LAS VEGAS, Oct. 30, 2014 /PRNewswire/ -- Boyd Gaming Corporation (NYSE: BYD) today reported financial results for the third quarter ended September 30, 2014.
Boyd Gaming reported third-quarter 2014 net revenues of $738.8 million, up slightly from $738.6 million during the same quarter in 2013. Total Adjusted EBITDA(1) rose 5.5% to $163.9 million, compared to $155.3 million in the year-ago quarter.
Keith Smith, President and Chief Executive Officer of Boyd Gaming, said: "This was a solid quarter for our operations, as we improved operating margins in every segment of our business. Growth resumed in our Nevada business, as our Las Vegas Locals and Downtown Las Vegas operations both achieved positive EBITDA comparisons. We saw initial signs of stabilization in our regional business as well. We paid down an additional $70 million in debt in the quarter, bringing our total debt reduction to more than $165 million so far this year, as we continue to use free cash flow to deleverage the balance sheet. And we began work on several projects in our long-term initiative to reposition and enhance select non-gaming amenities in our portfolio. In all, we continue to make good progress executing on our strategy to drive profitable growth and increase long-term shareholder value."
Adjusted Earnings(1) for the third quarter 2014 were $0.3 million, breakeven on a per-share basis, compared to a loss of $8.3 million, or $0.08 per share, for the same period in 2013. The calculations of Adjusted Earnings and Adjusted Earnings per share are presented in a table at the end of this press release.
On a GAAP basis, the Company reported a net loss of $15.1 million, or $0.14 per share, for the third quarter 2014, compared to a net loss of $37.3 million, or $0.37 per share, for the year-ago period.
The Company's GAAP results include a third-quarter pretax impairment charge of $12.1 million to adjust the value of the Company's equity ownership interest in Borgata as a result of its deconsolidation. In addition, the Company's third-quarter results include a pretax impairment charge of $6.2 million to write down certain non-operating assets to their estimated recoverable value. The prior-year third quarter included an aggregate pretax loss on early extinguishments of debt of $27.1 million due to debt refinancing activities that were completed during that period.
|
(1)
|
See footnotes at the end of the release for additional information relative to non-GAAP financial measures.
|
Operations Review
Las Vegas Locals
In the Las Vegas Locals region, third-quarter 2014 net revenues were $141.2 million, an increase of nearly 1% from $140.3 million in the year-ago quarter. Third-quarter 2014 Adjusted EBITDA rose 6.5% to $28.1 million, versus $26.4 million in the third quarter of 2013, marking the sixth positive quarterly EBITDA comparison in the last seven quarters. Growth in non-gaming business drove increases in both revenue and EBITDA during the quarter. Results also benefitted from continued efficiencies in operations, as EBITDA margins improved more than 100 basis points year-over-year.
Downtown
Downtown Las Vegas net revenues were $53.4 million in the third quarter of 2014, up 1.3% from $52.7 million in the year-ago quarter. Adjusted EBITDA increased 14.1% to $6.3 million in the current period, compared to $5.5 million in the third quarter of 2013. Strong pedestrian traffic in the Fremont Street area and growth in visitation from Hawaii contributed to revenue and EBITDA gains, while operating margins improved more than 130 basis points.
Midwest and South; Peninsula
In the Midwest and South segment, net revenues were $210.7 million, compared to $214.8 million in the third quarter of 2013. Adjusted EBITDA grew 4.0% to $43.6 million versus $41.9 million in the year-ago period.
During the third quarter of 2014, the Peninsula segment reported net revenues of $123.6 million and Adjusted EBITDA of $42.9 million. This compares to net revenues of $130.7 million and Adjusted EBITDA of $45.3 million in the third quarter of 2013.
While revenues were affected by continued softness in casual play, operational efficiencies drove margin improvements across both segments. Results reflect strong EBITDA performances at Delta Downs, IP and Blue Chip. These EBITDA gains were offset by weakness at Par-A-Dice, due to significantly heightened competition in Illinois, as well as Kansas Star, which was impacted by lower visitation levels.
Borgata
Borgata, the Company's 50% joint venture, reported third-quarter 2014 net revenues of $209.9 million, including $6.1 million from its online gaming operations. This represented a 4.9% increase from the $200.1 million in revenues reported in the year-ago period. Adjusted EBITDA, was $56.9 million in the third quarter of 2014, up 22.1% from $46.6 million in the year-ago period.
Benefits from a property tax settlement reached with the City of Atlantic City earlier this year contributed $8.1 million to EBITDA during the quarter. Excluding property tax-related gains, EBITDA increased 4.7% year-over-year, as slot and hotel revenue grew, and the property expanded its overall gaming market share by 260 basis points. Additionally, the property's online gaming operations achieved profitability throughout the third quarter.
Deconsolidation of Borgata
The Company's Atlantic City partner reacquired its 50% ownership interest in Borgata on September 30, 2014. As a result, the Company has deconsolidated Borgata as of that date, and adjusted its equity investment in Borgata by $12.1 million to equal fair value. The deconsolidation of Borgata does not have an economic impact, but does affect the accounting presentation in the Company's financial statements. The Company will account for its 50% investment in Borgata by applying the equity method for periods subsequent to the date of deconsolidation. A Form 8-K furnished to the Securities and Exchange Commission today contains unaudited pro forma condensed consolidated financial information reflecting the effect of the deconsolidation for each of the quarters and full year of 2013, and each of the quarters and year-to-date period in 2014.
Balance Sheet Statistics
As of September 30, 2014, Boyd Gaming had cash on hand of $120.9 million, including $25.4 million related to Peninsula. Total debt was $3.48 billion, of which $1.11 billion was related to Peninsula.
As of September 30, 2014, Borgata is no longer included in the Company's consolidated balance sheet. On that date, Borgata had cash on hand of $26.9 million, and debt of $776.6 million.
Full-Year Guidance
Based on third-quarter results and current business trends, Boyd Gaming is narrowing its full-year 2014 Adjusted EBITDA guidance to the high end of its previously provided guidance. Before consideration of the deconsolidation of Borgata, the Company expects to generate between $590 million and $600 million in Adjusted EBITDA for the year. As a result of the deconsolidation of Borgata, the Company is modifying its guidance to eliminate 50% of Borgata's Adjusted EBITDA from the fourth quarter. Reflecting this change in accounting, full-year 2014 guidance for Boyd Gaming's Adjusted EBITDA is $576 million to $586 million.
Conference Call Information
Boyd Gaming will host its conference call to discuss third-quarter 2014 results today, October 30, at 5:00 p.m. Eastern. The conference call number is (888) 317-6003, passcode 8021592. Please call up to 15 minutes in advance to ensure you are connected prior to the start of the call.
The conference call will also be available live on the Internet at www.boydgaming.com, or http://www.videonewswire.com/event.asp?id=100701
Following the call's completion, a replay will be available by dialing (877) 344-7529 today, October 30, beginning at 7:00 p.m. Eastern and continuing through Friday, November 7, at 9 a.m. Eastern. The conference number for the replay will be 10054259. The replay will also be available on the Internet at www.boydgaming.com.
