151st Derby drew roughly 147,000 fans despite rainy conditions.
• The company sees future growth potential in ticketing, broadcast rights, and sponsorships.