Boyd Gaming Corporation

What they do

Boyd Gaming operates 27 gaming entertainment properties in Nevada, Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi, Missouri, Ohio, Pennsylvania and Virginia, and owns and operates Boyd Interactive, a B2B and B2C online casino gaming business in the U.S. and Canada. It manages the Sky River Casino in California under an agreement with Wilton Rancheria and offers online sports wagering and online casino through market access agreements. Operations are reported in four segments: Las Vegas Locals, Downtown Las Vegas, Midwest & South, and Online.

Revenue drivers

• Las Vegas Locals — Includes eight properties such as Gold Coast, The Orleans, Sam's Town Las Vegas, Suncoast and Aliante. In Q2 2026 the segment saw softness in destination business, primarily at The Orleans, and construction disruption at Suncoast, though the remainder of the segment grew revenues and Adjusted EBITDAR with property margins above 50%.
• Midwest & South — The largest geographic footprint, spanning Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi, Missouri, Ohio, Pennsylvania and Virginia. It delivered revenue and Adjusted EBITDAR growth in Q2 2026 on increased play from core and retail customers and contributions from recent capital investments.
• Downtown Las Vegas — Includes California Hotel and Casino, Fremont Hotel & Casino and Main Street Station. Play from core and Hawaiian customers was consistent with recent quarters in Q2 2026, but results continued to be impacted by softness in destination business throughout the downtown area.
• Online and Managed & Other — Online includes Boyd Interactive and third-party market access agreements; it grew in Q2 2026 on online casino gaming and market access contributions. Managed & Other includes management fees from Sky River Casino, which rose after its expansion, and Lattner, an Illinois distributed gaming operator.

Recent performance

Second-quarter 2026 revenues were $1.03 billion, in line with the second quarter of 2025. Net income was $131.2 million, or $1.75 per share, versus $151.5 million, or $1.84 per share, a year earlier. Total Adjusted EBITDAR was $350.5 million compared with $357.9 million in the prior-year quarter, while Adjusted Earnings were $144.4 million, or $1.93 per share, versus $154.2 million, or $1.87 per share. Property operating margins were 40%. The company returned more than $170 million in dividends and share repurchases during the quarter.

Strategy

Management's stated priorities are growing revenues and building loyalty among core customers, running operations efficiently, maintaining balance sheet strength and leverage ratios, returning capital through share repurchases and dividends, and investing in existing properties. The company has pursued development, including a transitional casino that opened in Norfolk, Virginia on November 7, 2025, with the permanent casino resort expected in late 2027, and it permanently closed Sam's Town Tunica on November 9, 2025. It sold its five percent FanDuel equity interest for $1,758.0 million on July 31, 2025 and entered new FanDuel Market Access Agreements. Boyd also acquired Boyd Digital on September 1, 2024, expanding the Online segment.

Risks

• Discretionary spending sensitivity — The company states its casino hotel amenities are particularly sensitive to economic downturns, inflation, high energy and food costs, and reduced travel, all of which can cut customer visitations and revenue.
• Las Vegas destination softness — Q2 2026 results were pressured by continued weakness in destination business in the Las Vegas Locals segment, primarily at The Orleans, and throughout the downtown area.
• Construction disruption — Ongoing construction at Suncoast weighed on Las Vegas Locals results in the second quarter of 2026.
• Interest rate and debt exposure — As of June 30, 2026, long-term variable-rate borrowings were approximately 28.1% of total long-term debt, leaving results exposed to SOFR and high-yield spread movements.

Outlook

Management said the diversified model, strong balance sheet, efficient operating model and robust free cash flow position the company to continue creating long-term shareholder value. The permanent Norfolk casino resort is expected to open in late 2027, and the company expects continued contributions from recent capital investments. It had $551 million remaining under its share repurchase authorization as of June 30, 2026, and paid a quarterly dividend of $0.20 per share on July 15, 2026.