Red Rock Resorts (RRR) Q4 2025 earnings summary

Executive summary

• Achieved ninth consecutive record quarter and fifth consecutive year of record adjusted EBITDA, with Las Vegas operations leading performance and all-time highs in net revenue and adjusted EBITDA.

• Net revenues for Q4 2025 rose 3.2% year-over-year to $511.8 million, while full-year 2025 net revenues increased 3.7% to $2.01 billion.

• Q4 2025 net income declined 3.5% year-over-year to $84.6 million, but full-year net income grew 22.1% to $355.7 million.

• Durango Casino Resort continues to expand the locals market, with recent expansions and overwhelmingly positive customer response, reinforcing its role as a growth driver.

• Maintains a durable business model with high free cash flow conversion and a proven track record of returning capital to shareholders.

Financial highlights

• Q4 2025 net revenues reached $511.8M, up from $492.6M in Q4 2024; full-year 2025 net revenues were $2.01B, up from $1.94B in 2024.

• Q4 Las Vegas net revenue: $505M, up 2.5% year-over-year; Adjusted EBITDA: $231.1M, up 3.2%; margin: 45.8%.

• Consolidated Q4 adjusted EBITDA: $213.3M, up 5.4%; margin: 41.7%; full-year adjusted EBITDA: $848.6M, up 6.6%; margin: 42.2%.

• Full-year Las Vegas adjusted EBITDA: $915.9M, up 4.2%; margin: 46.2%.

• Net income for 2025 was $355.7M, up from $291.3M in 2024.

Outlook and guidance

• Expect near-term disruption from ongoing construction at Durango, Sunset Station, and Green Valley Ranch, but remain confident in long-term growth.

• 2026 capital spend projected at $375–$425M, with $275–$300M in investment capital and $100–$125M in maintenance capital.

• Q1 2026 disruption at Green Valley Ranch estimated at $9M, with $4.5–$5M expected in Q2; disruption at Durango and Sunset Station not yet quantified.

• Guidance for 2026 includes continued reinvestment in existing properties and ongoing expansion at Durango and other development sites.

• Regular quarterly dividend of $0.26 per share and special dividend of $1.00 per share declared for early 2026.