2026년 2월 6일 · Unknown · financial · 출처 Yahoo Finance
This article first appeared on GuruFocus.
Full Year Revenue: Record company-wide revenues achieved. Full Year EBITDA: Approximately $1.4 billion, consistent with last year. Property Level Margins: 40%, consistent with last year. Cash Proceeds from FanDuel Ownership: Nearly $1.8 billion. Leverage Reduction: Reduced leverage below 2 times. Shareholder Returns: More than $800 million returned, reducing total share count by 11%. Fourth Quarter Revenue: $1.1 billion. Fourth Quarter EBITDA: $337 million. Las Vegas Locals EBITDA Growth: Nearly 2.5% excluding the Orleans. Midwest and South Segment EBITDA Impact: $4 million impact due to weather and Tunica closure. Online Segment Full Year EBITDA: $63 million. Managed and Other Business Projected 2026 EBITDA: $110 to $114 million. Capital Expenditures 2025: $588 million. Projected 2026 Capital Expenditures: $650 to $700 million. Share Repurchases 2025: $778 million, reducing share count by 11%. Fourth Quarter Share Repurchases: $185 million, 2.3 million shares at $81.18 per share. Leverage at Year-End: Total leverage of 1.7 times, lease adjusted leverage of 2.2 times.
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Release Date: February 05, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
Boyd Gaming Corp (NYSE:BYD) achieved record company-wide revenues and maintained strong EBITDA of approximately $1.4 billion for 2025. The company successfully unlocked significant value from its FanDuel ownership, generating nearly $1.8 billion in cash proceeds, which was used to reduce leverage below 2 times. Boyd Gaming Corp (NYSE:BYD) returned more than $800 million to shareholders in 2025, reducing the total share count by 11%. The company is optimistic about 2026, with new investments such as the Cadence Crossing facility and Sun Coast modernization expected to drive growth. Boyd Gaming Corp (NYSE:BYD) continues to see strong play from core customers and improving trends among retail players, supported by recent tax legislation expected to boost consumer spending.
Negative Points
The company faced a decline in cash hotel revenues due to ongoing softness in destination business, particularly impacting the Orleans property. Severe winter weather in December and the permanent closure of Samsung Tunica negatively impacted revenues and EBITDA in the Midwest and South segment. The online segment's EBITDA was impacted by approximately $40 million due to changes in revenue share agreements and severe weather conditions. Pedestrian traffic on the Fremont Street experience declined by approximately 10%, affecting the downtown Las Vegas segment. The company anticipates leverage to approach approximately 2.5 times in 2026, considering tax credit payments and ongoing capital investments.
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Q & A Highlights
Q: Could you elaborate on the trends in local versus destination play in Las Vegas? A: Keith Smith, President and CEO, explained that the Las Vegas locals market remains strong, driven by local residents. However, there is weakness in destination play, particularly affecting hotel revenues at the Orleans, which saw a $6 million decline in Q4. This trend was consistent with Q3, indicating a broader impact on gaming and F&B revenues.
Q: What are Boyd Gaming's current thoughts on M&A opportunities given the strong balance sheet? A: Keith Smith stated that Boyd Gaming remains open to M&A opportunities, maintaining a disciplined approach to ensure acquisitions are the right fit in terms of market, asset, and price. Josh Hirsberg, CFO, added that while they have the capability for acquisitions, they will focus on operating efficiently and reinvesting in their portfolio unless the right opportunity arises.
Q: How does Boyd Gaming view the potential impact of the recent tax legislation on consumer spending? A: Keith Smith noted that the tax legislation is expected to benefit consumer spending, particularly in Southern Nevada due to its unique demographics. The company anticipates positive impacts on consumer spending both in Nevada and across the Midwest and South markets.
Q: Can you provide an update on the temporary casino operations in Virginia and expectations for iGaming expansion? A: Keith Smith mentioned that the temporary casino in Virginia is expected to break even until the permanent facility opens in late 2027. Regarding iGaming, Boyd Gaming is supportive of its expansion, provided the legislation is fair. They see iGaming as complementary to their business and are monitoring potential new state launches.
Q: What is the outlook for Boyd Gaming's Las Vegas locals and Midwest and South segments in 2026? A: Josh Hirsberg highlighted that the Las Vegas locals market is performing well, with margins above 50%. The Midwest and South segments are expected to benefit from recent investments and consumer spending supported by tax legislation. However, weather impacts similar to last year are anticipated in Q1.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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