Dover Motorsports (DVD) 8-K Dover Motorsports, Inc. Reports Results

Exhibit 99.1

FOR IMMEDIATE RELEASE	For further information, call:
	Timothy R. Horne - Sr. Vice President - Finance
Dover, Delaware, April 25, 2013	(302) 857-3292

DOVER MOTORSPORTS, INC. REPORTS RESULTS

FOR THE QUARTER ENDED MARCH 31, 2013

Dover Motorsports, Inc. (NYSE: DVD) today reported its results for the quarter ended March 31, 2013.

The Company historically reports a loss in the first quarter due to the seasonality of our motorsports business. No major events were promoted during the first quarter of 2013 or 2012; therefore, our revenues were minimal.

Operating and marketing expenses of $1,054,000 in the first quarter of 2013 decreased slightly from $1,100,000 in the first quarter of 2012.

General and administrative expenses of $1,911,000 in the first quarter of 2013 were down slightly from $1,970,000 in the first quarter of 2012.

Depreciation expense remained consistent at $825,000 in the first quarter of 2013 compared to $837,000 in the first quarter of 2012.

Net interest expense was $275,000 in the first quarter of 2013 compared to $401,000 in the first quarter of 2012. The decrease is primarily due to lower average outstanding borrowings in the first quarter of 2013 compared to the first quarter of 2012.

The effective income tax rate was a benefit of 39.8% for the first quarter of 2013 compared to a benefit of 36.7% for the first quarter of 2012.

Net loss for the first quarter of 2013 was $2,279,000 or $.06 per diluted share compared with a loss of $2,623,000 or $.07 per diluted share in the first quarter of 2012.

At March 31, 2013, the Company’s total indebtedness was $21,200,000 compared with $30,120,000 at March 31, 2012.

* * *

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. is a leading promoter of NASCAR sanctioned and other motorsports events in the United States whose subsidiaries own and operate Dover International Speedway in Dover, Delaware and Nashville Superspeedway near Nashville, Tennessee. For further information, log on todovermotorsports.com.

DOVER MOTORSPORTS, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

In Thousands, Except Per Share Amounts

(Unaudited)

	Three Months Ended March 31,
	2013			2012
Revenues:
Event-related	$	109		$	119
Other		7			7
		116			126
Expenses:
Operating and marketing		1,054			1,100
General and administrative		1,911			1,970
Depreciation		825			837
		3,790			3,907
Operating loss		(3,674	)		(3,781	)
Interest expense, net		(275	)		(401	)
Provision for contingent obligation		22			40
Other income		139			—
Loss before income taxes		(3,788	)		(4,142	)
Income tax benefit		1,509			1,519
Net loss	$	(2,279	)	$	(2,623	)
Net loss per common share:
Basic	$	(0.06	)	$	(0.07	)
Diluted	$	(0.06	)	$	(0.07	)
Weighted average shares outstanding:
Basic		36,397			36,297
Diluted		36,397			36,297

DOVER MOTORSPORTS, INC.

CONSOLIDATED BALANCE SHEETS

In Thousands

(Unaudited)

	March 31, 2013			March 31, 2012			December 31, 2012
ASSETS
Current assets:
Cash	$	42		$	12		$	15
Accounts receivable		1,736			3,269			224
Inventories		125			115			124
Prepaid expenses and other		1,578			1,441			1,222
Prepaid income taxes		318			331			—
Deferred income taxes		78			74			78
Total current assets		3,877			5,242			1,663
Property and equipment, net		92,123			95,633			92,896
Other assets		719			772			738
Deferred income taxes		459			454			490
Total assets	$	97,178		$	102,101		$	95,787
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	281			195		$	145
Accrued liabilities		1,886			1,766			2,903
Payable to Dover Downs Gaming & Entertainment, Inc.		—			1			—
Income taxes payable		—			—			132
Deferred revenue		6,945			9,161			2,719
Total current liabilities		9,112			11,123			5,899
Revolving line of credit		21,200			30,120			19,700
Liability for pension benefits		2,997			2,652			3,065
Other liabilities		1,912			2,215			1,934
Deferred income taxes		16,075			13,566			17,096
Total liabilities		51,296			59,676			47,694
Stockholders’ equity:
Common stock		1,848			1,838			1,836
Class A common stock		1,851			1,851			1,851
Additional paid-in capital		102,191			101,942			102,166
Accumulated deficit		(57,535	)		(60,975	)		(55,256	)
Accumulated other comprehensive loss		(2,473	)		(2,231	)		(2,504	)
Total stockholders’ equity		45,882			42,425			48,093
Total liabilities and stockholders’ equity	$	97,178		$	102,101		$	95,787

DOVER MOTORSPORTS, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

In Thousands

(Unaudited)

	Three Months Ended March 31,
	2013			2012
Operating activities:
Net loss	$	(2,279	)	$	(2,623	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation		825			837
Amortization of credit facility fees		57			55
Stock-based compensation		98			91
Deferred income taxes		(1,196	)		(1,189	)
Provision for contingent obligation		(22	)		(40	)
Gain on sale of property and equipment		(138	)		—
Changes in assets and liabilities:
Accounts receivable		(1,512	)		(2,580	)
Inventories		(1	)		—
Prepaid expenses and other		(365	)		(191	)
Prepaid income taxes/income taxes payable		(266	)		(475	)
Accounts payable		136			79
Accrued liabilities		(1,017	)		(818	)
Payable to/receivable from Dover Downs Gaming & Entertainment, Inc.		—			12
Deferred revenue		4,226			6,032
Other liabilities		(44	)		(36	)
Net cash used in operating activities		(1,498	)		(846	)
Investing activities:
Capital expenditures		(52	)		(90	)
Proceeds from the sale of property and equipment		138			—
Net cash provided by (used in) investing activities		86			(90	)
Financing activities:
Borrowings from revolving line of credit		2,840			2,260
Repayments on revolving line of credit		(1,340	)		(1,300	)
Repurchase of common stock		(61	)		(27	)
Net cash provided by financing activities		1,439			933
Net increase (decrease) in cash		27			(3	)
Cash, beginning of period		15			15
Cash, end of period	$	42		$	12