|
BOYD GAMING CORPORATION
Condensed Consolidated Statements of Operations
|
|
(Unaudited)
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
|
September 30,
|
|
September 30,
|
|
(In thousands, except per share data)
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|
REVENUES
|
|
|
|
|
|
|
|
|
Operating revenues
|
|
|
|
|
|
|
|
|
Gaming
|
$
|
631,668
|
|
$
|
633,237
|
|
$
|
1,859,339
|
|
$
|
1,893,722
|
|
Food and beverage
|
115,072
|
|
114,397
|
|
332,068
|
|
338,975
|
|
Room
|
75,330
|
|
72,299
|
|
210,072
|
|
203,308
|
|
Other
|
44,441
|
|
43,808
|
|
124,574
|
|
125,017
|
|
Gross revenues
|
866,511
|
|
863,741
|
|
2,526,053
|
|
2,561,022
|
|
Less promotional allowances
|
127,668
|
|
125,172
|
|
356,327
|
|
348,121
|
|
Net revenues
|
738,843
|
|
738,569
|
|
2,169,726
|
|
2,212,901
|
|
COST AND EXPENSES
|
|
|
|
|
|
|
|
|
Operating costs and expenses
|
|
|
|
|
|
|
|
|
Gaming
|
294,118
|
|
302,373
|
|
867,506
|
|
887,436
|
|
Food and beverage
|
61,511
|
|
57,655
|
|
179,976
|
|
181,950
|
|
Room
|
14,679
|
|
12,556
|
|
42,330
|
|
41,611
|
|
Other
|
33,554
|
|
33,056
|
|
91,708
|
|
92,429
|
|
Selling, general and administrative
|
113,436
|
|
122,837
|
|
349,494
|
|
373,865
|
|
Maintenance and utilities
|
45,050
|
|
45,735
|
|
131,337
|
|
125,986
|
|
Depreciation and amortization
|
66,168
|
|
69,002
|
|
198,245
|
|
209,358
|
|
Corporate expense
|
15,064
|
|
12,084
|
|
52,605
|
|
42,588
|
|
Preopening expense
|
1,262
|
|
1,675
|
|
3,836
|
|
4,829
|
|
Impairments of assets
|
18,279
|
|
1,250
|
|
20,205
|
|
6,282
|
|
Asset transactions costs
|
3,064
|
|
(1,362)
|
|
5,078
|
|
2,265
|
|
Other operating items, net
|
(1,116)
|
|
3,386
|
|
(1,863)
|
|
5,181
|
|
Total operating costs and expenses
|
665,069
|
|
660,247
|
|
1,940,457
|
|
1,973,780
|
|
Operating income
|
73,774
|
|
78,322
|
|
229,269
|
|
239,121
|
|
Other expense (income)
|
|
|
|
|
|
|
|
|
Interest income
|
(466)
|
|
(553)
|
|
(1,412)
|
|
(1,779)
|
|
Interest expense, net
|
75,420
|
|
83,145
|
|
226,219
|
|
266,953
|
|
Loss on early extinguishments of debt
|
71
|
|
27,141
|
|
1,129
|
|
29,513
|
|
Other, net
|
116
|
|
136
|
|
498
|
|
(335)
|
|
Total other expense, net
|
75,141
|
|
109,869
|
|
226,434
|
|
294,352
|
|
Income (loss) from continuing operations before income taxes
|
(1,367)
|
|
(31,547)
|
|
2,835
|
|
(55,231)
|
|
Income taxes benefit (expense)
|
(1,961)
|
|
(3,048)
|
|
(12,050)
|
|
3,478
|
|
Loss from continuing operations, net of tax
|
(3,328)
|
|
(34,595)
|
|
(9,215)
|
|
(51,753)
|
|
Income from discontinued operations, net of tax
|
—
|
|
—
|
|
—
|
|
10,790
|
|
Net loss
|
(3,328)
|
|
(34,595)
|
|
(9,215)
|
|
(40,963)
|
|
Net (income) loss attributable to noncontrolling interest
|
(11,777)
|
|
(2,672)
|
|
(11,403)
|
|
8,039
|
|
Net loss attributable to Boyd Gaming Corporation
|
$
|
(15,105)
|
|
$
|
(37,267)
|
|
$
|
(20,618)
|
|
$
|
(32,924)
|
|
|
|
|
|
|
|
|
|
Basic net income (loss) per common share:
|
|
|
|
|
|
|
|
|
Continuing operations
|
$
|
(0.14)
|
|
$
|
(0.37)
|
|
$
|
(0.19)
|
|
$
|
(0.47)
|
|
Discontinued operations
|
—
|
|
—
|
|
—
|
|
0.12
|
|
Basic net loss per common share
|
$
|
(0.14)
|
|
$
|
(0.37)
|
|
$
|
(0.19)
|
|
$
|
(0.35)
|
|
Weighted average basic shares outstanding
|
109,923
|
|
101,555
|
|
109,854
|
|
93,122
|
|
|
|
|
|
|
|
|
Diluted net income (loss) per common share:
|
|
|
|
|
|
|
|
|
Continuing operations
|
$
|
(0.14)
|
|
$
|
(0.37)
|
|
$
|
(0.19)
|
|
$
|
(0.47)
|
|
Discontinued operations
|
—
|
|
—
|
|
—
|
|
0.12
|
|
Diluted net loss per common share
|
$
|
(0.14)
|
|
$
|
(0.37)
|
|
$
|
(0.19)
|
|
$
|
(0.35)
|
|
Weighted average diluted shares outstanding
|
109,923
|
|
101,555
|
|
109,854
|
|
93,122
|
|
BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Reconciliation of Adjusted EBITDA to Operating Income (Loss)
(Unaudited)
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
|
September 30,
|
|
September 30,
|
|
(In thousands)
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|
Net Revenues by Reportable Segment
|
|
|
|
|
|
|
|
|
Las Vegas Locals
|
$
|
141,207
|
|
$
|
140,291
|
|
$
|
440,920
|
|
$
|
442,808
|
|
Downtown Las Vegas
|
53,379
|
|
52,674
|
|
164,664
|
|
162,884
|
|
Midwest and South
|
210,732
|
|
214,831
|
|
631,472
|
|
668,221
|
|
Peninsula
|
123,579
|
|
130,722
|
|
373,606
|
|
400,416
|
|
Borgata
|
209,946
|
|
200,051
|
|
559,064
|
|
538,572
|
|
Net revenues
|
$
|
738,843
|
|
$
|
738,569
|
|
$
|
2,169,726
|
|
$
|
2,212,901
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA by Reportable Segment
|
|
|
|
|
|
|
|
|
Las Vegas Locals
|
$
|
28,052
|
|
$
|
26,350
|
|
$
|
104,640
|
|
$
|
104,278
|
|
Downtown Las Vegas
|
6,315
|
|
5,534
|
|
24,193
|
|
21,942
|
|
Midwest and South
|
43,593
|
|
41,936
|
|
129,890
|
|
140,243
|
|
Peninsula
|
42,875
|
|
45,274
|
|
132,918
|
|
144,309
|
|
Wholly owned property Adjusted EBITDA
|
120,835
|
|
119,094
|
|
391,641
|
|
410,772
|
|
Corporate expense (1)
|
(13,848)
|
|
(10,409)
|
|
(42,643)
|
|
(34,675)
|
|
Wholly owned Adjusted EBITDA
|
106,987
|
|
108,685
|
|
348,998
|
|
376,097
|
|
Borgata
|
56,873
|
|
46,592
|
|
119,917
|
|
102,844
|
|
Adjusted EBITDA
|
163,860
|
|
155,277
|
|
468,915
|
|
478,941
|
|
|
|
|
|
|
|
|
|
Other operating costs and expenses
|
|
|
|
|
|
|
|
|
Deferred rent
|
903
|
|
956
|
|
2,714
|
|
2,872
|
|
Depreciation and amortization
|
66,168
|
|
69,002
|
|
198,245
|
|
209,358
|
|
Preopening expenses
|
1,262
|
|
1,675
|
|
3,836
|
|
4,829
|
|
Share-based compensation expense
|
1,526
|
|
2,048
|
|
11,431
|
|
9,033
|
|
Impairments of assets
|
18,279
|
|
1,250
|
|
20,205
|
|
6,282
|
|
Asset transactions costs
|
3,064
|
|
(1,362)
|
|
5,078
|
|
2,265
|
|
Other operating charges and credits, net
|
