Boyd Gaming cites soft market as first-quarter revenue lags in Las Vegas
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LAS VEGAS (KLAS) — Revenue in the Las Vegas locals market dipped by $15 million in the first three months of 2024 after a record 2023, Boyd Gaming officials said Thursday.
Revenue companywide came in at $960.5 million, about $3.5 million behind the first quarter of 2023. Revenue in Las Vegas has dropped from last year’s $240 million to this year’s $225 million during the first quarter.
Boyd Gaming President and CEO Keith Smith cited three reasons for the lower numbers in Las Vegas. First, a record 2023 would have been hard to match. Second, the December opening of Durango Casino & Resort has had an effect on competitors — both directly and indirectly. And third, Smith said the locals market has been softer since the beginning of the year.
Each of those factors took a $5 million bite.
Boyd owns nine resorts in Las Vegas: Aliante Casino + Hotel + Spa, The Orleans Hotel & Casino, Gold Coast Hotel & Casino, Suncoast Hotel & Casino, Sam’s Town Las Vegas, Cannery Casino Hotel, California Hotel & Casino, Fremont Hotel & Casino and Main Street Station Casino Brewery Hotel.
Downtown Las Vegas — where three of Boyd’s properties operate — was among the areas that performed worst in monthly numbers released Thursday by the Nevada Gaming Control Board. Downtown plunged 12.85% in March compared to March 2023.
For Boyd Gaming, part of the reason for problems downtown was airline ticket prices. The California Hotel & Casino relies on loyal customers in Hawaii, and flights have been significantly more expensive over the past three months, according to Smith. That crunch has started to ease, he said.
As far as competition from the new Durango Casino & Resort, opened by Station Casinos in December, Smith said the effect has been two-fold. The new resort is certainly a competitor, but it has also lit a fire under other resorts to amp up their marketing efforts. That has affected the Gold Coast and the Orleans to some degree, he said.
The company also owns properties in the Midwest that struggled in January because of bad weather, Smith said.
