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Boyd Gaming lost $220.8M in fourth quarter


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POSTED: Friday, February 27, 2009

LAS VEGAS >> Boyd Gaming Corp., which operates six nonstop flights a week between Honolulu and Las Vegas through its Vacations Hawaii subsidiary, posted a fourth-quarter loss of $220.8 million yesterday due to impairment charges related to some prior acquisitions and a consumer spending pullback, but adjusted results met analysts' estimates.

Like many casino operators, Boyd has been squeezed as consumers tighten their discretionary spending due to mounting economic and job concerns.

Vacations Hawaii's revenue for the quarter decreased 13.2 percent to $10.5 million from $12.1 million.

“;Our (overall) fourth-quarter results reflect the ongoing recessionary environment. With consumer confidence at all-time lows, people continue to scale back on discretionary spending,”; President and Chief Executive Keith Smith said in a statement.

For the period ended Dec. 31, the casino operator reported a loss of $2.51 a share. That compares with a profit of $31.2 million, or 35 cents per share, a year earlier.

Quarterly results included $290.2 million in impairment charges, which were taken to write down some acquisitions to account for their fair value as of Dec. 31.

Adjusted earnings from continuing operations were $11.4 million, or 13 cents a share, which met the expectations of analysts polled by Thomson Reuters.

Analysts' estimates typically exclude one-time items.

Las Vegas-based Boyd has 16 gambling properties in Nevada, New Jersey, Mississippi, Illinois, Indiana, and Louisiana.