Red Rock Resorts: Can Its Expansion of the Durango Property Help Alter The Playing Field? 

Red Rock Resorts, Inc. delivered solid financial performance in the third quarter of 2024, marked by historic results within its Las Vegas operations. The company reported a net revenue increase of 13.9% and an adjusted EBITDA increase of 5.8% over the previous year’s third quarter. However, there was a notable decrease in adjusted EBITDA margin by 333 basis points, settling at 43.6%. A key driver of Red Rock Resorts’ performance this quarter was its Durango Casino Resort, which has been attracting new customers and contributing to the growth of the Las Vegas locals market. Durango has been particularly successful in increasing visitation and revenue, with a significant increase in both metrics of approximately 91% and 92%, respectively. The property has also signed up over 70,000 new customers, which is an encouraging milestone for its growth trajectory. Further, Durango aims to maintain high profit margins and achieve a 15% return net of cannibalization, which is predominantly affecting the Red Rock property.