Boyd Gaming Corporation has reported a series of increases in its latest financial report as the firm praises the “strong start” that FanDuel sportsbook have had across Pennsylvania, Iowa and Indiana.
On a quarterly basis revenue increased 5.2 per cent from $791.6m to $833.1m, with rises felt across Boyd’s Las Vegas Locals, Downtown Las Vegas and Midwest and South segments.
The latter continues to take the lion’s share with a 7.5 per cent revenue increase during Q4 to $539.7m (2018: $501.8m) with adjusted EBITDAR seeing an 11.1 per cent jump to from $141.8m to $157.4m.
Results reflect strong same-store revenue and Adjusted EBITDAR growth throughout the segment and a strong performance from the newly acquired Ameristar and Belterra properties
The Downtown Las Vegas segment achieved a quarterly Adjusted EBITDAR record for the fifth consecutive quarter, benefiting from ongoing growth in visitation throughout the area. Revenue rose slightly to $69.6m (2018: $67.3m), with adjusted EBITDAR rising 6.5 per cent from $18.4m to $19.6m.
Las Vegas Locals revenue grew in line with expectations to $223.9m (2018: $222.6m), with adjusted EBITDAR growth slowed due largely to a difficult comparison as it reached $73.3m (2018: $73m).
On a quarterly basis net income rose slightly to $24.3m (2018: $22.9m), with adjusted EBITDAR increasing 9.1 per cent from $208.6m to $227.6m.
Full-year revenue rose 26.3 per cent to $3.33m (2018: $2.63m), net income increase 37 per cent to $157.6m (2018: $115m) with adjusted EBITDAR growing 31.6 per cent to $896.7 (2018: $681.3m.
Keith Smith, president and CEO of Boyd Gaming, explained: “Our diversified nationwide portfolio continued to generate strong results in the fourth quarter of 2019, as every segment of our business achieved growth in same-store revenues and adjusted EBITDAR.
“In our Midwest & South region, strong same-store gains were complemented by exceptional performances at the recently acquired Ameristar and Belterra properties, which grew combined adjusted EBITDAR at a double-digit pace while improving operating margins by more than 350 basis points.
“In our Las Vegas Locals segment, revenue growth remained consistent with trends we saw throughout the year, though EBITDAR growth slowed, primarily due to a difficult comparison to a strong fourth quarter of 2018.
“On the sports-betting front, our newly opened FanDuel Sportsbooks helped attract new customers to our properties in Pennsylvania, Indiana and Iowa. As we enter the new year, the underlying trends in our nationwide business remain strong, and we are confident in our prospects for 2020.”
For the full year 2020, Boyd Gaming projects total Adjusted EBITDAR of $915m to $935m.