(1,116)
|
|
3,386
|
|
(1,863)
|
|
5,181
|
|
Total other operating costs and expenses
|
90,086
|
|
76,955
|
|
239,646
|
|
239,820
|
|
Operating income
|
73,774
|
|
78,322
|
|
229,269
|
|
239,121
|
|
Other non-operating items
|
|
|
|
|
|
|
|
|
Interest expense, net
|
74,954
|
|
82,592
|
|
224,807
|
|
265,174
|
|
Loss on early extinguishments of debt
|
71
|
|
27,141
|
|
1,129
|
|
29,513
|
|
Other, net
|
116
|
|
136
|
|
498
|
|
(335)
|
|
Total other non-operating items, net
|
75,141
|
|
109,869
|
|
226,434
|
|
294,352
|
|
Income (loss) from continuing operations before income
taxes
|
(1,367)
|
|
(31,547)
|
|
2,835
|
|
(55,231)
|
|
Income taxes
|
(1,961)
|
|
(3,048)
|
|
(12,050)
|
|
3,478
|
|
Loss from continuing operations, net of tax
|
(3,328)
|
|
(34,595)
|
|
(9,215)
|
|
(51,753)
|
|
Income from discontinued operations, net of tax
|
—
|
|
—
|
|
—
|
|
10,790
|
|
Net loss
|
(3,328)
|
|
(34,595)
|
|
(9,215)
|
|
(40,963)
|
|
Net (income) loss attributable to noncontrolling interest
|
(11,777)
|
|
(2,672)
|
|
(11,403)
|
|
8,039
|
|
Net loss attributable to Boyd Gaming Corporation
|
$
|
(15,105)
|
|
$
|
(37,267)
|
|
$
|
(20,618)
|
|
$
|
(32,924)
|
|
|
|
|
|
|
|
|
(1) Reconciliation of corporate expense:
|
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
|
|
September 30,
|
|
September 30,
|
|
|
(In thousands)
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|
|
Corporate expense as reported on Consolidated Statements
of Operations
|
$
|
15,064
|
|
$
|
12,084
|
|
$
|
52,605
|
|
$
|
42,588
|
|
|
Corporate share-based compensation expense
|
(1,216)
|
|
(1,675)
|
|
(9,962)
|
|
(7,913)
|
|
|
Corporate expense as reported on the above table
|
$
|
13,848
|
|
$
|
10,409
|
|
$
|
42,643
|
|
$
|
34,675
|
|
|
BOYD GAMING CORPORATION
SUPPLEMENTAL INFORMATION
Reconciliation of Net Income (Loss) to Adjusted Earnings (Loss) and Net Income (Loss) Per Share to
Adjusted Earnings (Loss) Per Share
(Unaudited)
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
|
September 30,
|
|
September 30,
|
|
(In thousands, except per share data)
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|
Net loss attributable to Boyd Gaming Corporation
|
$
|
(15,105)
|
|
$
|
(37,267)
|
|
$
|
(20,618)
|
|
$
|
(32,924)
|
|
Less: income from discontinued operations, net of tax (1)
|
—
|
|
—
|
|
—
|
|
(10,790)
|
|
Adjusted net loss attributable to Boyd Gaming Corporation
|
(15,105)
|
|
(37,267)
|
|
(20,618)
|
|
(43,714)
|
|
|
|
|
|
|
|
|
|
Pretax adjustments related to Boyd Gaming:
|
|
|
|
|
|
|
|
|
Preopening expenses, excluding impact of LVE
|
1,262
|
|
1,259
|
|
3,567
|
|
6,295
|
|
Loss on early extinguishments of debt
|
71
|
|
24,605
|
|
1,129
|
|
26,977
|
|
Impairments of assets
|
18,279
|
|
1,250
|
|
20,205
|
|
1,250
|
|
Asset transactions costs
|
2,689
|
|
(1,162)
|
|
4,704
|
|
2,058
|
|
Other operating charges and credits, net
|
593
|
|
240
|
|
248
|
|
2,035
|
|
Other (income) loss
|
116
|
|
—
|
|
411
|
|
(817)
|
|
|
|
|
|
|
|
|
|
Pretax adjustments related to Borgata:
|
|
|
|
|
|
|
|
|
Preopening expenses
|
—
|
|
416
|
|
269
|
|
470
|
|
Loss on early extinguishments of debt
|
—
|
|
2,536
|
|
—
|
|
2,536
|
|
Valuation adjustments related to consolidation, net
|
(633)
|
|
(181)
|
|
(1,901)
|
|
(683)
|
|
Impairments of assets
|
—
|
|
—
|
|
—
|
|
5,032
|
|
Asset transactions costs
|
375
|
|
(201)
|
|
374
|
|
205
|
|
Other operating charges and credits, net
|
(1,709)
|
|
3,146
|
|
(2,111)
|
|
3,146
|
|
Total adjustments
|
21,043
|
|
31,908
|
|
26,895
|
|
48,504
|
|
|
|
|
|
|
|
|
|
Income tax effect for above adjustments
|
(6,608)
|
|
(33)
|
|
(6,545)
|
|
(6,401)
|
|
Impact on noncontrolling interest, net
|
983
|
|
(2,859)
|
|
1,686
|
|
(5,355)
|
|
Adjusted earnings (loss)
|
$
|
313
|
|
$
|
(8,251)
|
|
$
|
1,418
|
|
$
|
(6,966)
|
|
|
|
|
|
|
|
|
|
Net loss per share attributable to Boyd Gaming Corporation
|
$
|
(0.14)
|
|
$
|
(0.37)
|
|
$
|
(0.19)
|
|
$
|
(0.35)
|
|
Less: income from discontinued operations, net of tax (1)
|
—
|
|
—
|
|
—
|
|
(0.12)
|
|
Adjusted net loss per share attributable to Boyd Gaming Corporation
|
(0.14)
|
|
(0.37)
|
|
(0.19)
|
|
(0.47)
|
|
Pretax adjustments related to Boyd Gaming:
|
|
|
|
|
|
|
|
|
Preopening expenses, excluding impact of LVE
|
0.01
|
|
0.01
|
|
0.03
|
|
0.07
|
|
Loss on early extinguishments of debt
|
—
|
|
0.26
|
|
0.01
|
|
0.29
|
|
Impairments of assets
|
0.17
|
|
0.01
|
|
0.19
|
|
0.01
|
|
Asset transactions costs
|
0.03
|
|
(0.01)
|
|
0.05
|
|
0.02
|
|
Other operating charges and credits, net
|
—
|
|
—
|
|
—
|
|
0.02
|
|
Other (income) loss
|
—
|
|
—
|
|
—
|
|
(0.01)
|
|
|
|
|
|
|
|
|
|
Pretax adjustments related to Borgata:
|
|
|
|
|
|
|
|
|
Preopening expenses
|
—
|
|
—
|
|
—
|
|
0.01
|
|
Loss on early extinguishments of debt
|
—
|
|
0.02
|
|
—
|
|
0.03
|
|
Valuation adjustments related to consolidation, net
|
(0.01)
|
|
—
|
|
(0.02)
|
|
(0.01)
|
|
Impairments of assets
|
—
|
|
—
|
|
—
|
|
0.05
|
|
Asset transactions costs
|
—
|
|
—
|
|
—
|
|
—
|
|
Other operating charges and credits, net
|
(0.1)
|
|
0.03
|
|
(0.02)
|
|
0.04
|
|
Total adjustments
|
0.19
|
|
0.32
|
|
0.24
|
|
0.52
|
|
|
|
|
|
|
|
|
|
Income tax effect for above adjustments
|
(0.06)
|
|
—
|
|
(0.06)
|
|
(0.07)
|
|
Impact on noncontrolling interest, net
|
0.01
|
|
(0.03)
|
|
0.02
|
|
(0.05)
|
|
Adjusted earnings per share
|
$
|
—
|
|
$
|
(0.08)
|
|
$
|
0.01
|
|
$
|
(0.07)
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding
|
110,827
|
|
101,555
|
|
110,780
|
|
93,122
|
|
|
|
(1)
|
Results for the prior year period are adjusted to exclude the financial results of Dania Jai-Alai, which was sold during the second quarter of 2013.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BOYD GAMING CORPORATION
