Earnings

Red Rock Resorts Posts Net Loss After Anniversary Awards

The Tip Desk · November 4, 2026 · 3 min read

Net revenues were $488.7 million in the third quarter, up 2.8% from a year earlier, after a 3.0% year-over-year decline in the second quarter.

Red Rock Resorts, Inc. (RRR), the holding company that owns an indirect equity interest in and manages Station Casinos, reported a net loss of $17.7 million for the third quarter ended September 30, 2026, a 123.0% swing from net income of $76.9 million a year earlier. The company said the reversal was primarily the result of $79.1 million of share-based compensation related to 50th-anniversary stock awards granted to substantially all full-time and part-time employees, plus $6.9 million of one-time anniversary expenses.

Net revenues were $488.7 million, up 2.8%, or $13.1 million, from $475.6 million in the same period of 2025. That year-over-year increase followed a 3.0% decline in the second quarter. Adjusted EBITDA was $182.6 million, down 4.3%, or $8.3 million, from $190.9 million a year earlier, including $5.8 million of one-time 50th-anniversary expenses.

Las Vegas operations, the bulk of the business, generated net revenues of $479.1 million, up 2.2%, or $10.5 million, from $468.6 million a year earlier, after a 2.0% year-over-year decline in the second quarter. Adjusted EBITDA from Las Vegas operations was $204.6 million, down 2.3%, or $4.8 million, from $209.4 million a year earlier.

Native American activities, which the company describes as management and development fees, posted net revenues of $6.2 million, up 59.0%, or $2.3 million, from $3.9 million a year earlier, reversing a 62.0% year-over-year decline in the second quarter. Adjusted EBITDA from those activities was $5.1 million, up 30.8%, or $1.2 million, from $3.9 million a year earlier.

On the income statement, casino operating revenues were $323.9 million versus $319.5 million a year earlier. Casino costs excluding one-time share-based compensation were $89.5 million versus $83.3 million. Food and beverage revenues were $88.2 million versus $85.5 million; those costs excluding one-time share-based compensation were $76.5 million versus $73.0 million. Room revenues were $42.8 million versus $41.6 million; room costs excluding one-time share-based compensation were $15.9 million versus $15.6 million. Selling, general and administrative expense excluding one-time share-based compensation and other 50th-anniversary expenses was $120.8 million versus $112.9 million a year earlier.

Share-based compensation for the quarter was $89.8 million versus $7.3 million a year earlier. Depreciation and amortization was $62.7 million versus $49.0 million. Interest expense, net, was $50.9 million versus $50.5 million. Net loss attributable to Red Rock Resorts, Inc. was $9.9 million, or $0.17 a share, versus net income attributable to the company of $42.3 million, or $0.72 a share basic, a year earlier.

Cash and cash equivalents were $128.3 million at September 30, 2026, with total principal debt of $3.7 billion, versus $136.5 million of cash and $3.6 billion of debt at June 30, 2026.

The board declared a cash dividend of $0.26 per Class A common share for the fourth quarter of 2026, payable December 31, 2026 to holders of record as of December 15, 2026. Before that payment, Station Holdco LLC is expected to distribute $0.26 per unit, about $29.2 million in total, of which approximately $17.3 million is expected to go to the company and $11.9 million to other unit holders.

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