Boyd Gaming just delivered a knockout third quarter in 2025, with its Las Vegas locals segment stealing the show amid tough times for tourist spots. Revenue hit $1 billion, up from last year, thanks to loyal local players and solid Midwest growth. But what’s next as destination business lags?
Boyd Gaming reported revenue of $1 billion for the third quarter of 2025, a jump from $961.2 million in the same period of 2024. This boost came mainly from robust gaming activity in key areas.
The Las Vegas locals segment posted revenues of $211 million and EBITDA of $92 million. Gaming revenues grew, fueled by strong demand from core local customers. Company leaders pointed to ongoing play increases as a big driver.
In the earnings call, CEO Keith Smith praised the locals’ performance. He noted steady growth in customer databases and revenue sources tied to nearby residents. This strength helped offset weaker spots elsewhere.
Boyd also saw benefits from expansions and smart operations. The Midwest and South segment hit record levels, adding to the positive vibe.
Challenges in Destination Business Persist
Not everything was smooth for Boyd Gaming this quarter. The company faced headwinds in its destination-focused operations, especially in Las Vegas.
Smith explained that shortfalls stemmed from softer tourist traffic, a trend hitting the industry hard. Forward hotel bookings for the next 90 days show some improvement, but they remain below peak levels.
Adjusted EBITDAR came in at $321.8 million, down slightly from $336.6 million last year. This dip reflects pressures from lower visitor numbers in high-traffic areas.
Despite these issues, Boyd’s overall net income soared to $1.44 billion, or $17.81 per share. A massive $1.4 billion after-tax gain from selling its FanDuel stake played a huge role here.
Adjusted earnings per share held steady at $1.72, beating analyst expectations. This shows the company’s core operations stayed resilient.
Strategic Moves and Shareholder Returns
Boyd Gaming isn’t sitting still. The company outlined plans to boost its online segment, targeting $60 million in EBITDAR for 2025.
Leaders highlighted property enhancements and capital returns as key focuses. They returned $160 million to shareholders through buybacks and paid a $0.18 dividend.
Here’s a quick look at key financial metrics:
| Metric | Q3 2025 | Q3 2024 | Change |
|---|---|---|---|
| Revenue | $1.00B | $961M | +4.5% |
| Adjusted EPS | $1.72 | $1.52 | +13% |
| Adjusted EBITDAR | $322M | $337M | -4% |
These steps aim to build long-term value. Smith mentioned ongoing investments in customer experiences to keep locals coming back.
The company ended the quarter with $319 million in cash and $1.9 billion in total debt. This position gives Boyd flexibility for future growth.
Analysts see potential in Boyd’s diverse portfolio. With properties across the U.S., the firm can weather regional ups and downs.
Broader Industry Context and Outlook
Boyd’s results mirror wider trends in the gaming world. Las Vegas has seen mixed visitor patterns post-pandemic, with locals filling gaps left by tourists.
Data from the Nevada Gaming Control Board shows casino wins in the state dipped slightly in recent months. Downtown Las Vegas, for example, won $76.2 million in March 2025, down 13% from the year before.
Yet Boyd’s focus on core customers pays off. Smith said the locals’ strength comes from targeted marketing and amenities that appeal to everyday players.
Looking ahead, Boyd expects gradual recovery in destination business. Improvements in bookings hint at better days, but uncertainty lingers.
The company plans more enhancements at key sites. This could include tech upgrades and new entertainment options to draw crowds.
Industry watchers note that gaming firms like Boyd benefit from economic stability. With inflation cooling, consumers might spend more on leisure.
Boyd’s story shows how adapting to local markets can drive success. As tourist flows ebb, reliable neighborhood business becomes a lifeline.
Boyd Gaming’s third quarter paints a picture of resilience and smart strategy, proving that betting on loyal locals can pay big dividends in a shifting landscape. This performance not only lifts the company’s bottom line but also signals hope for steady recovery in gaming hubs like Las Vegas, where everyday players keep the lights bright even when tourists stay away.
