Boyd Gaming has unveiled its Q4 2023 earnings report, reaching $954.4 million in revenue during the period, an increase of 3.4% from the same period last year, this was due to growth in the online segment. Meanwhile, for the full year 2023, the company reported revenues of $3.7 billion, up 5.2% year-on-year and an all-time high.
However, net income for the fourth quarter of 2023 amounted to $92.6 million, or $0.94 per share, which marks a decline from the $172.7 million, or $1.63 per share, recorded for the same quarter in 2022. Adjusted EBITDAR for Q4 was $355.5 million, versus $360.1 million in the fourth quarter of 2022.
Breaking down the revenue by segments, gaming revenue slipped 1.0% to $647.1 million, but there was growth across food and beverage, rooms, and management fees revenue.
Costs-wise, operating expenses increased 19.4% to $799.4 million and finance costs were higher at $41.8 million. This, coupled with only modest revenue growth, meant pre-tax profit declined 49.9% to $113.2 million.
Keith Smith, President and Chief Executive Officer of Boyd Gaming
Keith Smith, President and Chief Executive Officer of Boyd Gaming, said: “The fourth quarter’s strong performance was a fitting conclusion to another record year for our company. Our fourth-quarter and full-year results were driven by our diversified portfolio, consistent core customer trends, and solid returns from our recent property investments.
“Our management teams continued to demonstrate their ability to efficiently manage the business, achieving property-level operating margins above 40% for both the fourth quarter and the full year. And as part of our balanced approach to capital allocation, we returned more than $475 million to our shareholders in 2023 while investing in our properties and maintaining the strongest balance sheet in our company’s history, he added.
Full-year overview
Breaking down the results in full, Boyd reported a 2.3% drop in gaming revenue to $2.61 billion in 2023. However, food and beverage revenue climbed 4.5% to $288.4 million and rooms revenue 5.3% to $199.1 million.
There was an increase in management fee revenue to $76.9 million, with other revenue also rising 2.7% to $138.5 million. However, it was online that was the star performer for Boyd in 2023 with revenue up 66.2% to $422.2 million, making it the second-highest contributor to revenue at Boyd behind casino gaming.
As for segmental performances, Midwest and South led the way with $2.04 billion in revenue, down 1.7%. Aditionally, Las Vegas Locals’ revenue slipped 0.3% to $928.1 million but Downtown Las Vegas revenue edged up 3.3% to $222.4 million.
Turning to spending, operating costs for the year reached $2.84 billion, up 10.2%. Gaming was the main cost at $1.00 billion, with selling, general, and administrative at $389.9 million and online at $359 million.
Boyd noted a further $148.9 million in finance-related costs, leaving a pre-tax profit for 2023 of $752.9 million, down 9.2% year-on-year. After paying $132.9 million in tax, Boyd reported a net profit of $620 million, a decline of 2.0% from 2022.
“Looking ahead, we remain confident in our ability to continue delivering profitable growth and creating long-term shareholder value,” the CEO concluded.
Original article: https://www.yogonet.com/international/noticias/2024/02/09/70766-boyd-gaming-reports-record-revenue-of-37b-in-fullyear-2023-driven-by-online-segment
