Operating Segments

12 Months Ended

Dec. 31, 2016

Operating Segments [Abstract]

Operating Segments

10.OPERATING SEGMENTS

The Company has three reportable operating segments: horse racing, Card Casino, and food and beverage.  The horse racing segment primarily represents simulcast and live horse racing operations.  The Card Casino segment represents operations of Canterbury Park’s Card Casino, and the food and beverage segment represents food and beverage operations provided during simulcast and live racing, in the Card Casino, and during special events.  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 Card 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 live racing and special event days to the horse racing segment for use of the facilities. 

The following tables provide information about the Company’s operating segments (in 000’s):

	Year Ended December 31, 2016
	Horse Racing		Card Casino		Concessions		Total
Net revenues from external customers	$	15,024	$	29,253	$	8,183	$	52,460
Intersegment revenues		738		-		1,375		2,113
Net interest expense		21		-		-		21
Depreciation		2,062		317		169		2,548
Segment (loss) income before income taxes		4,487		3,044		866		8,397
	At December 31, 2016
Segment Assets	$	48,302	$	478	$	19,039	$	67,819

	Year Ended December 31, 2015
	Horse Racing		Card Casino		Concessions		Total
Net revenues from external customers	$	14,979	$	29,016	$	8,268	$	52,263
Intersegment revenues		750		-		1,397		2,147
Net interest income		3		-		-		3
Depreciation		1,737		423		138		2,298
Segment (loss) income before income taxes		(1,209)		5,806		1,363		5,960
	At December 31, 2015
Segment Assets	$	44,283	$	795	$	17,303	$	62,381

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, 2016 and 2015 (in 000’s):

	2016		2015
Revenues
Total net revenue for reportable segments	$	54,572	$	54,410
Elimination of intersegment revenues		(2,112)		(2,147)
Total consolidated net revenues	$	52,460	$	52,263

Income before income taxes
Total segment income before income taxes	$	8,397	$	5,960
Elimination of intersegment income before income taxes		(1,277)		(1,343)
Total consolidated income before income taxes	$	7,120	$	4,617

	December 31,		December 31,
	2016		2015
Assets
Total assets for reportable segments	$	67,819	$	62,381
Elimination of intercompany receivables		(18,194)		(17,040)
Total consolidated assets	$	49,625	$	45,341