* To not exercise option to buy MGM's Borgata interest
* Adj EPS $0.02 vs est $0.05
* Rev falls 4 pct to $595.4 mln vs est $589 mln
Oct 25 Casino operator Boyd Gaming Corp (BYD.N)
posted an 11 percent drop in its quarterly profit amid a
continued weakness in consumer spending, especially at its Las
Separately, Boyd also said it will not exercise its right
to match the offer MGM Resorts International (MGM.N) got for
its non-controlling 50 percent interest in their joint-venture
Borgata resort in Atlantic City, New Jersey.
Earlier this month, casino operator MGM Resorts said it
received an offer for its 50 percent stake in the Borgata
casino hotel. It valued the offer at just over $250 million.
Boyd reported third-quarter net income of $5.6 million, or
6 cents per share, down from $6.3 million, or 7 cents per
share, a year earlier.
Excluding special items, the profit was 2 cents a share,
compared with the average analyst estimate of 5 cents a share,
according to Thomson Reuters I/B/E/S.
Net revenue at Boyd, which runs Las Vegas properties that
cater mainly to local residents rather than tourists, fell 4
percent to $595.4 million. Analysts had expected revenue of
The company owns and operates 16 casinos in six states,
including a 50-percent stake in Borgata.
The Las Vegas, Nevada-based company's shares have lost
nearly 39 percent of their value since reporting first-quarter
results in May. They closed at $7.99 Friday on the New York
(Reporting by NR Sethuraman in Bangalore and Deena Beasley in
Los Angeles; Editing by Aradhana Aravindan)