Boyd Gaming reported second-quarter 2026 revenue of $1.034 billion, largely unchanged from $1.035 billion a year earlier, while net income declined to $131.2 million, or $1.75 per share, from $151.5 million.
Total Adjusted EBITDAR fell to $350.5 million from $357.9 million, and adjusted earnings decreased to $144.4 million from $154.2 million, although adjusted earnings per share rose to $1.93 from $1.87.
On a comparable basis, excluding the effect of the prior-year FanDuel transaction and tax pass-through amounts tied to market-access agreements, companywide revenue increased 3%, and EBITDA rose 2%. Property operating margins remained at 40%.
“Our second-quarter results demonstrated the benefits of our diversified business model, with strong performances from our Midwest & South operations, online segment, and managed business,” President and Chief Executive Officer Keith Smith said.
“Results for the quarter, on a comparable basis, reflect both revenue and adjusted EBITDAR growth, with property operating margins of 40%, a level we have consistently delivered over the last several years. This performance was supported by strength in play from both our core and retail customers across the portfolio, as well as contributions from our recent capital investments.”
President and Chief Executive Officer Keith Smith
The Midwest and South segment led growth, with revenue increasing 3% and EBITDA rising 4%. Property margins reached nearly 38%, their highest level in almost two years. Smith said guests “continue to stay and spend closer to home,” while citing hotel renovations, new food and beverage offerings and investments at Treasure Chest and Ameristar St. Charles.
Smith noted that airfares, inflation, gasoline prices, tax refunds and stock market gains could be influencing customer behavior, but said Boyd could only confirm continued growth among core and retail customers.
Las Vegas Locals results were affected by weaker destination business, primarily at the Orleans, and construction disruption at Suncoast. Gaming revenue was unchanged, but excluding those two properties, the segment recorded 4% revenue growth, 3% EBITDA growth and margins above 50%, reflecting “the continued strength of our local customer.”
“While results in the Las Vegas locals segment were impacted by continued softness in destination business, primarily at the Orleans, and ongoing construction disruption at the Suncoast, the remainder of the segment grew revenue and adjusted EBITDAR over the prior year, with property margins exceeding 50%,” Smith said.
“In our downtown Las Vegas segment, play from both our core and Hawaiian customers was consistent with recent quarters; however, results continued to be impacted by ongoing softness in destination business throughout the downtown area.”
Chief Financial Officer Josh Hirsberg estimated that softer destination business reduced EBITDAR by about $5 million, while Suncoast construction had a roughly $3 million impact. He expects the destination effect to become “less bad,” at about $3 million in each of the third and fourth quarters.
Suncoast, Las Vegas
Suncoast renovations are expected to be completed by the end of the third quarter, with no disruption anticipated in 2027. Boyd also plans to begin a refresh of the Orleans in the first half of next year. Other Las Vegas projects include hotel renovations, new restaurants and sportsbook upgrades.
By early next year, Boyd expects to have renovated more than 70% of its Las Vegas hotel rooms and introduced 17 new food and beverage concepts.
The online segment delivered revenue and EBITDA growth, supported by Boyd Interactive and market-access agreements. Full-year online guidance was raised by $5 million to $35 million to $40 million.
Managed-business EBITDA increased 18%, supported by higher fees from Sky River Casino. Boyd raised full-year managed-business guidance by $3 million to $113 million to $117 million.
“Strong revenue and adjusted EBITDAR growth in our managed business was driven by increased management fees from Sky River Casino following its recently completed expansion,” Smith said.
The next Sky River phase will add a 300-room hotel, three food and beverage outlets, a spa and an entertainment center, with completion expected in early 2028. Boyd spent $142 million on capital projects during the quarter and $297 million in the first half. Full-year spending remains projected at $650 million to $700 million, including $300 million for its Norfolk, Virginia, resort, which remains scheduled for late 2027.
Sky River
The company returned more than $170 million to shareholders, including $15 million in dividends and $156 million in share repurchases. It paid a quarterly dividend of $0.20 per share on July 15 and had $551 million remaining under its repurchase authorization.
Boyd ended June with $322.7 million in cash, $2.6 billion in debt, traditional leverage of 2.2 times and lease-adjusted leverage of 2.7 times. It expects to refinance its December 2027 debt maturity later this year or in the first half of 2027 and complete the sale of its Shreveport property by the end of July.