Operator News
US – Downtown casinos performing at record levels for Boyd
By Phil - 29 October 2018
Boyd Gaming reported third-quarter revenues of $612.2m, up 3.5 per cent from $591.5m, for the third quarter ended September 30, 2018, with the company’s three downtown properties performing at record levels during the third quarter, due to continued strength in visitation throughout the downtown area and strong business volumes from the company’s Hawaiian customer base.
The Las Vegas Locals segment delivered its 14th consecutive quarter of Adjusted EBITDA growth and margin improvement, driven by ongoing marketing and operational refinements, as well as continued strength in the regional economy.
In the Downtown Las Vegas segment, revenues were $59.2m in the third quarter of 2018, up from $58.8m in the year-ago period.
In the Midwest and South segment, revenues were $344.3m, increasing from $323.1min the third quarter of 2017. Adjusted EBITDA was $97.8m, up 8.5 per cent from $90.1m in the year-ago period. Results for the segment include $3.5 million in combined Adjusted EBITDA contributions from Valley Forge Casino Resort, acquired on September 17, 2018, and Lattner Entertainment, acquired on June 1, 2018.
Keith Smith, President and Chief Executive Officer of Boyd Gaming, said: “Over the last several months we significantly bolstered our Company’s long-term growth prospects with the acquisition of five new properties in four states, further expanding our geographic reach and significantly strengthening our robust free cash flow. In addition, our recent strategic partnership with FanDuel Group puts us in strong position to take full advantage of emerging sports-betting and interactive gaming opportunities that will expand our appeal to new groups of customers nationwide.”
Mr. Smith added: “Positive operating trends remained firmly in place throughout our business in the third quarter. As a result of our ongoing efforts to drive marketing and operational efficiencies throughout the business, we continued to deliver same-store Adjusted EBITDA growth in both the Las Vegas Locals and Midwest and South segments. In addition, Companywide operating margins reached their highest third-quarter levels since 2005. This was yet another great quarter for our Company, and I remain confident in our future prospects as we successfully execute a well-balanced strategic plan to create long-term value for our shareholders.”
