Canterbury Park Holding Corporation (NASDAQ:CPHC) today announced results for the first quarter ended March 31, 2010.
Canterbury Park Holding Corporation (the “Company”) reported a net loss of $639,641 on net revenues of $7,788,613 for the three months ended March 31, 2010, compared to net income of $316,774 on net revenues of $8,211,522 for the same period in 2009. The diluted loss per share in the first quarter of 2010 was $.16 compared to diluted earnings per share of $.08 for the same period last year. The loss was principally due to a one-time $909,540 expense resulting from the write-off of assets related to the renovation of our existing card room in the first quarter. Excluding this non-cash charge, net income for the first quarter was $100,099, resulting in diluted earnings per share of $.02.
Net revenues in the first quarter declined 5.2% from the comparable period in 2009 due to declines in both pari-mutuel and card room revenues. Pari-mutuel revenues decreased 9.3% to $1,821,031 partially due of the cancellation of many races around the country during the quarter because of inclement weather. Poker revenue decreased $419,047, or 13.2% compared to the first quarter of 2009. The declines in simulcast and poker revenues reflect the continued negative affects of the economic downturn as well as an increasing number of Minnesota residents unlawfully wagering on poker and horse racing by means of the Internet. In spite of the economy, our table games revenue increased $166,596, or 10.4%, compared to the same quarter in 2009. The Company believes its expanded variety of gaming options and smoke-free atmosphere have resulted in an increased market share in table games.
Operating expenses were held in check as a result of various cost cutting initiatives that were implemented in 2009. Excluding the one-time cost associated with the loss on assets disposed of during the renovation of our card room, the Company incurred $7,668,767 in operating expenses during the first quarter of 2010 compared to $7,633,035 during the first quarter of 2009, an increase of less than 1%. Additional information regarding first quarter 2010 results is presented in the accompanying table and in our Form 10Q report that will be filed on May 17, 2010.