Las Vegas locals operator Red Rock Resorts has reported that its net revenues increased by 3.6 per cent or $60.3m to reach $1.72bn in 2023, up from $1.66bn in 2022. In doing so, it achieved its second-best ever quarterly performance in Las Vegas operations for Q4 2023.
Whilst the company did benefit from the opening of its Durango Resort, the property was only open 27 days in the quarter. Full year adjusted EBITDA came in at $818.8m, up one per cent from the prior year. Full year results in Las Vegas saw revenue of $1.7bn, up 3.6 per cent from the prior year. Fourth quarter net revenue was $459.4m, up 9.5 per cent from the prior year’s fourth quarter.
Stephen Cootey said: “We are proud to say that the fourth quarter represented another strong quarter for the company by any measure. In terms of adjusted EBITDA, our Las Vegas operations had the best fourth quarter in the history of our company. And in terms of net revenue and adjusted EBITDA margin, our Las Vegas operations experienced its second best fourth quarter ever. As we look at our results for the full year, our Las Vegas operations experienced near record net revenue and adjusted EBITDA margin, while achieving our best adjusted EBITDA in the history of our company.”
As well as showing strong financial results, 2023 was a year in which Red Rock continued its long-term growth strategy across the Las Vegas Valley by welcoming Durango and Wildfire Fremont properties to the Red Rock family.
Mr. Cootey said: “The successful openings of these properties not only validates our long-term growth strategy within the Las Vegas Valley, it also demonstrates the power of our own development pipeline and real estate bank, which now consists of over 441 acres of developable land positioned in highly favorable areas across the Las Vegas Valley. Not only do we expand our physical footprint across the valley in 2023, we continue to execute on our core strategy of reinvesting in our existing properties to deliver fresh and relevant amenities to our guests.”
The operator successfully opened a new high-limit table room at its Green Valley Ranch property.
Mr Cootey commented: “We are pleased with the early results from this room as well as all the other amenities we have opened up in 2023. We expect to continue to invest in our existing properties in 2024, including a new high-limit slot room as well as two new restaurant offerings at Green Valley Ranch and an upgraded race and sports book, a partial casino remodel and a new Yard House Restaurant at Sunset Station.”
Mr. Cootey added: “We continue to see upside from strong visitation and play in our local, regional and national segments. A strength coupled with strong spend per visit across the majority of our card to play allowed us to enjoy record fourth quarter revenue and profitability across our gaming segments. As we begin the new year, we remain confident in our business, particularly with the addition of our Durango property. While we are still in early days, we are extremely pleased with the resort’s opening. As the property thus far has grown the surrounding market has attracted new customers to our brand and has been profitable since day one.”