Times have been good for Boyd Gaming. The regional casino operator has been seeing annual gains. Credit goes to recent acquisitions that have upped the traffic from sports bettors.
When the news is good
The figures tell the tale. Recent revenues reached just under $820m for the quarter ending on September 30. This is a marked improvement over 2018 at the same time.
Operating income has been positive, up 63% to $113.4m. As for net income, it has more than tripled to $39.4m.
It is not to discredit Boyd that the 2018 acquisitions have played a large role. Nearly $213m of Q3’s revenue gain and $62.1m in adjusted earnings is surely courtesy of Pinnacle Entertainment properties and Valley Forge Casino in Pennsylvania.
Boyd’s Midwest and South segment has absorbed the new additions. Overall, revenues and adjusted earnings have risen nearly three-fifths to $545.7m and $156.2m, respectively.
As for the Las Vegas Locals segment, revenue jumped 2.2% to $213.3m while earnings rose 6.7% to $64.1m. Just the Downtown Las Vegas segment gained 2.7% to $60.6m while earnings hit a third quarter high of $11.9m.
Bad weather bad news, but there’s more…
While this is a pretty picture, other segments fell short. The Midwest and South region dropped $3-4 million in earnings. Blame Mother Nature for Hurricane Barry in July and Tropical Storm Imelda in September.
In addition, Boyd has a partnership with FanDuel and the stats come with the overall report. Of note, the partners have launched additional (4) betting operations at Boyd’s Midwest properties and online sports betting in the Keystone State.
As a result, the gaming business in Pennsylvania reached over 45% of September wagering. Of late, FanDuel has launched its mobile betting app in Indiana.
Elsewhere, Boyd CEO Keith Smith has commented on the merger of Flutter Entertainment (FanDuel’s parent company) and Canada’s The Stars Group. There is considerable upside to the deal for the Las Vegas gaming and hospitality company. Smith sees more capabilities, more brands, more of everything.