Canterbury Park Holding Corp Segments Disclosure
10. OPERATING SEGMENTS
The Company's chief operating decision maker is its Chief Executive Officer and President, Randall D. Sampson. The Company has reportable operating segments: horse racing, Casino, food and beverage, and development. The horse racing segment primarily represents simulcast and live horse racing operations. The Casino segment represents operations of Canterbury Park’s Casino, the food and beverage segment represents food and beverage operations provided during simulcast and live racing, in the Casino, and during special events, and the development segment represents our real estate development operations. The Company’s reportable operating segments are strategic business units that offer different products and services. They are managed separately because the segments differ in the nature of the products and services provided as well as process to produce those products and services. The Minnesota Racing Commission regulates the horse racing and Casino segments.
Depreciation, interest expense, and income taxes are allocated to the segments but no allocation is made to food and beverage for shared facilities. However, the food and beverage segment pays approximately 25% of gross revenues earned on special event days to the horse racing segment for use of the facilities.
The following tables represent a disaggregation of revenues from contracts with customers along with the Company’s operating segments (in 000’s):
| Year Ended December 31, 2025 | ||||||||||||||||||||
| Horse Racing | Casino | Food and Beverage | Development | Total | ||||||||||||||||
| Net revenues from external customers | $ | 13,545 | $ | 37,087 | $ | 8,936 | $ | — | $ | 59,568 | ||||||||||
| Intersegment revenues | 329 | — | 1,245 | — | 1,574 | |||||||||||||||
| Net interest income | 596 | — | — | 1,371 | 1,967 | |||||||||||||||
| Depreciation | 3,563 | 301 | 134 | — | 3,998 | |||||||||||||||
| Segment (loss) income before income taxes | (3,319 | ) | 4,863 | 1,745 | (4,103 | ) | (814 | ) | ||||||||||||
| Segment tax (benefit) expense | (1,161 | ) | 1,702 | 610 | (1,436 | ) | (285 | ) | ||||||||||||
| At December 31, 2025 | ||||||||||||||||||||
| Segment assets | $ | 106,526 | $ | 740 | $ | 38,129 | $ | 35,949 | $ | 181,344 | ||||||||||
| Year Ended December 31, 2024 | ||||||||||||||||||||
| Horse Racing | Casino | Food and Beverage | Development | Total | ||||||||||||||||
| Net revenues from external customers | $ | 13,967 | $ | 38,775 | $ | 8,820 | $ | — | $ | 61,562 | ||||||||||
| Intersegment revenues | 281 | — | 1,325 | — | 1,606 | |||||||||||||||
| Net interest income | 1,014 | — | — | 1,058 | 2,072 | |||||||||||||||
| Depreciation | 3,157 | 301 | 163 | — | 3,621 | |||||||||||||||
| Segment (loss) income before income taxes | (1,838 | ) | 5,855 | 1,891 | (2,871 | ) | 3,037 | |||||||||||||
| Segment tax (benefit) expense | (559 | ) | 1,781 | 575 | (873 | ) | 924 | |||||||||||||
| At December 31, 2024 | ||||||||||||||||||||
| Segment assets | $ | 99,810 | $ | 1,041 | $ | 35,679 | $ | 39,088 | $ | 175,618 | ||||||||||
The following are reconciliations of reportable segment revenues, income before income taxes, and assets, to the Company’s consolidated totals for the years ended December 31, 2025 and 2024 (in 000’s):
| Year Ended December 31, | ||||||||
| 2025 | 2024 | |||||||
| Revenues | ||||||||
| Total net revenue for reportable segments | $ | 61,142 | $ | 63,168 | ||||
| Elimination of intersegment revenues | (1,574 | ) | (1,606 | ) | ||||
| Total consolidated net revenues | $ | 59,568 | $ | 61,562 | ||||
| Income (loss) before income taxes | ||||||||
| Total segment income before income taxes | $ | 1,710 | $ | 5,661 | ||||
| Elimination of intersegment loss before income taxes | (2,524 | ) | (2,624 | ) | ||||
| Total consolidated income before income taxes | $ | (814 | ) | $ | 3,037 |
| December 31, | December 31, | |||||||
| 2025 | 2024 | |||||||
| Assets | ||||||||
| Total assets for reportable segments | $ | 181,344 | $ | 175,618 | ||||
| Elimination of intercompany balances | (68,763 | ) | (65,695 | ) | ||||
| Total consolidated assets | $ | 112,581 | $ | 109,923 | ||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 10, 2026 | Showing above |
| 2024 | Mar 11, 2025 | |
| 2023 | Mar 12, 2024 | |
| 2022 | Mar 21, 2023 | |
| 2021 | Mar 21, 2022 | |
| 2020 | Mar 24, 2021 | |
| 2019 | Mar 26, 2020 | |
| 2018 | Mar 29, 2019 | |
| 2017 | Mar 27, 2018 | |
| 2016 | Mar 30, 2017 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.