Dover Motorsports, Inc. Reports Results for the Third Quarter of 2013
Dover Motorsports, Inc. (NYSE: DVD) today reported its results for the third quarter ended September 30, 2013.
The Company promoted a NASCAR triple-header in Dover during the third quarter of 2013 and 2012. Revenues for the third quarter of 2013 were $ 21,470,000 compared with $ 22,773,000 in the third quarter of 2012. However, results for the quarters are not comparable since revenues and expenses associated with the annual Firefly Music Festival held on our property are in the third quarter of 2012 but in the second quarter of 2013. The decrease in revenues was primarily due to the timing of the festival and lower NASCAR admissions revenue, partially offset by an increase in broadcasting revenue.
Operating and marketing expenses were $ 11,618,000 in the third quarter of 2013 compared to $ 12,075,000 in the third quarter of 2012. The decrease was primarily due to the timing of the Firefly Music Festival, partially offset by an increase in purse and sanction fees and increased promotion and security costs during the Dover NASCAR weekend.
General and administrative expenses of $ 1,732,000 in the third quarter of 2013 were comparable to $ 1,723,000 in the third quarter of 2012.
Net interest expense decreased to $ 237,000 in the third quarter of 2013 from $ 332,000 for the third quarter of 2012. The decrease was due to lower interest rates and lower average outstanding borrowings in the third quarter of 2013 compared to 2012.
Earnings before income tax expense for the third quarter of 2013 decreased to $ 7,111,000 from $ 7,746,000 in the third quarter of 2012.
Net earnings for the third quarter of 2013 decreased to $ 4,158,000 or $ 0.11 per diluted share from $ 4,532,000 or $ .12 per diluted share for the third quarter of 2012.
The Company announced yesterday that its Board of Directors declared an annual cash dividend on both classes of common stock of $ .05 per share. The dividend will be payable on December 10, 2013 to shareholders of record at the close of business on November 11, 2013. Due to the seasonal nature of our business, we will evaluate dividends annually.
During the third quarter of 2013, the Company repurchased 235,943 shares of its common stock on the open market at prices ranging from approximately $ 2.16 to $ 2.47 per share. For the nine months ended September 30, 2013, the Company repurchased 315,839 shares of its common stock on the open market at prices ranging from $ 2.05 to $ 2.47 per share.
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.