Red Rock Resorts Inc has reported financial results for the first quarter ended March 31, 2019. Net revenues were $447m, ahead by 6.2% or $26m year-on-year. The increase in net revenues was, said the firm, primarily due to an increase in Las Vegas operations.
Net income was $20.3m for the period, showing a fall of 75.3% year-on-year due to a decrease in the fair value of derivative instruments, an increase in write-downs and other charges, and a prior year gain associated with the extinguishment of a tax receivable liability.
Adjusted EBITDA was $145.1m, up by 3.6%, or $5m, versus Q1 2018. Las Vegas operations, again, were cited as the reason for growth.
In its Las Vegas operations, Red Rock recorded Q1 net revenues of $422.4m, an increase of 6.9% or $27.2m against Q1 2018. Adjusted EBITDA from Las Vegas operations was $130.5m for the period, ahead 3.7% year-on-year.
Adjusted EBITDA from Native American operations, meanwhile, was $21.5m for the first quarter of 2019, a 2.8% decrease from $22.1m in the same period of 2018. The decrease was primarily due to the expiration of the Gun Lake management agreement in February of 2018, partially offset by increased management fees generated under the Graton Resort management agreement.
The firm also used the Q1 report to update investors on its Palms redevelopment project which, it advised, remains on schedule with budget unchanged.