Boyd Gaming is one of the country's leading casino operators. The company operates more than 20 gaming entertainment properties located in Nevada and several other US states. Besides Nevada, Boyd Gaming has casinos in Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi, and New Jersey. Most of the company's properties are sprawling resort hotels that feature pools, full casinos, restaurants, shops, and on-site entertainment options for guests. In addition to its casinos, Boyd Gaming owns and operates a travel agency in Hawaii. Boyd Gaming was established in 1974.
The company's Las Vegas Locals segment accounted for 28% of revenue during fiscal 2015. It consists of six casinos which include Gold Coast Hotel and Casino; The Orleans Hotel and Casino; Sam's Town Hotel and Gambling Hall, and Suncoast Hotel and Casino.
The company's Midwest and South properties consist of four dockside riverboat casinos, one racing and two barge-based casinos that operate in four states in the Midwest and southern US. This segment brought in almost 40% of Boyd's revenue during fiscal 2015.
Sales and Marketing
The company's advertising and marketing promotion costs were about $33 million in fiscal 2015. Boyd works to build loyalty with locals since the casinos that are not on the Las Vegas Strip are not as popular with tourists and convention attendees.
Boyd's revenue was about $2.2 billion in fiscal 2015. That was a decrease of 19% compared to the prior fiscal period. The decrease in revenue was mainly from the deconsolidation of Borgata as revenue from all other segments increased during the year.
In fiscal 2015 Boyd's net income was $47.23 million after the company claimed a net loss in fiscal 2014. The improvement was due to decreased operating expenses.
The company's cash from operating activities was $339.84 million at the end of fiscal 2015. That was an increase of 5% compared to fiscal 2014 due to changes in prepaid expenses and other current assets and accounts receivables.
Many of Boyd's properties are dated and in need of upgrades or total renovation. It will take large capital investments to bring the company's facilities up to modern standards. For example, Boyd is spending $45 million on expansion of its Delta Downs Racetrack Casino Hotel in Vinton, Louisiana. The company is also spending more than $100 million on upgrades and renovations to its Las Vegas and regional properties with plans to add 20 more restaurants.
In 2016, Boyd sold its 50% stake in Atlantic City's Borgata Hotel Casino & Spa to MGM Resorts International for $589 million.