|
|
SUPPLEMENTAL INFORMATION
|
|
Condensed Consolidating Statements of Operations
|
|
Three Months Ended September 30, 2014
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Boyd Gaming Wholly Owned
|
|
|
|
|
|
|
|
(In thousands, except per share data)
|
|
Excluding
Peninsula
Segment
|
|
Peninsula
Segment
|
|
Eliminations
|
|
Total
|
|
Borgata (1)
|
|
Eliminations
|
|
Boyd Gaming
Consolidated
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaming
|
|
$
|
329,769
|
|
$
|
114,343
|
|
$
|
—
|
|
$
|
444,112
|
|
$
|
187,556
|
|
$
|
—
|
|
$
|
631,668
|
|
Food and beverage
|
|
66,028
|
|
9,330
|
|
—
|
|
75,358
|
|
39,714
|
|
—
|
|
115,072
|
|
Room
|
|
39,706
|
|
—
|
|
—
|
|
39,706
|
|
35,624
|
|
—
|
|
75,330
|
|
Other
|
|
31,103
|
|
4,892
|
|
(4,608)
|
|
31,387
|
|
13,054
|
|
—
|
|
44,441
|
|
Gross revenues
|
|
466,606
|
|
128,565
|
|
(4,608)
|
|
590,563
|
|
275,948
|
|
—
|
|
866,511
|
|
Less promotional allowances
|
|
56,679
|
|
4,987
|
|
—
|
|
61,666
|
|
66,002
|
|
—
|
|
127,668
|
|
Net revenues
|
|
409,927
|
|
123,578
|
|
(4,608)
|
|
528,897
|
|
209,946
|
|
—
|
|
738,843
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaming
|
|
168,581
|
|
54,514
|
|
—
|
|
223,095
|
|
71,023
|
|
—
|
|
294,118
|
|
Food and beverage
|
|
35,325
|
|
6,463
|
|
—
|
|
41,788
|
|
19,723
|
|
—
|
|
61,511
|
|
Room
|
|
10,382
|
|
—
|
|
—
|
|
10,382
|
|
4,297
|
|
—
|
|
14,679
|
|
Other
|
|
18,877
|
|
8,346
|
|
(4,608)
|
|
22,615
|
|
10,939
|
|
—
|
|
33,554
|
|
Selling, general and administrative
|
|
68,995
|
|
12,468
|
|
—
|
|
81,463
|
|
31,973
|
|
—
|
|
113,436
|
|
Maintenance and utilities
|
|
26,417
|
|
3,517
|
|
—
|
|
29,934
|
|
15,116
|
|
—
|
|
45,050
|
|
Depreciation and amortization
|
|
33,386
|
|
18,644
|
|
—
|
|
52,030
|
|
14,138
|
|
—
|
|
66,168
|
|
Corporate expense
|
|
14,523
|
|
541
|
|
—
|
|
15,064
|
|
—
|
|
—
|
|
15,064
|
|
Preopening expenses
|
|
1,192
|
|
70
|
|
—
|
|
1,262
|
|
—
|
|
—
|
|
1,262
|
|
Impairments of assets
|
|
18,279
|
|
—
|
|
—
|
|
18,279
|
|
—
|
|
—
|
|
18,279
|
|
Asset transactions costs
|
|
2,494
|
|
195
|
|
—
|
|
2,689
|
|
375
|
|
—
|
|
3,064
|
|
Other, net
|
|
593
|
|
—
|
|
—
|
|
593
|
|
(1,709)
|
|
—
|
|
(1,116)
|
|
Total costs and expenses
|
|
399,044
|
|
104,758
|
|
(4,608)
|
|
499,194
|
|
165,875
|
|
—
|
|
665,069
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income from Borgata
|
|
22,036
|
|
—
|
|
—
|
|
22,036
|
|
—
|
|
(22,036)
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
|
|
32,919
|
|
18,820
|
|
—
|
|
51,739
|
|
44,071
|
|
(22,036)
|
|
73,774
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other expense (income)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income
|
|
(1)
|
|
(465)
|
|
—
|
|
(466)
|
|
—
|
|
—
|
|
(466)
|
|
Interest expense, net of amounts capitalized
|
|
38,452
|
|
19,159
|
|
—
|
|
57,611
|
|
17,809
|
|
—
|
|
75,420
|
|
Loss on early extinguishments of debt
|
|
1
|
|
70
|
|
—
|
|
71
|
|
—
|
|
—
|
|
71
|
|
Other, net
|
|
38
|
|
78
|
|
—
|
|
116
|
|
—
|
|
—
|
|
116
|
|
Other non-operating expenses from
Borgata, net
|
|
10,259
|
|
—
|
|
—
|
|
10,259
|
|
—
|
|
(10,259)
|
|
—
|
|
Total other expense, net
|
|
48,749
|
|
18,842
|
|
—
|
|
67,591
|
|
17,809
|
|
(10,259)
|
|
75,141
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from continuing
operations before taxes
|
|
(15,830)
|
|
(22)
|
|
—
|
|
(15,852)
|
|
26,262
|
|
(11,777)
|
|
(1,367)
|
|
Income taxes
|
|
7,843
|
|
(7,096)
|
|
—
|
|
747
|
|
(2,708)
|
|
—
|
|
(1,961)
|
|
Income (loss) from continuing
operations, net of tax
|
|
(7,987)
|
|
(7,118)
|
|
—
|
|
(15,105)
|
|
23,554
|
|
(11,777)
|
|
(3,328)
|
|
Income (loss) from discontinued
operations, net of tax
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
Net income (loss)
|
|
(7,987)
|
|
(7,118)
|
|
—
|
|
(15,105)
|
|
23,554
|
|
(11,777)
|
|
(3,328)
|
|
Net income attributable to
noncontrolling interest
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(11,777)
|
|
(11,777)
|
|
Net income (loss) attributable to
Boyd Gaming Corporation
|
|
$
|
(7,987)
|
|
$
|
(7,118)
|
|
$
|
—
|
|
$
|
(15,105)
|
|
$
|
23,554
|
|
$
|
(23,554)
|
|
$
|
(15,105)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BOYD GAMING CORPORATION
|
|
SUPPLEMENTAL INFORMATION
|
|
Condensed Consolidating Statements of Operations
|
|
Three Months Ended September 30, 2014
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Boyd Gaming Wholly Owned
|
|
|
|
|
|
|
|
(In thousands, except per share data)
|
|
Excluding
Peninsula
Segment
|
|
Peninsula
Segment
|
|
Eliminations
|
|
Total
|
|
Borgata (1)
|
|
Eliminations
|
|
Boyd Gaming
Consolidated
|
|
Basic net loss per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
|
|
|
|
|
|
|
$
|
(0.14)
|
|
|
|
|
|
$
|
(0.14)
|
|
Discontinued operations
|
|
|
|
|
|
|
|
—
|
|
|
|
|
|
—
|
|
Basic net loss per common share
|
|
|
|
|
|
|
|
$
|
(0.14)
|
|
|
|
|
|
$
|
(0.14)
|
|
Weighted average basic shares
outstanding
|
|
|
|
|
|
|
|
109,923
|
|
|
|
|
|
109,923
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted net loss per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
|
|
|
|
|
|
|
$
|
(0.14)
|
|
|
|
|
|
$
|
(0.14)
|
|
Discontinued operations
|
|
|
|
|
|
|
|
—
|
|
|
|
|
|
—
|
|
Diluted net loss per common share
|
|
|
|
|
|
|
|
$
|
(0.14)
|
|
|
|
|
|
$
|
(0.14)
|
|
Weighted average diluted shares
outstanding
|
|
|
|
|
|
|
|
109,923
|
|
|
|
|
|
109,923
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Borgata's financial results include the impact of certain valuation adjustments made upon consolidation. These valuation adjustments are not pushed down to Borgata and are therefore not reflected in Borgata's standalone financial statements.
