Boyd Gaming Corporation: Boyd Gaming Reports Fourth-quarter, Full-year 2024 Results

LAS VEGAS, Feb. 6, 2025 /PRNewswire/ -- Boyd Gaming Corporation (NYSE: BYD) today reported financial results for the fourth quarter and full year ended December 31, 2024.

Keith Smith, President and Chief Executive Officer of Boyd Gaming, said: "Our Company continued to deliver solid results in the fourth quarter, consistent with our strong full-year performance. Our diversified business model, strong operating efficiencies and contributions from our recent property investments drove revenue and EBITDAR growth on a Companywide basis during the fourth quarter, as we maintained property-level operating margins of over 40%. We also continued our balanced approach to capital allocation throughout 2024, investing in our properties nationwide, returning nearly $750 million to shareholders, and maintaining the strongest balance sheet in our Company's history. As we mark the conclusion of another successful year, we are proud of the strong foundation we have built and are confident in our strategy to deliver long-term value for our shareholders."

Smith added: "On January 1 ^st, 2025, Boyd Gaming reached a historic milestone as we celebrated our 50^th year in business. Since our founding in 1975, our Company has grown from a single property in downtown Las Vegas into one of the largest and most respected gaming companies in the United States. And while we are a much different company today than we were 50 years ago, the vision and integrity of our founders, Sam and Bill Boyd, continue to guide us to this day."

Fourth-Quarter and Full-Year 2024 Results
Boyd Gaming reported fourth-quarter 2024 revenues of $1.0 billion, increasing from $954.4 million in the fourth quarter of 2023. The Company reported net income of $170.5 million, or $1.92 per share, for the fourth quarter of 2024, compared to $92.6 million, or $0.94 per share, for the year-ago period. The Company's fourth-quarter 2023 results were impacted by $103.3 million in non-cash, pretax goodwill and intangible asset impairment charges.

Total Adjusted EBITDAR⁽¹⁾ was $379.3 million in the fourth quarter of 2024, up from $355.5 million in the fourth quarter of 2023. Adjusted Earnings⁽¹⁾ for the fourth quarter of 2024 were $174.7 million, or $1.96 per share, compared to $163.8 million, or $1.66 per share, for the same period in 2023.

For the full year 2024, Boyd Gaming reported revenues of $3.9 billion, up from $3.7 billion for the full year 2023. The Company reported net income of $578.0 million, or $6.19 per share, compared to net income of $620.0 million, or $6.12 per share, for the full year 2023. The Company's full-year 2023 results were impacted by $107.8 million in non-cash, pretax goodwill and intangible asset impairment charges.

Total Adjusted EBITDAR for the full year 2024 was $1.4 billion, essentially even with the prior year. Full-year 2024 Adjusted Earnings were $611.3 million, or $6.55 per share, compared to Adjusted Earnings of $639.9 million, or $6.31 per share, for the full year 2023.

_{(1) See footnotes at the end of the release for additional information relative to non-GAAP financial measures.}

Operations Review
During the fourth quarter, results in the Company's Las Vegas Locals segment reflected ongoing competitive pressures at The Orleans and Gold Coast, while the remainder of the properties in the segment continued to perform better than the broader same-store market. In Downtown Las Vegas, results benefitted from the Company's recent property investments, as well as strong visitation from Hawaiian customers. The Midwest & South segment delivered both revenue and Adjusted EBITDAR growth, primarily driven by contributions from Treasure Chest's new land-based facility.

The Company's Online segment achieved strong revenue and Adjusted EBITDAR growth during the fourth quarter, with increased contributions and one-time benefits from the Company's market-access agreements. Growth in Managed & Other was driven by continued strong performance at Sky River Casino in northern California.

Dividend and Share Repurchase Update
Boyd Gaming paid a quarterly cash dividend of $0.17 per share on January 15, 2025, as previously announced.

As part of its ongoing share repurchase program, the Company repurchased $203 million in shares of its common stock during the fourth quarter of 2024. As of December 31, 2024, the Company had approximately $640 million remaining under current share repurchase authorizations.

Balance Sheet Statistics
As of December 31, 2024, Boyd Gaming had cash on hand of $316.7 million, and total debt of $3.2 billion.

