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require&&require("jquery"),"undefined"!=typeof module&&void 0!==module.exports?module.exports:window); Red Rock Resorts posts 77% decrease in net income for Q2 - Nusa Penida Link
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Home » casino » Red Rock Resorts posts 77% decrease in net income for Q2

Red Rock Resorts’ net income has dropped by 77% for Q2, down from $143.4m to $32.4m.

However, the company’s net revenue has remained relatively stable, amounting to $422.2m, a 1% decrease when compared to last year’s $428.2m.

Driving this decrease was a drop in casino revenue. The segment generated $280.6m, approximately 66% of Red Rock Resorts’ total for Q2.

But while the company’s casino operations contributed the most, the segment’s second quarter revenue represents an 8% drop year-on-year.

Red Rock Resorts’ other business areas partially offset this fall. Excluding casino, and with the exception of management fees, every segment reported an increase in operating revenue.

The company’s food and beverage business produced $73.8m, up 14% year-on-year, while room and other recorded 13% and 19% revenue increases respectively.

Nevertheless, Red Rock Resorts’ profitability experienced a double-digit downturn. This can be largely attributed to rising expenses.

For Q2, the company’s combined operating costs amounted to $354m, up 36% year-on-year from $259.6m.

But on a half-year basis, Red Rock Resorts has fared better. The company’s Q2 results bring its total operating revenue for H1 to $823.9m, up 6% year-on-year.

Speaking in Red Rock’s Q2 earnings call, Chairman and CEO Frank Fertitta said: “I think that overall, we’re seeing very dynamic growth in all the non-gaming sectors of the business.

“One of our strategies is: continue to invest in the amenities of the property. So we have a pretty robust slate of new products coming online across all the properties.

“And so not only do we see people continuing to spend into these non-gaming experiences, but we’re also going to meet them with new amenities across all of our properties, which we think will increase even more of that spend per visit and visitation in those areas.”

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