International Speedway Corporation (ISCA) topped market estimates on revenues and profits for the third quarter of 2018. Despite the beat, shares are down over 10% during the first hour of morning trading session, hurt by the trimmed outlook.
Total revenues increased 21% to $159.3 million from the same period last year. Net income surged to about $12 million or $0.27 per share from approx. $0.3 million or $0.01 per share in the prior-year period. Adjusted profit per share rose more than four-fold to $0.26.
The company narrowed its outlook for full-year 2018 and now expects revenues to be $675 million to $680 million and EPS to be $1.90 to $1.95. The Nascar owner had earlier expected revenue to be in the range of $680 million to $695 million and EPS to be in the range of $1.90 to $2.10.
Lesa France Kennedy, CEO said, “Our overall financial results for the third quarter are in line with expectations and the 2018 outlook.”
In June 2018, the board approved a capital project for the redevelopment of the infield of Talladega Superspeedway. The project is included in the company’s capital allocation plan which spans from 2017 through 2021 and is valued at $500 million. The project cost is estimated at around $50 million with construction scheduled to start in the fall of 2018 and be completed in the fall of 2019.
In September, Richmond Raceway debuted the DC Solar Fangrounds. Developments at ISM Raceway and ONE DAYTONA are progressing well while the DAYTONA, the Marriott Autograph Collection hotel, is expected to open in early 2019.