Conference Call Information
Boyd Gaming will host a conference call to discuss its fourth-quarter and full-year 2024 results today, February 6, at 5:00 p.m. Eastern. The conference call number is [phone]. No passcode is required to join the call. Please call up to 15 minutes in advance to ensure you are connected prior to the start of the call.

The conference call will also be available online at https://investors.boydgaming.com or https://app.webinar.net/zLPQEW9A5Rk.

Following the call's completion, a replay will be available by dialing [phone] today, February 6, and continuing through Thursday, February 13. The passcode for the replay will be 55103#. The replay will also be available at https://investors.boydgaming.com.

BOYD GAMING CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
		Three Months Ended				Year Ended
		December 31,				December 31,
(In thousands, except per share data)		2024		2023		2024		2023
Revenues
Gaming		$ 658,440		$ 647,083		$ 2,583,926		$ 2,613,288
Food & beverage		81,161		75,481		303,522		288,417
Room		52,840		50,571		204,608		199,117
Online		188,821		124,058		606,233		422,211
Management fee		23,880		22,292		88,407		76,921
Other		35,773		34,927		143,498		138,538
Total revenues		1,040,915		954,412		3,930,194		3,738,492
Operating costs and expenses
Gaming		249,787		248,910		999,753		1,000,240
Food & beverage		66,088		63,256		253,940		240,879
Room		19,863		18,610		77,591		73,490
Online		144,514		106,510		497,783		358,988
Other		12,990		12,204		51,322		46,323
Selling, general and administrative		111,517		90,558		427,226		389,891
Master lease rent expense (a)		28,159		27,235		111,406		108,398
Maintenance and utilities		36,255		35,677		148,366		151,014
Depreciation and amortization		77,705		68,203		276,639		256,780
Corporate expense		25,680		27,731		113,934		115,963
Project development, preopening and writedowns		6,618		2,333		28,572		(8,935)
Impairment of assets		-		103,300		10,500		107,837
Other operating items, net		438		(5,166)		5,385		(4,207)
Total operating costs and expenses		779,614		799,361		3,002,417		2,836,661
Operating income		261,301		155,051		927,777		901,831
Other expense (income)
Interest income		(384)		(1,441)		(1,625)		(23,886)
Interest expense, net of amounts capitalized		45,943		42,314		177,409		171,247
Other, net		(299)		967		(10)		1,563
Total other expense, net		45,260		41,840		175,774		148,924
Income before income taxes		216,041		113,211		752,003		752,907
Income tax provision		(45,535)		(20,606)		(174,051)		(132,884)
Net income		$ 170,506		$ 92,605		$ 577,952		$ 620,023
Basic net income per common share		$ 1.92		$ 0.94		$ 6.19		$ 6.12
Weighted average basic shares outstanding		88,982		98,935		93,314		101,325
Diluted net income per common share		$ 1.92		$ 0.94		$ 6.19		$ 6.12
Weighted average diluted shares outstanding		89,006		98,979		93,349		101,373
(a) Rent expense incurred by those properties subject to a master lease with a real estate investment trust.

BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Reconciliation of Adjusted EBITDA to Net Income
(Unaudited)
		Three Months Ended				Year Ended
		December 31,				December 31,
(In thousands)		2024		2023		2024		2023
Total Revenues by Segment
Las Vegas Locals		$ 231,971		$ 235,075		$ 894,508		$ 928,118
Downtown Las Vegas		65,559		63,314		230,091		222,407
Midwest & South		518,499		497,898		2,063,415		2,041,945
Online		188,821		124,058		606,233		422,211
Managed & Other		36,065		34,067		135,947		123,811
Total revenues		$ 1,040,915		$ 954,412		$ 3,930,194		$ 3,738,492
Adjusted EBITDAR by Segment
Las Vegas Locals		$ 112,318		$ 120,431		$ 428,423		$ 470,971
Downtown Las Vegas		26,981		27,631		83,325		85,507
Midwest & South		192,390		190,568		765,706		781,673
Online		44,066		17,309		107,604		62,337
Managed & Other		25,703		24,384		96,153		84,478
Corporate expense, net of share-based compensation expense (a)		(22,174)		(24,861)		(90,618)		(90,175)
Adjusted EBITDAR		379,284		355,462		1,390,593		1,394,791
Master lease rent expense (b)		(28,159)		(27,235)		(111,406)		(108,398)
Adjusted EBITDA		351,125		328,227		1,279,187		1,286,393
Other operating costs and expenses
Deferred rent		162		177		648		708
Depreciation and amortization		77,705		68,203		276,639		256,780
Share-based compensation expense		4,901		4,329		29,666		32,379
Project development, preopening and writedowns		6,618		2,333		28,572		(8,935)
Impairment of assets		-		103,300		10,500		107,837
Other operating items, net		438		(5,166)		5,385		(4,207)
Total other operating costs and expenses		89,824		173,176		351,410		384,562
Operating income		261,301		155,051		927,777		901,831
Other expense (income)
Interest income		(384)		(1,441)		(1,625)		(23,886)
Interest expense, net of amounts capitalized		45,943		42,314		177,409		171,247
Other, net		(299)		967		(10)		1,563
Total other expense, net		45,260		41,840		175,774		148,924
Income before income taxes		216,041		113,211		752,003		752,907
Income tax provision		(45,535)		(20,606)		(174,051)		(132,884)
Net income		$ 170,506		$ 92,605		$ 577,952		$ 620,023
(a) Reconciliation of corporate expense:
		Three Months Ended				Year Ended
		December 31,				December 31,
(In thousands)		2024		2023		2024		2023
Corporate expense as reported on Condensed Consolidated
Statements of Operations		$ 25,680		$ 27,731		$ 113,934		$ 115,963
Corporate share-based compensation expense		(3,506)		(2,870)		(23,316)		(25,788)
Corporate expense, net, as reported on the above table		$ 22,174		$ 24,861		$ 90,618		$ 90,175
(b) Rent expense incurred by those properties subject to a master lease with a real estate investment trust.

BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Reconciliation of Net Income to Adjusted Earnings
and Net Income Per Share to Adjusted Earnings Per Share
(Unaudited)
		Three Months Ended				Year Ended
		December 31,				December 31,
(In thousands, except per share data)		2024		2023		2024		2023
Net income		$ 170,506		$ 92,605		$ 577,952		$ 620,023
Pretax adjustments:
Project development, preopening and writedowns		6,618		2,333		28,572		(8,935)
Impairment of assets		-		103,300		10,500		107,837
Other operating items, net		438		(5,166)		5,385		(4,207)
Interest income (a)		-		-		-		(14,315)
Other, net		(299)		967		(10)		1,563
Total adjustments		6,757		101,434		44,447		81,943
Income tax effect for above adjustments		(2,531)		(30,214)		(11,135)		(26,231)
Impact of tax valuation allowance		-		-		-		(35,856)
Adjusted earnings		$ 174,732		$ 163,825		$ 611,264		$ 639,879
Net income per share, diluted		$ 1.92		$ 0.94		$ 6.19		$ 6.12
Pretax adjustments:
Project development, preopening and writedowns		0.07		0.02		0.31		(0.09)
Impairment of assets		-		1.04		0.11		1.06
Other operating items, net		-		(0.05)		0.06		(0.04)
Interest income (a)		-		-		-		(0.14)
Other, net		-		0.01		-		0.02
Total adjustments		0.07		1.02		0.48		0.81
Income tax effect for above adjustments		(0.03)		(0.30)		(0.12)		(0.26)
Impact of tax valuation allowance		-		-		-		(0.36)
Adjusted earnings per share, diluted		$ 1.96		$ 1.66		$ 6.55		$ 6.31
Weighted average diluted shares outstanding		89,006		98,979		93,349		101,373
(a) Adjustment to the expected losses for interest on note receivable.

Non-GAAP Financial Measures
Our financial presentations include the following non-GAAP financial measures:

• EBITDA: earnings before interest, taxes, depreciation and amortization,
• Adjusted EBITDA: EBITDA adjusted for deferred rent, share-based compensation expense, project development, preopening and writedown expenses, impairments of assets, other operating items, net, gain or loss on early extinguishments and modifications of debt and other items, net, as applicable,
• EBITDAR: EBITDA further adjusted for rent expense associated with master leases with a real estate investment trust,
• Adjusted EBITDAR: Adjusted EBITDA further adjusted for rent expense associated with master leases with a real estate investment trust,
• Adjusted Earnings: net income before project development, preopening and writedown expenses, impairments of assets, other operating items, net, gain or loss on early extinguishments and modifications of debt, adjustments to the expected losses for interest on note receivable, the release of valuation allowances on deferred tax assets and other non-recurring adjustments, net, as applicable, and,
• Adjusted Earnings Per Share (Adjusted EPS): Adjusted Earnings divided by weighted average diluted shares outstanding.

