Red Rock Resorts Reports Record First-Quarter Revenue of $507.3 Million

(AsiaGameHub) –   Red Rock Resorts reported record first-quarter revenue, driven by consistent Las Vegas casino performance and robust non-gaming spending, even as profit and adjusted earnings declined.

Key Takeaways

• Net revenue climbed 1.9% to $507.3 million for the first quarter.
• Net income dropped 3.8% to $82.7 million.
• Red Rock has earmarked $375 million to $425 million for 2026 capital expenditures.

Durango and Sunset Station Remain Top Capital Spending Priorities

Red Rock Resorts continues to invest heavily in the Las Vegas local market, with Durango, Sunset Station and Green Valley Ranch all included in its short-term construction pipeline.

The company cautioned that these projects will cause several million dollars in operational disruption during the second quarter. Even so, management cited consumer demand, tracked slot activity and higher average spend per visit as core drivers behind the continued revenue growth in Las Vegas.

Las Vegas operations generated $499.5 million in revenue, a 0.9% increase. Adjusted EBITDA for the segment fell 1.5% to $232.4 million, though Red Rock still reported its second-highest adjusted earnings figure and near-record Las Vegas margins of 46.5%.

Core slot and table game performance remained steady. Non-gaming segments, including hotels, food and beverage, also delivered near-record revenue and profitability. Native American operations contributed $4.7 million in revenue and $2.9 million in adjusted EBITDA.

Durango stays a major growth focus for the firm. Red Rock is expanding the property by 275,000 square feet, with additional gaming and entertainment space set to launch in 2027. The total cost of the project stands at $385 million.

Sunset Station is also receiving upgrades across its casino floor, dining outlets and entertainment areas. Chief Financial Officer Stephen Cootey noted the work will help the property better cater to growth in the Henderson area.

“We are moving forward with the next phase of Sunset Station, designed to further strengthen the property’s competitive position and expand its customer appeal to capitalize on continued growth in Henderson, particularly from the master-planned communities of Ascaya and Cadence,” Cootey said.

At the group level, adjusted EBITDA declined 1.2% to $212.6 million. Red Rock closed the quarter with $134.0 million in cash and cash equivalents, while total debt came to $3.6 billion. The board also announced a second-quarter dividend of $0.26 per share.

New potential locations remain under evaluation, though no announcement is expected imminently. Board member Lorenzo Fertitta said Red Rock is still working through plans for future projects.

“We are developing two new greenfield projects, moving through the required processes, and finalizing the plans, scale, and pricing,” Fertitta said. “We are making steady progress, and we have no updates to announce now or in the very near future. As we head into next year, we will have clearer visibility into what the final development plans will look like.”