RRR Earnings Prediction
The chart below shows how RRR performed 10 days before and after its earnings report, based on data from the past quarters. Typically, RRR sees a -1.95% change in stock price 10 days leading up to the earnings, and a -1.23% change 10 days following the report. On the earnings day itself, the stock moves by +0.22%. This data can give you a slight idea of what to expect for the next quarter's release.
RRR Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
495.69M
7.13%
5.91%
Gross Margin
51.31%
-7.20%
1.28%
Operating Margin
29.70%
-13.66%
8.55%
Net Margin
17.70%
-24.81%
49.62%
EPS
0.45
-52.63%
-6.25%
No Data Available
RRR Earnings Analysis
Red Rock Resorts Inc Corporation (RRR.O) Earnings Conference Call
Positive
Record Q4 Revenue Growth: Las Vegas operations achieved record fourth quarter net revenue of $492.6 million, a 7.2% increase year-over-year, and adjusted EBITDA of $223.9 million, up 1.6%.
Las Vegas Revenue Increase: Full year net revenue for Las Vegas operations reached $1.9 billion, reflecting a 12.6% increase from the previous year, with adjusted EBITDA of $879.4 million, up 7.4%.
Customer Growth and Visitation: Durango Casino Resort signed up over 85,000 new customers, contributing to increased visitation and a projected return of almost 16% net of cannibalization in 2024.
Operating Free Cash Flow: The company generated $158.6 million in operating free cash flow during the fourth quarter, translating to $1.5 per share, and $451 million for the full year, or $4.27 per share.
Dividend Declaration and Share Repurchase: A cash dividend of $0.25 per Class A common share was declared, with approximately $224 million returned to shareholders through dividends and share repurchases in 2024.
Negative
EBITDA Margin Decline: Adjusted EBITDA margin for the fourth quarter decreased by 267 basis points to 40.8%, indicating a decline in profitability despite an increase in net revenue.
EBITDA Margin Decline: The full year adjusted EBITDA margin was 41%, down 222 basis points from the prior year, reflecting ongoing margin pressure.
Sports Betting Hold Impact: The company experienced a total sports betting hold impact of $14 million in the fourth quarter, with $8 million in October and $6 million in December, negatively affecting overall gaming revenue.
Labor Cost Increase Impact: Labor costs increased by 3.1% on a same-store sales basis, contributing to rising operational expenses and potential margin compression going forward.
EBITDA Impact from Construction: Disruption from ongoing construction projects is expected to impact EBITDA by approximately $25 million in 2025, adding to the challenges of maintaining profitability.
RRR FAQs
How does RRR typically perform around its earnings report dates?
Is Red Rock Resorts Inc (RRR) Q4 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
RRR Earning Call Sentiment
Earnings call transcript: Red Rock Resorts beats Q4 2024 EPS forecasts
RRR.O
-2.63%Positive
The earnings call reveals strong financial performance with increased net revenue and EBITDA, despite a slight decline in margins. The expansion plans and shareholder returns, including dividends, are positive indicators. The Q&A section highlights stability in the consumer base and potential growth in group segments. Although there are minor uncertainties, such as the sports betting impact and Red Rock backfill timeline, the overall sentiment is positive. Given the market cap, the stock is likely to react positively, with a predicted price movement of 2% to 8%.