|
|
|
|
BOYD GAMING CORPORATION
|
|
SUPPLEMENTAL INFORMATION
|
|
Condensed Consolidating Statements of Operations
|
|
Three Months Ended September 30, 2013
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Boyd Gaming Wholly Owned
|
|
|
|
|
|
|
|
(In thousands, except per share data)
|
|
Excluding
Peninsula
Segment
|
|
Peninsula
Segment
|
|
Eliminations
|
|
Total
|
|
Borgata (1)
|
|
Eliminations
|
|
Boyd Gaming
Consolidated
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaming
|
|
$
|
334,874
|
|
$
|
121,383
|
|
$
|
—
|
|
$
|
456,257
|
|
$
|
176,980
|
|
$
|
—
|
|
$
|
633,237
|
|
Food and beverage
|
|
65,485
|
|
9,759
|
|
—
|
|
75,244
|
|
39,153
|
|
—
|
|
114,397
|
|
Room
|
|
38,318
|
|
—
|
|
—
|
|
38,318
|
|
33,981
|
|
—
|
|
72,299
|
|
Other
|
|
30,248
|
|
5,148
|
|
(4,884)
|
|
30,512
|
|
13,296
|
|
—
|
|
43,808
|
|
Gross revenues
|
|
468,925
|
|
136,290
|
|
(4,884)
|
|
600,331
|
|
263,410
|
|
—
|
|
863,741
|
|
Less promotional allowances
|
|
56,245
|
|
5,568
|
|
—
|
|
61,813
|
|
63,359
|
|
—
|
|
125,172
|
|
Net revenues
|
|
412,680
|
|
130,722
|
|
(4,884)
|
|
538,518
|
|
200,051
|
|
—
|
|
738,569
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaming
|
|
173,087
|
|
57,480
|
|
—
|
|
230,567
|
|
71,806
|
|
—
|
|
302,373
|
|
Food and beverage
|
|
34,940
|
|
6,627
|
|
—
|
|
41,567
|
|
16,088
|
|
—
|
|
57,655
|
|
Room
|
|
10,592
|
|
—
|
|
—
|
|
10,592
|
|
1,964
|
|
—
|
|
12,556
|
|
Other
|
|
18,232
|
|
8,993
|
|
(4,884)
|
|
22,341
|
|
10,715
|
|
—
|
|
33,056
|
|
Selling, general and administrative
|
|
72,380
|
|
13,627
|
|
—
|
|
86,007
|
|
36,830
|
|
—
|
|
122,837
|
|
Maintenance and utilities
|
|
26,073
|
|
3,605
|
|
—
|
|
29,678
|
|
16,057
|
|
—
|
|
45,735
|
|
Depreciation and amortization
|
|
32,455
|
|
22,210
|
|
—
|
|
54,665
|
|
14,337
|
|
—
|
|
69,002
|
|
Corporate expense
|
|
11,850
|
|
234
|
|
—
|
|
12,084
|
|
—
|
|
—
|
|
12,084
|
|
Preopening expenses
|
|
1,260
|
|
—
|
|
—
|
|
1,260
|
|
415
|
|
—
|
|
1,675
|
|
Impairments of assets
|
|
1,250
|
|
—
|
|
—
|
|
1,250
|
|
—
|
|
—
|
|
1,250
|
|
Asset transactions costs
|
|
(1,296)
|
|
133
|
|
—
|
|
(1,163)
|
|
(199)
|
|
—
|
|
(1,362)
|
|
Other, net
|
|
178
|
|
62
|
|
—
|
|
240
|
|
3,146
|
|
—
|
|
3,386
|
|
Total costs and expenses
|
|
381,001
|
|
112,971
|
|
(4,884)
|
|
489,088
|
|
171,159
|
|
—
|
|
660,247
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income from Borgata
|
|
14,446
|
|
—
|
|
—
|
|
14,446
|
|
—
|
|
(14,446)
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
|
|
46,125
|
|
17,751
|
|
—
|
|
63,876
|
|
28,892
|
|
(14,446)
|
|
78,322
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other expense (income)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income
|
|
—
|
|
(553)
|
|
—
|
|
(553)
|
|
—
|
|
—
|
|
(553)
|
|
Interest expense, net of amounts capitalized
|
|
42,956
|
|
19,908
|
|
|
|
62,864
|
|
20,281
|
|
—
|
|
83,145
|
|
Loss on early extinguishments of debt
|
|
24,605
|
|
—
|
|
—
|
|
24,605
|
|
2,536
|
|
—
|
|
27,141
|
|
Other, net
|
|
87
|
|
49
|
|
—
|
|
136
|
|
—
|
|
—
|
|
136
|
|
Other non-operating expenses from
Borgata, net
|
|
11,775
|
|
—
|
|
—
|
|
11,775
|
|
—
|
|
(11,775)
|
|
—
|
|
Total other expense, net
|
|
79,423
|
|
19,404
|
|
—
|
|
98,827
|
|
22,817
|
|
(11,775)
|
|
109,869
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from continuing
operations before taxes
|
|
(33,298)
|
|
(1,653)
|
|
—
|
|
(34,951)
|
|
6,075
|
|
(2,671)
|
|
(31,547)
|
|
Income taxes
|
|
1,052
|
|
(3,368)
|
|
—
|
|
(2,316)
|
|
(732)
|
|
—
|
|
(3,048)
|
|
Income (loss) from continuing
operations, net of tax
|
|
(32,246)
|
|
(5,021)
|
|
—
|
|
(37,267)
|
|
5,343
|
|
(2,671)
|
|
(34,595)
|
|
Income from discontinued
operations, net of tax
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
Net income (loss)
|
|
(32,246)
|
|
(5,021)
|
|
—
|
|
(37,267)
|
|
5,343
|
|
(2,671)
|
|
(34,595)
|
|
Net income attributable to
noncontrolling interest
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(2,672)
|
|
(2,672)
|
|
Net income (loss) attributable to
Boyd Gaming Corporation
|
|
$
|
(32,246)
|
|
$
|
(5,021)
|
|
$
|
—
|
|
$
|
(37,267)
|
|
$
|
5,343
|
|
$
|
(5,343)
|
|
$
|
(37,267)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BOYD GAMING CORPORATION
|
|
SUPPLEMENTAL INFORMATION
|
|
Condensed Consolidating Statements of Operations
|
|
Three Months Ended September 30, 2013
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Boyd Gaming Wholly Owned
|
|
|
|
|
|
|
|
(In thousands, except per share data)
|
|
Excluding
Peninsula
Segment
|
|
Peninsula Segment
|
|
Eliminations
|
|
Total
|
|
Borgata (1)
|
|
Eliminations
|
|
Boyd Gaming
Consolidated
|
|
Basic net loss per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
|
|
|
|
|
|
|
$
|
(0.37)
|
|
|
|
|
|
$
|
(0.37)
|
|
Discontinued operations
|
|
|
|
|
|
|
|
—
|
|
|
|
|
|
—
|
|
Basic net loss per common share
|
|
|
|
|
|
|
|
$
|
(0.37)
|
|
|
|
|
|
$
|
(0.37)
|
|
Weighted average basic shares
outstanding
|
|
|
|
|
|
|
|
101,555
|
|
|
|
|
|
101,555
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted net loss per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
|
|
|
|
|
|
|
$
|
(0.37)
|
|
|
|
|
|
$
|
(0.37)
|
|
Discontinued operations
|
|
|
|
|
|
|
|
—
|
|
|
|
|
|
—
|
|
Diluted net loss per common share
|
|
|
|
|
|
|
|
$
|
(0.37)
|
|
|
|
|
|
$
|
(0.37)
|
|
Weighted average diluted shares
outstanding
|
|
|
|
|
|
|
|
101,555
|
|
|
|
|
|
101,555
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Borgata's financial results include the impact of certain valuation adjustments made upon consolidation. These valuation adjustments are not pushed down to Borgata and are therefore not reflected in Borgata's standalone financial statements.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BOYD GAMING CORPORATION
