Max Marsh

Max Marsh asked for updated operational expectations for the transitional casino in Norfolk, Virginia, specifically whether it could generate profit before the permanent facility opens. He also inquired about Boyd Gaming's approach to iGaming expansion in new states and the opportunity to gain market share with their defined product strategy.

Answer

President and CEO Keith Smith reaffirmed the expectation for the transitional casino in Virginia to 'break even,' stating any slight positive or negative impact would not significantly move the dial. Regarding iGaming, Mr. Smith expressed support for its expansion across the country, provided legislation includes 'all the right elements' and is fair. He noted that Boyd Interactive has been a good source of growth and expects it to accelerate as more states legalize iGaming.

Max Marsh asked for updated operational expectations for the transitional casino in Norfolk, Virginia, specifically if it could generate profit before the permanent facility opens, given its good revenue performance. He also inquired about the company's approach to new iGaming state launches and potential for market share gains.

Answer

President and CEO Keith Smith stated that the transitional casino in Virginia is expected to break even, running at that level currently, and should be considered a break-even proposition until the permanent facility opens in late 2027. Regarding iGaming, Keith Smith expressed support for its expansion across the country, provided the legislation is fair. He noted that Boyd Interactive is growing and will accelerate with more states legalizing iGaming, viewing it as complementary to land-based properties and a way to broaden the customer base.

Max Marsh of CBRE asked if the strong performance in Brazil is influencing Flutter's strategy for expansion into other Latin American markets and if a specific 'Flutter Edge' is being developed for the region.

Answer

CEO Peter Jackson responded that Flutter continuously evaluates global opportunities, including those in Latin America, as part of its disciplined capital deployment strategy. He noted that while the team is always thinking about new markets, the immediate focus has been on closing the recent acquisitions in Brazil and Italy.

Max Marsh, on behalf of John DeCree at CBRE Group, Inc., asked about the resilience of the group business at Gaylord Opryland against new competition, given that management isolated recent softness to the transient segment.

Answer

EVP & COO Patrick Chaffin confirmed that the challenge at Gaylord Opryland is confined to transient ADR. He stated that the group business remains strong and is benefiting from recent capital expenditures, which are attracting a higher corporate mix and positioning the hotel favorably against all competition.

Max Mars of CBRE Group, Inc. inquired about VICI's interest in Australian gaming assets, like those of Star Entertainment, and asked about the company's top strategic priorities beyond accretion.

Answer

CEO Edward Pitoniak stated VICI has no interest in the Australian opportunity, citing significant regulatory turmoil and a lack of visibility into future asset earnings. He identified a top strategic priority as 'weatherproofing the business,' emphasizing proactive balance sheet management, such as the recent successful refinancing, to protect the company against market volatility.