Image source: Churchill Downs. What happened Shares of Churchill Downs Inc. (NASDAQ: CHDN) were in the money last month, climbing 14%, according to S&P Global Market Intelligence. The stock got a boost from a strong earnings report at the beginning of the month and continued to grow from there. CHDN data by YCharts. So what The owner of the Churchill Downs racetrack as well as other casinos and entertainment venues delivered another solid quarter thanks to a seventh consecutive record-setting Kentucky Derby week. Revenue increased 7% in the quarter to $438.5 million, driving a 33% increase in EPS to $4.11, topping estimates of $3.57. The Derby makes the second quarter by far the most profitable one for Churchill Downs, meaning the strong bottom-line growth is especially important. Shares gained 5% the day of the report and moved higher through the rest of the month. CEO Bill Carstenjen noted growth in all operating segments as well as record-setting quarters for revenue, net income, and adjusted EBITDA. Revenue growth came primarily from a $20.7 million increase in sales at Big Fish Games, which makes games like Big Fish Casino for computers and mobile devices. Now what Churchill Downs has been a low-profile winner on the market in recent years as shares have more than tripled in the last five years. The combination of horse racing, casinos, and online games makes the company diversified in the industry and provides a portfolio of services that are difficult to disrupt. The way consumers spend money is changing, but horse racing and gaming have proven enduring, and millennials' preference for spending on experiences instead of things should favor Churchill Downs in the years ahead. The company's operating structure also means modest gains in the top line translate to larger ones on the bottom line. I'd expect the stock to continue outperforming. A secret billion-dollar stock opportunity The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early, in-the-know investors! To be one of them, just click here.Jeremy Bowman has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.