Collectively, we refer to these and other non-GAAP financial measures as the "Non-GAAP Measures."

The Non-GAAP Measures are commonly used measures of performance in our industry that we believe, when considered with measures calculated in accordance with accounting principles generally accepted in the United States (GAAP), provide our investors with a more complete understanding of our operating results and facilitates comparisons between us and our competitors. We provide this information to investors to enable them to perform comparisons of our past, present and future operating results and as a means to evaluate the results of core on-going operations. We have historically reported these measures to our investors and believe that the continued inclusion of the Non-GAAP Measures provides consistency in our financial reporting. We also believe this information is useful to investors in allowing greater transparency related to significant measures used by our management in their financial and operational decision-making, their evaluation of total company and individual property performance, in the evaluation of incentive compensation and in the annual budget process. Management also uses Non-GAAP Measures in the evaluation of potential acquisitions and dispositions. We believe these measures continue to be used by investors in their assessment of our operating performance and the valuation of our company.

The use of Non-GAAP Measures has certain limitations. Our presentation of the Non-GAAP Measures may be different from the presentation used by other companies and therefore comparability may be limited. While excluded from certain of the Non-GAAP Measures, depreciation and amortization expense, interest expense, income taxes and other items have been and will be incurred. Each of these items should also be considered in the overall evaluation of our results. Additionally, the Non-GAAP Measures do not consider capital expenditures and other investing activities and should not be considered as a measure of our liquidity. We compensate for these limitations by providing the relevant disclosure of our depreciation and amortization, interest and income taxes, capital expenditures and other items both in our reconciliations to the historical GAAP financial measures and in our consolidated financial statements, all of which should be considered when evaluating our performance. We do not provide a reconciliation of forward-looking Non-GAAP Measures to the corresponding forward-looking GAAP measure due to our inability to project special charges and certain expenses.

The Non-GAAP Measures are to be used in addition to and in conjunction with results presented in accordance with GAAP. The Non-GAAP Measures should not be considered as an alternative to net income, operating income, or any other operating performance measure prescribed by GAAP, nor should these measures be relied upon to the exclusion of GAAP financial measures. The Non-GAAP Measures reflect additional ways of viewing our operations that we believe, when viewed with our GAAP results and the reconciliations to the corresponding historical GAAP financial measures, provide a more complete understanding of factors and trends affecting our business than could be obtained absent this disclosure. Management strongly encourages investors to review our financial information in its entirety and not to rely on a single financial measure.

Forward-looking Statements and Company Information
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements contain words such as "may," "will," "might," "expect," "believe," "anticipate," "could," "would," "estimate," "continue," "pursue," or the negative thereof or comparable terminology, and may include (without limitation) information regarding the Company's expectations, goals or intentions regarding future performance. These forward-looking statements are based on the current beliefs and expectations of management and involve risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements. Many of these risks and uncertainties relate to factors that are beyond Boyd Gaming's ability to control or estimate precisely. Additional factors that could cause actual results to differ are discussed under the heading "Risk Factors" and in other sections of the Company's Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q, and in the Company's other current and periodic reports filed from time to time with the SEC. The reader is cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. All forward-looking statements in this press release are made as of the date hereof, based on information available to the Company as of the date hereof, and the Company assumes no obligation to update any forward-looking statement.

About Boyd Gaming
Celebrating its 50^th anniversary in 2025, Boyd Gaming Corporation (NYSE: BYD) is a leading geographically diversified operator of 28 gaming entertainment properties in 10 states, manager of a tribal casino in northern California, and owner and operator of Boyd Interactive, a B2B and B2C online casino gaming business. The Company is also a strategic partner and 5% equity owner of FanDuel Group, the nation's leading sports- betting operator. With one of the most experienced leadership teams in the casino industry, Boyd Gaming prides itself on offering guests an outstanding entertainment experience and memorable customer service. Through a long-standing company philosophy called Caring the Boyd Way, Boyd Gaming is committed to advancing Corporate Social Responsibility (CSR) initiatives that positively impact the Company's stakeholders and communities. For additional Company information and press releases, visit https://investors.boydgaming.com.

SOURCE Boyd Gaming Corporation