Boyd Gaming revenues suffer at the hands of Hurricane Harvey
Boyd Gaming reported third-quarter 2017 net revenues of $588m, an increase of 10.5% from $531.9m in the year-ago quarter, driven by gains at its newly acquired properties in Las Vegas.
Results for the current year include the operations of Aliante, acquired by the Company on September 27, 2016, as well as Cannery and Eastside Cannery, acquired on December 20, 2016.
Keith Smith, President and Chief Executive Officer of Boyd Gaming, said: “We were pleased with our performance in the third quarter, and the continuation of positive trends throughout the business.
“Every Las Vegas Locals property grew Adjusted EBITDA at a double-digit pace, and on a same-store basis we reported our best third-quarter results in nearly a decade. Our newly acquired properties once again delivered strong growth, and each has achieved double-digit Adjusted EBITDA increases during every quarter under our ownership.
“We saw encouraging results throughout our Midwest and South segment, which would have produced year-over-year Adjusted EBITDA growth had it not been for disruption from Hurricane Harvey.
“This strong operational performance is further enhancing our free cash flow, allowing us to continue to re-invest in our business, deleverage our balance sheet, and return capital to our shareholders.”
However, despite the promising results, the company said it has seen a greater effect on its business from Hurricane Harvey than from the tragic Las Vegas mass shooting.
Boyd casinos near the strip experienced a slight uptick in cancellations directly after the shooting. Although Smith told Wall Street analysts that business at the properties quickly returned back to normal, saying: “We are not really seeing an impact to the overall business.”
However, Boyd’s Delta Downs Racetrack Casino in Louisiana was shut for several days as Hurricane Harvey dumped several feet of rainfall on the Gulf region.
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