Boyd Gaming Corporation (NYSE:BYD) Q3 2022 Earnings Conference Call October 25, 2022 5:00 PM ET Company Participants Josh Hirsberg – Executive Vice President and Chief Financial Officer Keith Smith – President and Chief Executive Officer Conference Call Participants Carlo Santarelli – Deutsche Bank Steve Wieczynski – Stifel Barry Jonas – Truist Securities Joe Greff – J.P. Morgan Shaun Kelley – Bank of America Dan Politzer – Wells Fargo Chad Beynon – Macquarie Brandt Montour – Barclays David Katz – Jefferies ...

Boyd Gaming Corporation (NYSE:BYD) Q2 2022 Earnings Conference Call July 26, 2022 5:00 PM ET Company Participants Josh Hirsberg - EVP, Chief Financial Officer and Treasurer Keith Smith - Chief Executive Officer Conference Call Participants Carlo Santarelli - Deutsche Bank Joe Greff - JP Morgan Steven Wieczynski - Stifel Barry Jonas - Truist Securities David Katz - Jefferies Shaun Kelley - Bank of America Dan Politzer - Wells Fargo Brandt Montour - Barclays Chad Beynon - Macquarie Joe Stauff - Susquehanna Op ...

Financial Data and Key Metrics Changes - Company-wide revenues increased by over 14% year-over-year, with EBITDAR growing nearly 16% and operating margins surpassing last year's record by more than 50 basis points [6][19] - The company ended the first quarter with leverage at 2.2 times and lease-adjusted leverage of 2.7 times [22] Business Line Data and Key Metrics Changes - In the Las Vegas Locals business, revenues rose nearly 25%, EBITDAR increased by 31%, and margins reached a new first quarter record of over 52% [7] - Downtown Las Vegas business delivered record first quarter EBITDAR with margins of 37% [8] - The Midwest and South segment continued to perform well, growing revenues and EBITDAR over last year's record performances [8] Market Data and Key Metrics Changes - Customer trends remained consistent with the previous quarters, including rated guest counts, frequency, and spend, despite some macroeconomic challenges [8][9] - The company noted no meaningful shift in customer behavior in the first three weeks of April, with business trends continuing at levels seen in the last three quarters [9] Company Strategy and Development Direction - The company is investing in long-term growth opportunities, including a new land-based facility at Treasure Chest in Louisiana, expected to open in late 2023 [11] - Expansion plans for Downtown Las Vegas include enhancing the Fremont's casino space and dining options, with a food hall concept to attract more visitors [12] - The company is also advancing its online gaming strategy through the acquisition of Pala Interactive, which will enhance its iGaming capabilities [14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to grow, citing strong performance from core customers and consistent trends across demographics [30] - The company anticipates challenges in year-over-year comparisons due to significant government stimulus impacts last spring but remains optimistic about growth opportunities [19][67] - Management acknowledged potential inflationary pressures but emphasized the importance of maintaining high margins and operational efficiency [39][44] Other Important Information - The company resumed its quarterly dividend with a payment of $0.15 per share, more than double the previous payment [15] - A capital return program is in place, targeting approximately $500 million to shareholders this year through dividends and share repurchases [16][21] Q&A Session Summary Question: Impact of higher gas prices on downtown segment and charter business strategy - Management noted that downtown has performed well, and they are not running their own charter currently, thus avoiding risks associated with fuel price fluctuations [25] Question: Update on void pay adoption and its impact on spending - Adoption of void pay has been slow but positive, with active use in 13 properties, and while it hasn't significantly increased spending, users appreciate its convenience [27] Question: Trends across the portfolio and consumer spending - Management reported consistent performance across all customer tiers, with no discernible degradation in play despite potential economic concerns [30] Question: Return of capital program amidst economic concerns - Management emphasized flexibility in their capital return program, allowing for adjustments based on economic conditions while maintaining a strong balance sheet [32] Question: Observations on regional market behaviors - Management indicated that business trends have remained consistent, with no significant changes across different markets, despite some one-off issues [36] Question: Margin sustainability and inflationary pressures - Management expects to maintain high margins but acknowledged that some payroll and marketing costs will return, balanced by revenue opportunities [39] Question: Promotional environment across segments - The promotional environment has remained stable, with no significant changes in competitive responses across markets [78]

