Churchill Downs Incorporated posted record third-quarter net revenue of $696 million, up 2% from a year earlier, while adjusted EBITDA increased 1% to a record $264 million. Net income attributable to the company reached $80 million, compared with $38 million in the same period of 2025, according to CDI's quarterly release.
The headline net-income increase requires context. The prior-year quarter included a $35 million after-tax impairment related to Chasers' gaming rights. CDI said net income rose $10 million, or 26%, after excluding that impairment and an insurance-recovery comparison. Adjusted EBITDA also benefited from the prior-year insurance item; excluding it, the increase was $6 million, or 2%.
Performance varied across the portfolio. Live and historical racing revenue rose $10 million to $315 million, supported by Kentucky historical racing machine venues, but segment adjusted EBITDA fell $5 million to $111 million. CDI attributed the decline mainly to weaker Virginia results, a prior-year business-interruption recovery and a new tax expense tied to live race days.
The gaming segment delivered a firmer earnings contribution. Revenue increased $7 million to $273 million and adjusted EBITDA rose $5 million to $128 million. CDI cited growth at wholly owned properties in New York, Pennsylvania and Maine, along with stronger equity-investment performance. Wagering services and solutions revenue slipped $1 million to $126 million, while adjusted EBITDA increased $2 million to $48 million.
CDC Gaming's account also notes the board's new $750 million share-repurchase authorization. The programme includes, rather than adds to, the $306 million that remained under the previous authorization on 27 October. CDI bought back $48 million of shares during the quarter and ended September with net bank leverage of 3.8 times.
