Boyd Gaming Corporation announced a revenue of $1.04 billion for the fourth quarter of 2024, a 4.8% increase year-over-year, with annual revenue reaching $3.93 billion, up by 5.4%.
The company's net income for the fourth quarter soared to $170.5 million, an 84.1% increase from the $92.6 million reported in the fourth quarter of 2023, despite last year's performance being impacted by a $103.3 million non-cash impairment charge.
Adjusted EBITDAR for the fourth quarter grew to $379.3 million, up 6.7% from $355.5 million in the fourth quarter of 2023, while the full-year adjusted EBITDAR remained stable at $1.39 billion.
Market Performance and Segment Growth
Boyd Gaming's Midwest and Southern divisions played a key role in revenue growth, continuing the trend from the third quarter of 2024, with the region's revenue increasing by 6.4% to $961.2 million. This growth is largely attributed to the strong performance of the new land-based facility of Treasure Chest Casino, which opened in June 2024.
Thanks to market access agreements and one-time benefits, the online business also saw growth, contributing to the revenue increase in the fourth quarter.
However, the Las Vegas local hotel market faced challenges, particularly the Orleans and Gold Coast hotels, which faced competitive pressures. Nonetheless, downtown Las Vegas hotels still reported strong performance, benefiting from increased foot traffic, especially from visitors from Hawaii.
Financial Strength and Shareholder Returns
Boyd Gaming continued its capital return strategy in the fourth quarter of 2024, repurchasing $203 million worth of shares. As of December 31, 2024, the company's current share repurchase authorization balance stands at $640 million.
Additionally, Boyd paid a quarterly dividend of $0.17 per share on January 15, 2025, reinforcing its commitment to shareholder returns.
Notably, as of the end of 2024, Boyd Gaming held $316.7 million in cash, with total debt at $3.2 billion, maintaining what the company calls the strongest balance sheet in its history.
Industry Trends and Boyd's Strategic Position
Boyd Gaming's performance in the fourth quarter aligns with its strategic growth plans, with revenue growth of 6.4% in the third quarter of 2024, where the Midwest and Southern divisions and the online sector played key roles.
In the second quarter of 2024, Boyd's revenue also grew by 5.5%, reflecting its broader strategy of regional expansion and online gaming integration.
Despite the continuous growth in online gaming and regional markets, the competitive landscape in the local Las Vegas gaming industry remains a focal point for the company.
Outlook
With ongoing investments in property improvements and market expansion, Boyd Gaming is poised for long-term growth. Despite competitive pressures in some regions, the company's balance sheet, key market revenue growth, and strong EBITDAR performance indicate stability.
As Boyd celebrates its 50th anniversary in 2025, its strategic focus on online gaming and regional growth will be key drivers shaping its financial trajectory in the coming year.