|
|
SUPPLEMENTAL INFORMATION
|
|
Condensed Consolidating Statements of Operations
|
|
Nine Months Ended September 30, 2014
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Boyd Gaming Wholly Owned
|
|
|
|
|
|
|
|
(In thousands, except per share data)
|
|
Excluding
Peninsula
Segment
|
|
Peninsula
Segment
|
|
Eliminations
|
|
Total
|
|
Borgata (1)
|
|
Eliminations
|
|
Boyd
Gaming
Consolidated
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaming
|
|
$
|
1,005,063
|
|
$
|
346,435
|
|
$
|
—
|
|
$
|
1,351,498
|
|
$
|
507,841
|
|
$
|
—
|
|
$
|
1,859,339
|
|
Food and beverage
|
|
198,848
|
|
28,388
|
|
—
|
|
227,236
|
|
104,832
|
|
—
|
|
332,068
|
|
Room
|
|
119,277
|
|
—
|
|
—
|
|
119,277
|
|
90,795
|
|
—
|
|
210,072
|
|
Other
|
|
93,135
|
|
13,615
|
|
(14,109)
|
|
92,641
|
|
31,933
|
|
—
|
|
124,574
|
|
Gross revenues
|
|
1,416,323
|
|
388,438
|
|
(14,109)
|
|
1,790,652
|
|
735,401
|
|
—
|
|
2,526,053
|
|
Less promotional allowances
|
|
165,156
|
|
14,834
|
|
—
|
|
179,990
|
|
176,337
|
|
—
|
|
356,327
|
|
Net revenues
|
|
1,251,167
|
|
373,604
|
|
(14,109)
|
|
1,610,662
|
|
559,064
|
|
—
|
|
2,169,726
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaming
|
|
503,339
|
|
164,680
|
|
—
|
|
668,019
|
|
199,487
|
|
—
|
|
867,506
|
|
Food and beverage
|
|
107,599
|
|
18,714
|
|
—
|
|
126,313
|
|
53,663
|
|
—
|
|
179,976
|
|
Room
|
|
31,556
|
|
—
|
|
—
|
|
31,556
|
|
10,774
|
|
—
|
|
42,330
|
|
Other
|
|
55,876
|
|
23,859
|
|
(14,109)
|
|
65,626
|
|
26,082
|
|
—
|
|
91,708
|
|
Selling, general and administrative
|
|
210,129
|
|
37,435
|
|
—
|
|
247,564
|
|
101,930
|
|
—
|
|
349,494
|
|
Maintenance and utilities
|
|
74,019
|
|
10,108
|
|
—
|
|
84,127
|
|
47,210
|
|
—
|
|
131,337
|
|
Depreciation and amortization
|
|
100,683
|
|
55,433
|
|
—
|
|
156,116
|
|
42,129
|
|
—
|
|
198,245
|
|
Corporate expense
|
|
51,257
|
|
1,348
|
|
—
|
|
52,605
|
|
—
|
|
—
|
|
52,605
|
|
Preopening expenses
|
|
2,888
|
|
679
|
|
—
|
|
3,567
|
|
269
|
|
—
|
|
3,836
|
|
Impairments of assets
|
|
20,205
|
|
—
|
|
—
|
|
20,205
|
|
—
|
|
—
|
|
20,205
|
|
Asset transactions costs
|
|
4,389
|
|
315
|
|
—
|
|
4,704
|
|
374
|
|
—
|
|
5,078
|
|
Other, net
|
|
165
|
|
83
|
|
—
|
|
248
|
|
(2,111)
|
|
—
|
|
(1,863)
|
|
Total costs and expenses
|
|
1,162,105
|
|
312,654
|
|
(14,109)
|
|
1,460,650
|
|
479,807
|
|
—
|
|
1,940,457
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income from Borgata
|
|
39,629
|
|
—
|
|
—
|
|
39,629
|
|
—
|
|
(39,629)
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
|
|
128,691
|
|
60,950
|
|
—
|
|
189,641
|
|
79,257
|
|
(39,629)
|
|
229,269
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other expense (income)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income
|
|
(4)
|
|
(1,408)
|
|
—
|
|
(1,412)
|
|
—
|
|
—
|
|
(1,412)
|
|
Interest expense, net of amounts capitalized
|
|
115,240
|
|
57,652
|
|
—
|
|
172,892
|
|
53,327
|
|
—
|
|
226,219
|
|
Loss on early extinguishments of debt
|
|
—
|
|
1,129
|
|
—
|
|
1,129
|
|
—
|
|
—
|
|
1,129
|
|
Other, net
|
|
403
|
|
95
|
|
—
|
|
498
|
|
—
|
|
—
|
|
498
|
|
Other non-operating expenses from
Borgata, net
|
|
28,226
|
|
—
|
|
—
|
|
28,226
|
|
—
|
|
(28,226)
|
|
—
|
|
Total other expense, net
|
|
143,865
|
|
57,468
|
|
—
|
|
201,333
|
|
53,327
|
|
(28,226)
|
|
226,434
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from continuing
operations before taxes
|
|
(15,174)
|
|
3,482
|
|
—
|
|
(11,692)
|
|
25,930
|
|
(11,403)
|
|
2,835
|
|
Income taxes
|
|
2,457
|
|
(11,383)
|
|
—
|
|
(8,926)
|
|
(3,124)
|
|
—
|
|
(12,050)
|
|
Income (loss) from continuing
operations, net of tax
|
|
(12,717)
|
|
(7,901)
|
|
—
|
|
(20,618)
|
|
22,806
|
|
(11,403)
|
|
(9,215)
|
|
Income (loss) from discontinued
operations, net of tax
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
Net income (loss)
|
|
(12,717)
|
|
(7,901)
|
|
—
|
|
(20,618)
|
|
22,806
|
|
(11,403)
|
|
(9,215)
|
|
Net loss attributable to
noncontrolling interest
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(11,403)
|
|
(11,403)
|
|
Net income (loss) attributable to
Boyd Gaming Corporation
|
|
$
|
(12,717)
|
|
$
|
(7,901)
|
|
$
|
—
|
|
$
|
(20,618)
|
|
$
|
22,806
|
|
$
|
(22,806)
|
|
$
|
(20,618)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BOYD GAMING CORPORATION
|
|
SUPPLEMENTAL INFORMATION
|
|
Condensed Consolidating Statements of Operations
|
|
Nine Months Ended September 30, 2014
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Boyd Gaming Wholly Owned
|
|
|
|
|
|
|
|
(In thousands, except per share data)
|
|
Excluding
Peninsula
Segment
|
|
Peninsula
Segment
|
|
Eliminations
|
|
Total
|
|
Borgata (1)
|
|
Eliminations
|
|
Boyd Gaming
Consolidated
|
|
Basic net loss per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
|
|
|
|
|
|
|
$
|
(0.19)
|
|
|
|
|
|
$
|
(0.19)
|
|
Discontinued operations
|
|
|
|
|
|
|
|
—
|
|
|
|
|
|
—
|
|
Basic net loss per common share
|
|
|
|
|
|
|
|
$
|
(0.19)
|
|
|
|
|
|
$
|
(0.19)
|
|
Weighted average basic shares
outstanding
|
|
|
|
|
|
|
|
109,854
|
|
|
|
|
|
109,854
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted net loss per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
|
|
|
|
|
|
|
$
|
(0.19)
|
|
|
|
|
|
$
|
(0.19)
|
|
Discontinued operations
|
|
|
|
|
|
|
|
—
|
|
|
|
|
|
—
|
|
Diluted net loss per common share
|
|
|
|
|
|
|
|
$
|
(0.19)
|
|
|
|
|
|
$
|
(0.19)
|
|
Weighted average diluted shares
outstanding
|
|
|
|
|
|
|
|
109,854
|
|
|
|
|
|
109,854
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Borgata's financial results include the impact of certain valuation adjustments made upon consolidation. These valuation adjustments are not pushed down to Borgata and are therefore not reflected in Borgata's standalone financial statements.
