Red Rock Resorts, a casino and hospitality company, published its Q2 report for the three months ended June 30.
The company reported a very slight year-on-year drop in net revenues from $422.2 million in Q2, 2022, to $416.1 million in Q2, 2023. Net income, on the other hand, skyrocketed by a whopping 130.9% to $74.9 million. For reference, the net income for Q2, 2022, was only $32.4 million.
Adjusted EBITDA for the period sat at $175.3 million in Q2, 2023, which translates to a 7.2% year-on-year decrease from last year’s $188.9 million.
Red Rock Resorts also published data concerning its performance in Las Vegas, highlighting $412.6 million in net revenues from its operations in the city. Although the figure represents a 1.8% drop, it shows that the company’s Vegas business still constitutes the majority of its revenues.
The operator’s adjusted EBITDA from its Las Vegas operations was $193.1 million for the second quarter of 2023. This is a 7.1% year-on-year decrease from the $207.8 million recorded in Q2, 2022.
In February, Red Rock Resorts also published its FY 2022 results, following its mixed Q4 report. Despite the headwinds, the full-year report was satisfactory. The company attributed its favorable results to its robust business model and adamant discipline.
Red Rock Pays Dividends to Stakeholders
Red Rock Resorts disclosed that its cash and cash equivalents on June 30, 2023, were $100.9 million. The company also reported that its total outstanding debt at the end of the second quarter was $3.2 billion.
In its announcement, the company said that its board of directors has declared a cash dividend of $0.25 per Class A common share for Q3, 2023. It will be payable on September 29 this year to all stockholders of record as of September 15.
Before the payment has taken place, Station Holdco will make a cash distribution to all unit holders of record (the company included) of $0.25 per unit. A total of $27.1 million will be distributed during the round, with around $15.6 million to be distributed to the company itself. The remaining money will be distributed to the other unit holders of record of Station Holdco.
On August 3, Red Rock Resorts hosted a conference call, discussing its financial results.