Dover Motorsports, Inc. Reports Results for the Third Quarter of 2017
DOVER, Del. - Dover Motorsports, Inc. (NYSE: DVD) today reported results for the three months ended September 30, 2017.
Our fall NASCAR event weekend, which consists of a K&N Pro Series East event, an XFINITY Series event, and a Monster Energy Cup Series event was held on September 29, 2017 to October 1, 2017 and September 30, 2016 to October 2 in 2016. As a result, the XFINITY Series event was held during the third quarter of 2017 and the fourth quarter of 2016.
Revenues for the third quarter of 2017 were $ 2,740,000 compared with $ 369,000 in the third quarter of 2016. Operating and marketing expenses were $ 3,485,000 in the third quarter of 2017 compared to $ 1,387,000 in the third quarter of 2016. Both increases were primarily from the timing of the XFINITY Series races previously mentioned.
General and administrative expenses of $ 1,770,000 in the third quarter of 2017 were comparable to $ 1,799,000 in the third quarter of 2016.
Depreciation expense increased to $ 863,000 in the third quarter of 2017 compared to $ 828,000 in the third quarter of 2016.
Net interest expense of $ 34,000 in the third quarter of 2017 was comparable to $ 41,000 in the third quarter of 2016.
Loss before income taxes for the third quarter of 2017 was ($ 3,396,000) compared to ($ 3,679,000) in the third quarter of 2016.
Net loss for the third quarter of 2017 was ($ 2,015,000) or ($ 0.06) per diluted share compared to ($ 2,167,000) or ($ 0.06) per diluted share for the third quarter of 2016.
At September 30, 2017, the Company’s total indebtedness was $ 5,880,000 compared with $ 8,060,000 at September 30, 2016.
On August 17, 2017, we entered into an agreement with an entity owned by Panattoni Development Company, an international commercial real estate development company, relative to the sale of approximately 150 acres at our Nashville Superspeedway at a purchase price of $ 35,000 per acre. Closing under this agreement is scheduled to occur by the end of the year, subject to extension if certain milestones have been met (which could delay closing until the first quarter of 2018). Additionally, we granted the prospective buyer a three-year option on an additional 87 acres at $ 55,000 per acre. We will continue with our effort to sell the approximately 1,150 acres of Nashville Superspeedway property that would remain after these transactions.
The Company announced yesterday that its Board of Directors declared an annual cash dividend on both classes of common stock of $ .08 per share. The dividend will be payable on December 10, 2017 to shareholders of record at the close of business on November 10, 2017. Due to the seasonal nature of our business, we will evaluate dividends annually.
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This release contains or may contain forward-looking statements based on management's beliefs and assumptions. Such statements are subject to various risks and uncertainties which could cause results to vary materially. Please refer to the Company's SEC filings for a discussion of such factors.
Dover Motorsports, Inc. (NYSE: DVD) is a leading promoter of NASCAR sanctioned motorsports events whose subsidiaries own and operate Dover International Speedway in Dover, Del., and Nashville Superspeedway near Nashville. The company also plays host to the Firefly Music Festival, produced by Red Frog Events and Goldenvoice. For more information, visit www.DoverMotorsports.com.