|
|
|
|
BOYD GAMING CORPORATION
|
|
SUPPLEMENTAL INFORMATION
|
|
Condensed Consolidating Statements of Operations
|
|
Nine Months Ended September 30, 2013
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Boyd Gaming Wholly Owned
|
|
|
|
|
|
|
|
|
|
(In thousands, except per share data)
|
|
Excluding
Peninsula
Segment
|
|
Peninsula
Segment
|
|
Eliminations
|
|
Total
|
|
Borgata (1)
|
|
LVE
(Variable Interest Entity) (2)
|
|
Eliminations
|
|
Boyd
Gaming
Consolidated
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaming
|
|
$
|
1,047,770
|
|
$
|
373,910
|
|
$
|
—
|
|
$
|
1,421,680
|
|
$
|
472,042
|
|
$
|
—
|
|
$
|
—
|
|
$
|
1,893,722
|
|
Food and beverage
|
|
201,240
|
|
29,524
|
|
—
|
|
230,764
|
|
108,211
|
|
—
|
|
—
|
|
338,975
|
|
Room
|
|
114,178
|
|
—
|
|
—
|
|
114,178
|
|
89,130
|
|
—
|
|
—
|
|
203,308
|
|
Other
|
|
93,427
|
|
13,415
|
|
(15,162)
|
|
91,680
|
|
33,337
|
|
1,933
|
|
(1,933)
|
|
125,017
|
|
Gross revenues
|
|
1,456,615
|
|
416,849
|
|
(15,162)
|
|
1,858,302
|
|
702,720
|
|
1,933
|
|
(1,933)
|
|
2,561,022
|
|
Less promotional allowances
|
|
167,541
|
|
16,432
|
|
—
|
|
183,973
|
|
164,148
|
|
—
|
|
—
|
|
348,121
|
|
Net revenues
|
|
1,289,074
|
|
400,417
|
|
(15,162)
|
|
1,674,329
|
|
538,572
|
|
1,933
|
|
(1,933)
|
|
2,212,901
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaming
|
|
525,254
|
|
174,038
|
|
—
|
|
699,292
|
|
188,144
|
|
—
|
|
—
|
|
887,436
|
|
Food and beverage
|
|
107,334
|
|
20,141
|
|
—
|
|
127,475
|
|
54,475
|
|
—
|
|
—
|
|
181,950
|
|
Room
|
|
31,444
|
|
—
|
|
—
|
|
31,444
|
|
10,167
|
|
—
|
|
—
|
|
41,611
|
|
Other
|
|
55,895
|
|
24,806
|
|
(15,162)
|
|
65,539
|
|
26,890
|
|
—
|
|
—
|
|
92,429
|
|
Selling, general and administrative
|
|
220,277
|
|
42,361
|
|
—
|
|
262,638
|
|
111,227
|
|
—
|
|
—
|
|
373,865
|
|
Maintenance and utilities
|
|
71,235
|
|
9,925
|
|
—
|
|
81,160
|
|
44,826
|
|
—
|
|
—
|
|
125,986
|
|
Depreciation and amortization
|
|
97,737
|
|
66,173
|
|
—
|
|
163,910
|
|
45,448
|
|
—
|
|
—
|
|
209,358
|
|
Corporate expense
|
|
40,487
|
|
2,101
|
|
—
|
|
42,588
|
|
—
|
|
—
|
|
—
|
|
42,588
|
|
Preopening expenses
|
|
6,202
|
|
91
|
|
—
|
|
6,293
|
|
469
|
|
—
|
|
(1,933)
|
|
4,829
|
|
Impairments of assets
|
|
1,250
|
|
—
|
|
—
|
|
1,250
|
|
5,032
|
|
—
|
|
—
|
|
6,282
|
|
Asset transactions costs
|
|
1,768
|
|
292
|
|
—
|
|
2,060
|
|
205
|
|
—
|
|
—
|
|
2,265
|
|
Other, net
|
|
1,836
|
|
199
|
|
—
|
|
2,035
|
|
3,146
|
|
—
|
|
—
|
|
5,181
|
|
Total costs and expenses
|
|
1,160,719
|
|
340,127
|
|
(15,162)
|
|
1,485,684
|
|
490,029
|
|
—
|
|
(1,933)
|
|
1,973,780
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income from Borgata
|
|
24,271
|
|
—
|
|
—
|
|
24,271
|
|
—
|
|
—
|
|
(24,271)
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
|
|
152,626
|
|
60,290
|
|
—
|
|
212,916
|
|
48,543
|
|
1,933
|
|
(24,271)
|
|
239,121
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other expense (income)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income
|
|
(145)
|
|
(1,634)
|
|
—
|
|
(1,779)
|
|
—
|
|
—
|
|
—
|
|
(1,779)
|
|
Interest expense, net of amounts capitalized
|
|
139,570
|
|
63,107
|
|
|
|
202,677
|
|
61,899
|
|
2,377
|
|
|
|
266,953
|
|
Loss on early extinguishments of debt
|
|
25,001
|
|
1,976
|
|
—
|
|
26,977
|
|
2,536
|
|
—
|
|
—
|
|
29,513
|
|
Other, net
|
|
(729)
|
|
394
|
|
—
|
|
(335)
|
|
—
|
|
—
|
|
—
|
|
(335)
|
|
Other non-operating expenses
from Borgata, net
|
|
31,867
|
|
—
|
|
—
|
|
31,867
|
|
—
|
|
—
|
|
(31,867)
|
|
—
|
|
Total other expense, net
|
|
195,564
|
|
63,843
|
|
—
|
|
259,407
|
|
64,435
|
|
2,377
|
|
(31,867)
|
|
294,352
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from continuing
operations before taxes
|
|
(42,938)
|
|
(3,553)
|
|
—
|
|
(46,491)
|
|
(15,892)
|
|
(444)
|
|
7,596
|
|
(55,231)
|
|
Income taxes
|
|
13,036
|
|
(10,259)
|
|
—
|
|
2,777
|
|
701
|
|
—
|
|
—
|
|
3,478
|
|
Income (loss) from continuing
operations, net of tax
|
|
(29,902)
|
|
(13,812)
|
|
—
|
|
(43,714)
|
|
(15,191)
|
|
(444)
|
|
7,596
|
|
(51,753)
|
|
Income from discontinued
operations, net of tax
|
|
10,790
|
|
—
|
|
—
|
|
10,790
|
|
—
|
|
—
|
|
—
|
|
10,790
|
|
Net income (loss)
|
|
(19,112)
|
|
(13,812)
|
|
—
|
|
(32,924)
|
|
(15,191)
|
|
(444)
|
|
7,596
|
|
(40,963)
|
|
Net loss attributable to
noncontrolling interest
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
444
|
|
7,595
|
|
8,039
|
|
Net income (loss) attributable to
Boyd Gaming Corporation
|
|
$
|
(19,112)
|
|
$
|
(13,812)
|
|
$
|
—
|
|
$
|
(32,924)
|
|
$
|
(15,191)
|
|
$
|
—
|
|
$
|
15,191
|
|
$
|
(32,924)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BOYD GAMING CORPORATION
|
|
SUPPLEMENTAL INFORMATION
|
|
Condensed Consolidating Statements of Operations
|
|
Nine Months Ended September 30, 2013
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Boyd Gaming Wholly Owned
|
|
|
|
|
|
|
|
|
|
(In thousands, except per share data)
|
|
Excluding
Peninsula
Segment
|
|
Peninsula Segment
|
|
Eliminations
|
|
Total
|
|
Borgata (1)
|
|
LVE
(Variable
Interest
Entity) (2)
|
|
Eliminations
|
|
Boyd Gaming
Consolidated
|
|
Basic net loss per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
|
|
|
|
|
|
|
$
|
(0.47)
|
|
|
|
|
|
|
|
$
|
(0.47)
|
|
Discontinued operations
|
|
|
|
|
|
|
|
0.12
|
|
|
|
|
|
|
|
0.12
|
|
Basic net loss per common share
|
|
|
|
|
|
|
|
$
|
(0.35)
|
|
|
|
|
|
|
|
$
|
(0.35)
|
|
Weighted average basic shares
outstanding
|
|
|
|
|
|
|
|
93,122
|
|
|
|
|
|
|
|
93,122
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted net loss per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing operations
|
|
|
|
|
|
|
|
$
|
(0.47)
|
|
|
|
|
|
|
|
$
|
(0.47)
|
|
Discontinued operations
|
|
|
|
|
|
|
|
0.12
|
|
|
|
|
|
|
|
0.12
|
|
Diluted net loss per common share
|
|
|
|
|
|
|
|
$
|
(0.35)
|
|
|
|
|
|
|
|
$
|
(0.35)
|
|
Weighted average diluted shares
outstanding
|
|
|
|
|
|
|
|
93,122
|
|
|
|
|
|
|
|
93,122
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Borgata's financial results include the impact of certain valuation adjustments made upon consolidation. These valuation adjustments are not pushed down to Borgata and are therefore not reflected in Borgata's standalone financial statements.
