35.6% EBITDA Growth. No Debt. Bigger Ambitions – Canterbury Park Is Quietly Evolving Under Randy Sampson
Canterbury Park Holding Corporation reported first-quarter revenue growth and sharply higher EBITDA as the Minnesota gaming and entertainment operator continued expanding its non-gaming and real estate operations.
The company posted Q1 net revenue of $13.5m, up 2.8% year-on-year, while adjusted EBITDA increased 35.6% to $2.85m. Net income totaled $170,000 compared with a $299,000 loss in the prior-year period.
Management attributed the EBITDA expansion primarily to disciplined operating costs and continued growth in higher-margin food, beverage and entertainment revenue streams.
Casino Growth Offset by Weak Table Hold
Casino revenue increased marginally to $9.24m despite what management described as historically weak table-game hold during March. Food and beverage revenue rose 13.8% year-on-year to $1.85m, while other revenue increased 12.5% to $1.4m. Pari-mutuel revenue declined 5.6% amid lower national simulcast activity.
Operating expenses were effectively flat year-on-year at $12.45m despite rising property taxes and event-related promoter fees. Labor expenses declined 4% during the quarter as the company continued cost-control initiatives.
The results continue to highlight Canterbury’s increasing reliance on non-racing revenue streams as the company broadens its entertainment and mixed-use development footprint around its Shakopee property.
Amphitheater Opening Expected to Boost Cross-Property Traffic
A key near-term catalyst is the planned June 2026 opening of the 19,000-capacity amphitheater being developed by Swervo Development Corporation and operated by Live Nation Entertainment. Management said more than 40 concerts are scheduled for the venue’s inaugural season, including performances by Chris Stapleton, Guns N’ Roses and Dave Matthews Band.
Management expects the amphitheater to increase cross-property visitation across gaming and hospitality operations following its opening.
The company is also advancing development plans tied to a 25-acre parcel adjacent to the venue. Proposed concepts include hotel, retail, office and entertainment uses being designed in partnership with architecture firm Gensler and the City of Shakopee.
Real Estate Portfolio Becoming Larger Earnings Contributor
Canterbury continued reporting strong leasing activity across its Canterbury Commons mixed-use development.
Highlights included:
- 94% leasing at Phase II of Triple Crown Residences
- 72% occupancy at Phase I
- 99% occupancy at The Omry senior apartment development
- 80% leasing at the recently completed 28,000-square-foot office building in Winners Circle
The company said Boardwalk Kitchen & Bar, opened through a joint venture with Trackside Holdings, is generating additional traffic across the broader complex.
The continued stabilization of residential and commercial assets is gradually improving the earnings contribution of Canterbury’s real estate joint ventures, although equity investment losses remained elevated due largely to depreciation, amortization and interest expense tied to development activity.
Equity investment losses improved to $1.2m from $1.6m in the prior-year quarter.
Balance Sheet Remains Debt-Free
Canterbury ended the quarter with more than $17m in liquidity and no debt. Management also highlighted more than $20m in tax increment financing receivables and approximately 50 acres of undeveloped land still carried at historical cost on the balance sheet.
The results further reflect Canterbury’s shift toward a diversified regional gaming and mixed-use entertainment model, with management increasingly prioritizing recurring non-gaming income streams alongside casino operations.
Source: Canterbury Park
