Yahoo Finance Churchill Downs (CHDN) Unveils a New Rosie's Gaming Emporium
Churchill Downs Incorporated CHDN recently announced the opening of a new Rosie’s Gaming Emporium (or Rosie’s Emporia) in Emporia, VA. This marked the seventh Rosie’s gaming property in the state.
The new Rosie’s establishment houses 150 Historical Racing Machines (HRM), simulcast horse racing along with a restaurant and a bar. The new location is accessible from Interstate 95 as well. The opening celebration highlighted the company’s “Rosie’s Gives Back” program with it donating $25,000 to five local charities during the occasion.
Churchill Downs stated that Rosie’s Emporia would create more than 100 full-time as well as part-time jobs. This will be accompanied with the generation of approximately $1 million in annual tax revenues for the city.
Capital Investments – CHDN’s Growth Driver
Churchill Downs tend to focus on strategic project capital investments as its main growth initiative, accompanied by accretive acquisitions. Capital investments primarily reflect organic growth and the expansion of product offerings. For 2023, it has considered $75-$95 million for maintenance and $575-$675 million for new projects.
CHDN currently has a notable project investment lineup, which includes property openings related to The Kentucky Derby, HRM and Gaming. Projects under The Kentucky Derby include Paddock Project and Jockey Club Suites Renovation, both scheduled to be completed by May 2024. Furthermore, under HRM, projects include Kentucky - Derby City Gaming Downtown and Virginia - Dumfries Project, which are slated to be completed by December 2023 and second-quarter 2024, respectively. Also, Kentucky - Ellis Park & Future Annex Oppy and New Hampshire - HRM Facility are included under HRM. Indiana - Terre Haute Casino Resort project under Gaming is scheduled to be completed by the second quarter of 2024.
Moreover, on Aug 22, 2023, the company acquired Exacta Systems, a technology provider, to support HRM operations, for $250 million. The integration of this business will help CHDN to attain significant and immediate cost-saving synergies.
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Shares of CHDN have gained 24.3% in the past year, outperforming the Zacks Gaming industry’s 19.8% growth.
Zacks Rank
Churchill Downs currently carries a Zacks Rank #3 (Hold).
Key Picks
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