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Boyd Gaming breaks quarterly records in strong end to 2021

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Boyd Gaming ended 2021 with a strong performance across the business as revenue and earnings beat pre-pandemic figures.

In a statement, the US land-based casino operator said revenue for the three months to 31 December was at $879.8m, up considerably on the Covid-impacted $635.9m reported in 2020 and 5.6% more than the same period in 2019.

Its Midwest & South segment accounted for $590.1m of that total, with Las Vegas Locals at $236.3m and Downtown Las Vegas at $53.5m.

Within the total revenue figure, gaming contributed $685.9m, with food and beverage at $67.4m, room receipts at $44.8m and other income at $81.8m.

Boyd said 24 of its 27 open properties delivered double-digit revenue growth during the quarter as compared to the prior-year period

For the full year 2021, Boyd Gaming reported revenues of $3.4bn, compared to $2.2bn for the full year 2020, which was significantly impacted by state-mandated COVID-19 property closures that began in mid-March 2020 and continued through the second quarter of 2020, as well as increased operating restrictions and additional property closures throughout the second half of the year.

Gaming revenue was at $2.7bn in 2021 compared to $1.8bn in the prior-year period.

Total operating costs for the quarter were at $662.9m, up by 26.3% on the $524.6m posted in Q4 2020. The biggest expenditure was on gaming at $258.4m, with selling, general and administrative at $94.5m.

For the full year, operating costs were at $2.5bn compared to $2.2bn in 2020.

Total adjusted earnings before interest, taxes, depreciation, amortisation and rental costs (EBITDAR) for Q4 was $347.3m in the fourth quarter of 2021, increasing 65.0% from $210.5m in the fourth quarter of 2020. That total figure included $226.8m from Midwest & South, $123.6m in Las Vegas Locals and $20.2m from Downtown Las Vegas.

Net income, after income tax of $35.5m, for 2021 was $109.8m compared to $83.3m in the prior-year period.

Total adjusted EBITDAR for the full year was at $1.4bn, which was up 129.5% on the $609.9m posted in 2020. Net income for 2021 was $463.8m compared to a loss of $134.7m in 2020, which included $174.7m in noncash, pretax intangible asset impairment charges.

Keith Smith, president and chief executive of Boyd Gaming, said: “Our company finished 2021 with record quarterly performances across every segment of our operations. For the fourth straight quarter, we set new records for company-wide EBITDAR and operating margins. And on a full-year basis, we surpassed our previous EBITDAR record by more than 50%, as we achieved company-wide operating margins of more than 40%.

“As we begin 2022, we remain focused on executing our proven operating strategy, as well as driving incremental growth through strategic reinvestments in our portfolio and the continued expansion of our online business.”