In its Q3 2024 financial results, Red Rock Resorts reported a solid increase in both revenue and adjusted EBITDA. The company’s total revenue reached $468 million, reflecting a 13.7% rise from the previous year. Adjusted EBITDA also saw growth, increasing by 4.3% year-over-year to $182.7 million. However, net income for the quarter experienced a dip, coming in at $55.4 million—19% lower than Q3 2023.
Despite these revenue gains, Red Rock Resorts noted a significant increase in its net interest expenses, which impacted net income. Interest expenses reached nearly $58 million for Q3 2024, up from $45.5 million in the same period last year. The company’s Las Vegas operations continued to perform well, contributing $464.7 million in revenue, an impressive 13.9% year-over-year growth. Nonetheless, higher expenses weighed on overall profitability.
Segment Revenue Growth Across Casino, Dining, and Room Divisions
Each of Red Rock’s major segments saw notable revenue increases this quarter. Casino revenue alone contributed $314.2 million to the company’s earnings. Meanwhile, the food and beverage segment brought in $83.3 million, showing strong performance. Room revenue for Q3 2024 reached $45.2 million, reflecting the continued recovery of travel and leisure activities.
Operating income for Red Rock Resorts also rose, improving by 6.6% year-over-year to $130.6 million. This positive operating income growth underlines the company’s efficiency in managing its operational expenses despite higher interest payments impacting net profits.
At the close of Q3 2024, Red Rock Resorts reported a total principal debt of $3.5 billion. The company continues to focus on balancing expansion opportunities with prudent financial management. While higher interest costs presented a challenge this quarter, Red Rock’s revenue growth and steady EBITDA gains highlight the resilience of its core operations.
Looking ahead, Red Rock Resorts is well-positioned to leverage its strong Las Vegas market presence as it navigates financial pressures. With increasing contributions from diverse revenue streams, the company remains optimistic about sustaining growth across its segments.
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