Boyd Gaming Corporation (NYSE:BYD) Q4 2021 Results Conference Call February 3, 2022 5:00 PM ET Company Participants Josh Hirsberg - Executive Vice President, Chief Financial Officer and Treasurer Keith Smith - President and Chief Executive Officer Conference Call Participants Barry Jonas - Truist Securities Steve Wieczynski - Stifel Carlo Santarelli - Deutsche Bank Joe Greff - JPMorgan Dan Politzer - Wells Fargo David Katz - Jefferies Chad Beynon - Macquarie Thomas Allen - Morgan Stanley Operator Good eveni ...

Financial Data and Key Metrics Changes - The company achieved record third quarter performance with revenues exceeding both 2019 and 2020 levels, setting a new third quarter record [8] - Adjusted EBITDAR exceeded $340 million, a 42% increase from Q3 2020 and a 60% increase from Q3 2019 [8] - Company-wide operating margins exceeded 40% for the second consecutive quarter, growing nearly 400 basis points year-over-year and over 1,400 basis points from 2019 [8][9] - Free cash flow more than doubled, with total EBITDAR over the last 12 months surpassing $1.2 billion and leverage declining to 2.75 times [21][24] Business Line Data and Key Metrics Changes - In the Las Vegas Locals segment, revenues grew 35% year-over-year, with EBITDAR up almost 60% and operating margins exceeding 54% [8][9] - Downtown Las Vegas reported record third quarter EBITDAR of $13.2 million, a significant improvement from the EBITDAR loss reported a year ago [9] - The Midwest & South segment set new records for both revenues and EBITDAR, with EBITDAR growing 22% over the prior year and 42% from 2019 [9] Market Data and Key Metrics Changes - The company noted that 21 out of 26 properties open the entire quarter grew EBITDAR by double digits over last year, with 18 setting new third quarter EBITDAR records [9] - The company anticipates continued growth in Downtown Las Vegas as tourism recovers and Hawaiian visitation improves [12] Company Strategy and Development Direction - The company is focused on driving play from loyal guests, streamlining its cost structure, and adopting a more efficient operating model [6][10] - BoydPay cashless technology is being expanded to enhance customer convenience and streamline processes [10][11] - The company views online gaming and online casinos as strategic growth opportunities, with plans to expand iGaming operations and sports betting partnerships [13][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's future growth, citing a strong financial position and prospects for continued growth [7][21] - The company expects to see further recovery in visitation as COVID restrictions are lifted and travel resumes [12][21] - Management acknowledged potential challenges such as labor market normalization and inflationary pressures but remains optimistic about revenue opportunities [56][57] Other Important Information - The Board of Directors authorized a $300 million share repurchase program, reflecting confidence in the company's future [7][24] - The company is committed to ESG initiatives, including reducing water and energy consumption and enhancing workforce diversity [17][20] Q&A Session Summary Question: Labor Return and Optimization - Management indicated that labor levels are significantly reduced from pre-COVID levels, with expectations to gradually add back team members as amenities are introduced [27][28] Question: Share Buyback vs. Growth Opportunities - The $300 million buyback was sized considering necessary investments in properties while maintaining leverage around current levels [32][33] Question: Dividend Resumption - Management stated that the share repurchase is currently the most efficient way to return capital to shareholders, with no immediate plans for dividend resumption [35][36] Question: Promotional Environment - The promotional landscape in Las Vegas Locals has remained stable, with larger operators maintaining discipline while smaller operators have reverted to aggressive marketing [37][40] Question: M&A Boundaries - Management emphasized a disciplined approach to M&A, focusing on strategic and value-oriented acquisitions while maintaining a strong balance sheet [42][45] Question: Property Level EBITDAR Margins - Margins were maintained throughout the quarter despite challenges, with management effectively managing expenses during periods of softness [47][48] Question: NOL Balance and Cash Taxpayer Status - The company expects to have an NOL balance running out sometime in 2022, depending on performance [50] Question: CapEx Guidance - CapEx for the current year is on track for about $200 million, with $40 million spent in Q3 [78]