Red Rock Resorts, Inc. (NASDAQ:RRR) Q4 2023 Earnings Conference Call February 7, 2024 4:30 PM ET

Company Participants

Stephen Cootey – Executive Vice President, Chief Financial Officer and Treasurer

Frank Fertitta – Chief Executive Officer

Lorenzo Fertitta – Vice Chairman

Scott Kreeger – President

Conference Call Participants

Joe Greff – JPMorgan

Carlo Santarelli – Deutsche Bank

Shaun Kelley – Bank of America

Jordan Bender – Citizens JMP

Steve Wieczynski – Stifel

Barry Jonas – Truist Securities

Dan Politzer – Wells Fargo

Stephen Grambling – Morgan Stanley

Chad Beynon – Macquarie

Joe Stauff – Susquehanna

John DeCree – CBRE

Operator

Good afternoon. And welcome to Red Rock Resorts Fourth Quarter and Full Year 2023 Conference Call. All participants will be in a listen-only mode. Please note, this conference is being recorded.

I would now like to turn the conference over to Stephen Cootey, Executive Vice President, Chief Financial Officer and Treasurer of Red Rock Resort. Please go ahead.

Stephen Cootey

Thank you, operator, and good afternoon, everyone. Thank you for joining us today for Red Rock Resorts fourth quarter and full year 2023 earnings conference call. Joining me on the call today are Frank and Lorenzo Fertitta, Scott Kreeger and our Executive Management team.

I'd like to remind everyone that our call today will include forward-looking statements under the safe harbor provisions of the United States federal securities laws. Developments and results may differ from those projected.

During this call, we will also discuss non-GAAP financial measures. Definitions and complete reconciliation for these figures to GAAP, please refer to the financial tables in our earnings press release, Form 8-K and investor deck, which were filed this afternoon prior to the call. Also, please note that this call is being recorded.

Before we get into any of the details, we are proud to say that the fourth quarter represented another strong quarter for the company by any measure. In terms of adjusted EBITDA, our Las Vegas operations had the best fourth quarter in the history of our company. And in terms of net revenue and adjusted EBITDA margin, our Las Vegas operations experienced its second best fourth quarter ever.

As we look at our results for the full year, our Las Vegas operations experienced near record net revenue and adjusted EBITDA margin, while achieving our best adjusted EBITDA in the history of our company.

In addition to showing strong financial results, 2023 was a year in which we continued to validate our long-term growth strategy across the Las Vegas Valley by welcoming our Durango and Wildfire Fremont properties to the Red Rock family. The successful openings of these properties not only validates our long-term growth strategy within the Las Vegas Valley, it also demonstrates the power of our own development pipeline and real estate bank, which now consists of over 441 acres of developable land positioned in highly favorable areas across the Las Vegas Valley.