ISC reports drop in quarterly earnings, revenues
Revenue and earnings for International Speedway Corp. dropped sharply in the third quarter, with company officials attributing it Thursday to changes in NASCAR's race schedule, less revenue from corporate sponsors and satellite radio, and, of course, the struggling economy.
Daytona Beach-based ISC reported a $1 million net loss on Thursday for the quarter that ended Aug. 31, down from a $9.7 million net profit for the same quarter a year ago. Revenues also fell sharply to $115.9 million, from $150.3 million for the same quarter a year ago — a 22.9 percent decline.
ISC officials said the big reasons for lower revenues were NASCAR's shifting its races at Kansas Speedway to the second quarter this year, as opposed to the third quarter last year, and eliminating a NASCAR Nationwide Series race in Montreal, Canada.
ISC owns or operates 13 motorsports racetracks across the country, including Daytona International Speedway.
“Adjusting for the schedule changes, . . . total revenues (for the third quarter) were down only slightly, approximately 3 percent, from the comparable period delivering core business results within our range of expectations,” said Lesa France Kennedy, ISC's chief executive officer, in a conference call with stock analysts.
Through the first nine months of this year, ISC has generated a net profit of $29.8 million and $422.9 million in revenues, down from a net profit of $42.9 million and $437.7 million in revenues for the same period last year.
ISC officials said other factors contributing to the drop in revenues and earnings included NASCAR's new multiyear contract with Sirius XM Radio Inc., which will bring in $8 million less in annual revenues this year for ISC than the previous contract with the satellite radio broadcaster.
Earnings at a glance
THIRD QUARTER 2012
Net loss:$1 million
THIRD QUARTER 2011
Net profit:$9.7 million
SOURCE: International Speedway Corp.