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Weak Results For Boyd Gaming group

Friday August 1,2014 :  BOYD GAMING CHIEF BULLISH ON INTERNET OPERATIONS
 
But lacklustre overall results for US gaming giant.
 
Continued weakness in casual play was the root cause for the weak performance of the Boyd Gaming group, said CEO Kevin Smith this week as he revealed that the US gambling group had suffered a decline in profit and revenue in the second quarter.
 
Group profits were significantly down, declining from $11.6 million in Q2-2013 to only $700,000 this year.
 
Revenue for the three months to end June was down 2 percent at $722.5 million, with adjusted earnings up at $160.2 million, thanks to an $11 million tax settlement from its Atlantic City joint interests with MGM, where Boyd has a 50 percent stake in the Borgata.
 
Boyd’s share of the Borgata in New Jersey delivered just under $182 million, rising by $9 million from the preceding year.
 
Online gambling operations contributed a useful $6.7 million to that amount, helping adjusted earnings for Borgata to reach $30,8 million - a 11 percent increase.
 
Smith took a positive outlook on the company's online gambling activities in New Jersey, where its partnership with MGM has seen the market-leading Borgata brand break even in July, an occurrence which Smith characterised as a key milestone in the continued development of the internet enterprise.
 
Despite lower than expected results for the genre, which lost $1.8 million in the quarter, Smith remains confident, saying that he expects online gambling revenues to start picking up in New Jersey as the weather cools.
 
Philly.com reports that Borgata's share of online gaming revenues in New Jersey was 29 percent.
 
Smith revealed that Boyd's future plans include the launch of a mobile sports book in Nevada in the near future.



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Betvictor Closing In House Live Dealer Operations - Citing an operational performance that did not support the costs involved, a BetVictor spokesman revealed this week that the company is shuttering its in-house live dealer venture in favour of operations through third party providers.

New Development in Paul Phua Case - Phua is set to appear for trial on April 13, and the hearings are sure to trigger another avalanche of publicity, not all of it good for the US enforcement agencies.

PartyPoker PokerFest - Bwin subsidiary PartyPoker has previewed its next outing for the Pokerfest series, advising that starting March 29 and running through to April 12 it will be offering a total of 77 online tournament events and over $2.4 million in guaranteed prize pools.

Medialive close to deals with Casino di Sanremo and Perla Casino - The Malta-based Medialive live dealer provider is extending its reach by negotiating deals that will see its offering expanded to land casinos, enabling them to provide online games broadcast directly from their gaming floors.

Easter Eggs Slot Launches - Online gambling software provider Play'n Go is backing its newly released online slot Easter Eggs with extensive operator-based promotional activity that includes a 9-day luxury safarei trip to South Africa.

Irish Online Betting Tax - On Thursday finance minister Michael Noonan confirmed that the measure has been sent to the president's office for signature into law, which will make implementation possible by the middle of the year.

Adelson symbolism - Washington Post journos were quick to pick up on the symbolism of an incident in Congress this week in which Sheldon Adelson's wife Miriam, sitting in the public gallery with her husband for Israeli prime minister Benjamin Netanyahu’s speech, accidentally nudged her purse, which landed on the shoulder of Nebraska Representative Brad Ashford seated below.

Macau Tourist visitor capacity Review - In what appears to be a follow-on from comments earlier this month by Macau Social Affairs Secretary Alex Tam that there are concerns about the overly large numbers of mainland tourists visiting the gambling island, Chief Executive Chui Sai On has directed Tan to institute an appropriate review of the situation and the island's visitor capacity.

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