Boyd Gaming Beats Q2 2026 Earnings Estimates Despite Dip

Boyd Gaming Corporation reported its second-quarter 2026 financial results on Thursday, July 23. The Las Vegas-based casino operator posted solid numbers despite softer Las Vegas Strip destination travel and construction disruption. Total reported revenue held flat at $1.03 billion. On a comparable basis, which adjusts for one-time items, revenue rose 3%, and EBITDA increased 2% year-over-year. Adjusted earnings per share reached $1.93, beating Wall Street estimates by 2%. The company's adjusted EBITDA climbed to $321.6 million, topping analyst projections by 3.5%. Strength outside the core Las Vegas market carried the quarter. President and CEO Keith Smith credited the results to Boyd's diversified business model spanning multiple states.

Adjusted EPS Beats Estimates, But Net Income Declines

Boyd Gaming's adjusted earnings beat analyst expectations for the second straight quarter. Adjusted profit of $1.93 per share beat the consensus estimate of $1.89. Revenue matched last year's $1.03 billion mark, in line with forecasts. Adjusted EBITDA reached $321.6 million, carrying a 31.1% margin, well above expectations. Operating margin slipped to 19.4%, down from 23.4% a year earlier. Net income fell from $151.5 million to $131.2 million year-over-year. Smith said, "Our second-quarter results demonstrated the benefits of our diversified business model, with strong performances from our Midwest and South operations." That diversification offset softness closer to home in Las Vegas.

Las Vegas Softness Offset by Midwest, South, and Online Growth

Las Vegas properties faced real headwinds this quarter, as weaker destination travel and ongoing construction at Suncoast weighed on results. Executives said performance at Las Vegas properties outside Suncoast and Orleans remained consistent with prior quarters. Other segments more than made up the difference. The Midwest and South segment led company growth, with revenue up 3% and EBITDA up 4%. Property margins there expanded to nearly 38%, the best level in almost two years.

The online segment, powered by Boyd Interactive, also posted steady gains. Managed business EBITDA jumped 18% year-over-year. That growth was driven by the first phase of the Sky River expansion. The project added casino floor space and a new parking structure.

Boyd Raises Guidance, Details Sky River, Rewards Investors

Boyd Gaming raised its full-year guidance despite the Las Vegas softness. Online segment guidance rose by $5 million, to between $35 million and $40 million. Managed business guidance increased by $3 million, now projected between $113 million and $117 million. Suncoast renovations should finish by the end of the third quarter. Executives expect improved performance there starting in the fourth quarter. Boyd also detailed a second Sky River phase. The project adds a hotel, restaurants, a spa, and an entertainment venue by early 2028. Boyd invested $142 million in capital expenditures during the quarter.

It still returned over $170 million to shareholders through dividends and buybacks.