First-quarter profits more than doubled at
on strong business across its casino portfolio, and the company handily beat Wall Street expectations.
The Las Vegas company Monday reported first-quarter net income of $40.1 million, or 45 cents a share, vs. $13.5 million, or 20 cents a share, a year earlier.
The latest quarter's earnings include a charge of $16.4 million, or 18 cents a share, for a change in the way Boyd accounts for intangible assets, as it reduced the value of license rights at its Delta Downs casino.
Excluding that item and preopening expenses, adjusted first-quarter EPS was 64 cents, up from 29 cents a year earlier, and better than the 52-cent average analyst estimate from Thomson First Call.
Revenue of $566.9 million was up 71.8% from $330 million a year earlier and ahead of the $558.3 million analyst consensus. The company also declared a quarterly dividend of 12.5 cents payable to shareholders of record on May 13.
Shares rose $1.99, or 3.9%, to $53.40, in after-hours trading after finishing Monday's regular session up $2.97, or 6.1%, at $51.41.
"I am extremely pleased with the results of our company's operations in the first quarter," said Bill Boyd, the company's CEO. "Revenue and earnings gains were made across the board."
Boyd continues to benefit from last July's acquisition of Coast Casinos, which primarily cater to Las Vegas residents. But even on a same-store basis, Boyd's earnings before interest, taxes, depreciation and amortization, or EBITDA, were up 17.1% from last year's first quarter.
Boyd's 50% stake in the Borgata Hotel Casino and Spa in Atlantic City, N.J., continued to pay off, with revenue jumping 18% to $172 million from a year before and EBITDA rising 42% to $56.9 million. Since it opened in July 2003, the Borgata has stolen Atlantic City business away from older casinos, and in the latest quarter it had the highest gaming win on the boardwalk.
( MGG) owns the other half of the joint venture.
Last month, Boyd said fourth-quarter earnings were higher than originally reported because of a tax refund the Borgata received. Restated fourth-quarter net income was $46.9 million, or 53 cents, vs. an originally reported $40 million, or 45 cents a share. The original results were already well ahead of Wall Street estimates.
In addition to its Borgata stake and four Coast casinos in Las Vegas, Boyd owns 14 other properties located in Illinois, Indiana, Louisiana, Mississippi and Nevada.
The first quarter was a good one for other casino operators. Last week, MGM Mirage reported better-than-expected first-quarter results, and
( HET) met Wall Street expectations after guiding sharply higher earlier in the month.