Casino operator Boyd Gaming’s net income falls 73 percent as Americans hold on to cash

Casino operator Boyd’s 2nd-qtr earnings plunge

LAS VEGAS — Casino operator Boyd Gaming Corp. said Tuesday that its second-quarter net income plunged 73 percent as Americans continued to hold onto extra cash in an uncertain economy.

“The lingering effects of the recession have left consumers unusually sensitive to shifts in the economy, and they now react more quickly to economic data and other developments, such as fluctuations in the stock market,” Boyd CEO Keith Smith said in a statement.

The company’s results were worse than Wall Street anticipated. Boyd shares were down 63 cents, or 7 percent, to $8.38 in afternoon trading.

The company owns and runs 16 casinos in Nevada, New Jersey, Mississippi, Illinois, Indiana and Louisiana.

Boyd earned $3.4 million, or 4 cents per share, for the quarter that ended June 30, down from $12.8 million, or 15 cents per share, a year earlier.

Excluding certain one-time charges, the company would have earned 5 cents per share, while analysts surveyed by Thomson Reuters on average expected it to earn 10 cents per share excluding one-time items.

Revenue fell 6 percent to $578.4 million. Analysts expected $588.1 million.