New amenities boost Boyd's performance

Oct 26, 2015 10:05 AM

Boyd Gaming is putting an emphasis on non-gaming amenities that can be seen across all segments of the Las Vegas-based company, officials reported.

President and CEO Keith Smith told analysts tuned into a third quarter conference call that “consumers are healthier, more confident and clearly demonstrating their willingness to spend.”

Smith said Boyd is doing more than simply taking advantage of the upbeat attitude that is evident among its customers. “We’re actively driving growth in both our gaming and non-gaming business.”

Besides the growing appeal of non-gaming amenities such as new restaurants at its Las Vegas casinos and elsewhere, Smith said, “We are starting to see gaming revenues grow.” It’s a satisfying trend that he maintains is partially attributable to success on the non-gaming side.

Boyd executives pointed to the “great progress” that has been made across the company during the last four or five quarters as the economies, both in Las Vegas and elsewhere continue to look healthier.

“Can we get back to those peak margin levels of 2006 and 2007?” Smith asked. “I’m not sure but we’re going to try like hell to get there. We won’t see the revenues that we did in ’06 and ’07 so it makes it a little more challenging to reach those margin levels but we will focus on the challenge every day.”

With respect to another high profile issue – daily fantasy sports, Smith said it is as clear to the company now as it was several months ago that “this is gambling and it needs to be regulated.”

The consequence of no regulations could be he kind of scandal that he said would be bad for all segments of the gaming industry.

Phil Hevener has been writing about the Nevada gaming business for more than 30 years. Email: [email protected].