|
|
(2)
|
Boyd Gaming's contractual agreements with LVE were terminated on March 4, 2013, in connection with the sale of the Echelon development site. As a result, Boyd Gaming ceased consolidation of LVE as of that date. The financial results presented for LVE include only that portion of the period that the variable interest entity was consolidated by Boyd Gaming.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Financial Measures
Regulation G, "Conditions for Use of Non-GAAP Financial Measures," prescribes the conditions for use of non-GAAP financial information in public disclosures. We believe that our presentations of the following non-GAAP financial measures are important supplemental measures of operating performance to investors: earnings before interest, taxes, depreciation and amortization (EBITDA), Adjusted EBITDA, Adjusted Earnings and Adjusted Earnings Per Share (Adjusted EPS). The following discussion defines these terms and why we believe they are useful measures of our performance. We do not provide a reconciliation of forward-looking non-GAAP financial measures to the corresponding forward-looking GAAP measure due to our inability to project special charges and certain expenses.
EBITDA and Adjusted EBITDA
EBITDA is a commonly used measure of performance in our industry that we believe, when considered with measures calculated in accordance with accounting principles generally accepted in the United States ("GAAP"), provides our investors a more complete understanding of our operating results before the impact of investing and financing transactions and income taxes and facilitates comparisons between us and our competitors. Management has historically adjusted EBITDA when evaluating operating performance because we believe that the inclusion or exclusion of certain recurring and non-recurring items is necessary to provide the most accurate measure of our core operating results and as a means to evaluate period-to-period results. We refer to this measure as Adjusted EBITDA. We have chosen to provide this information to investors to enable them to perform more meaningful comparisons of past, present and future operating results and as a means to evaluate the results of core on-going operations. We have historically reported this measure to our investors and believe that the continued inclusion of Adjusted EBITDA provides consistency in our financial reporting. We use Adjusted EBITDA in this press release because we believe it is useful to investors in allowing greater transparency related to a significant measure used by our management in their financial and operational decision-making. Adjusted EBITDA is among the more significant factors in management's internal evaluation of total company and individual property performance and in the evaluation of incentive compensation related to property management. Management also uses Adjusted EBITDA as a measure in the evaluation of potential acquisitions and dispositions. Adjusted EBITDA is also used by management in the annual budget process. Externally, we believe these measures continue to be used by investors in their assessment of our operating performance and the valuation of our company. Adjusted EBITDA reflects EBITDA adjusted for deferred rent, preopening expenses, share-based compensation expense, impairments of assets, asset transactions costs, loss on early extinguishments of debt and other operating charges, net, and Borgata's non-operating expenses, preopening expenses and other items and write-downs, net. In addition, Adjusted EBITDA includes corporate expense.
Adjusted Earnings and Adjusted EPS
Adjusted Earnings is net income (loss) before preopening expenses, asset transactions costs, impairments of assets, write-downs and other charges, net, gain or loss on early retirements of debt, other non-recurring adjustments, net, valuation adjustments related to the consolidation of Borgata, and Borgata's preopening expenses and other items and write-downs, net. Adjusted Earnings and Adjusted EPS are presented solely as supplemental disclosures because management believes that they are widely used measures of performance in the gaming industry.
Limitations on the Use of Non-GAAP Measures
The use of EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS and certain other non-GAAP financial measures has certain limitations. Our presentation of EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS or certain other non-GAAP financial measures may be different from the presentation used by other companies and therefore comparability may be limited. Depreciation and amortization expense, interest expense, income taxes and other items have been and will be incurred and are not reflected in the presentation of EBITDA or Adjusted EBITDA. Each of these items should also be considered in the overall evaluation of our results. Additionally, EBITDA and Adjusted EBITDA do not consider capital expenditures and other investing activities and should not be considered as a measure of our liquidity. We compensate for these limitations by providing the relevant disclosure of our depreciation and amortization, interest and income taxes, capital expenditures and other items both in our reconciliations to the historical GAAP financial measures and in our consolidated financial statements, all of which should be considered when evaluating our performance.
EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS and certain other non-GAAP financial measures are used in addition to and in conjunction with results presented in accordance with GAAP. EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS and certain other non-GAAP financial measures should not be considered as an alternative to net income, operating income, or any other operating performance measure prescribed by GAAP, nor should these measures be relied upon to the exclusion of GAAP financial measures. EBITDA, Adjusted EBITDA, Adjusted Earnings, Adjusted EPS and certain other non-GAAP financial measures reflect additional ways of viewing our operations that we believe, when viewed with our GAAP results and the reconciliations to the corresponding historical GAAP financial measures, provide a more complete understanding of factors and trends affecting our business than could be obtained absent this disclosure. Management strongly encourages investors to review our financial information in its entirety and not to rely on a single financial measure.
Forward-looking Statements and Company Information
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements contain words such as "may," "will," "might," "expect," "believe," "anticipate," "could," "would," "estimate," "continue," "pursue," or the negative thereof or comparable terminology, and may include (without limitation) information regarding the Company's expectations, goals or intentions regarding future performance. In addition, forward-looking statements in this press release include statements regarding: the resumption of growth in the Company's Nevada business; possible stabilization in the Company's regional business; commencement of work on several long-term projects to reposition select amenities; progress in executing the Company's strategy to drive profitability, growth and increase long-term shareholder value; and discussion under the heading "Full-Year Guidance." Forward-looking statements involve certain risks and uncertainties, and actual results may differ materially from those discussed in any such statement. These risks and uncertainties include, but are not limited to: fluctuations in the Company's operating results; recovery of its properties in various markets; the state of the economy and its effect on consumer spending and the Company's results of operations; the timing for economic recovery, its effect on the Company's business and the local economies where the Company's properties are located; the receipt of legislative, and other state, federal and local approvals for the Company's development projects in Florida, California and other jurisdictions; whether online gaming will become legalized in various states, the Company's ability to operate online gaming profitably, or otherwise; consumer reaction to fluctuations in the stock market and economic factors; the fact that the Company's expansion, development and renovation projects (including enhancements to improve property performance) are subject to many risks inherent in expansion, development or construction of a new or existing project; the effects of events adversely impacting the economy or the regions from which the Company draws a significant percentage of its customers; competition; litigation; financial community and rating agency perceptions of the Company and its subsidiaries; changes in laws and regulations, including increased taxes; the availability and price of energy, weather, regulation, economic, credit and capital market conditions; and the effects of war, terrorist or similar activity. Additional factors that could cause actual results to differ are discussed under the heading "Risk Factors" and in other sections of the Company's Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q, and in the Company's other current and periodic reports filed from time to time with the SEC. All forward-looking statements in this press release are made as of the date hereof, based on information available to the Company as of the date hereof, and the Company assumes no obligation to update any forward-looking statement.
About Boyd Gaming
Headquartered in Las Vegas, Boyd Gaming Corporation (NYSE: BYD) is a leading diversified owner and operator of 22 gaming entertainment properties located in Nevada, Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi and New Jersey. Boyd Gaming press releases are available at www.prnewswire.com. Additional news and information on Boyd Gaming can be found at www.boydgaming.com.
Logo - http://photos.prnewswire.com/prnh/20030219/BOYDLOGO
SOURCE Boyd Gaming Corporation