Red Rock Resorts Posts Strong Q2 2026 Amid Renovation

Red Rock Resorts posted its second-best second quarter on record, even as construction disrupted operations at its Las Vegas properties. The Station Casinos parent company reported net revenue of $510.3 million for the quarter ended June 30. That marked a 3% decline from last year's record period. Net income fell to $76.6 million, while adjusted EBITDA dropped to $208 million. Despite the year-over-year slide, results topped Wall Street forecasts on both earnings and revenue. Executives credited strong performance at Durango and ongoing renovations at Sunset Station. Both factors helped sustain results through a heavy construction period.

Q2 Earnings and Revenue Beat Wall Street Estimates

Red Rock Resorts delivered earnings of $0.67 per share, above analyst estimates of $0.50. Revenue also outpaced projections of $500.63 million. The company generated $100 million in operating free cash flow, a 48% conversion of adjusted EBITDA. The company's Las Vegas operations, which exclude the North Fork property, brought in $503.2 million in net revenue, down 2% from a year earlier. Adjusted EBITDA from those operations totaled $227.5 million, down 5%, with a margin of 45.2%.

Leaders called it one of the strongest second-quarter periods in company history, despite tough comparisons to last year's record results.

Shares closed at $64.27, down slightly, reflecting a measured investor response.

Durango Stays on Track for 2027 Opening

Much of the quarter's construction disruption centered on the $385 million expansion of Durango, one of Red Rock's newer properties. Leaders said the property performed well despite ongoing work nearby.

"Our Durango property continued to perform exceptionally well despite ongoing construction impacts and has firmly established itself as a meaningful growth driver within the Las Vegas locals market," Kreeger said. He added that the Durango North expansion remains on track. "Building on Durango's continued momentum, construction of the Durango North expansion is progressing well and remains on schedule to open in the second half of 2027," he added. Finance chief Stephen Cootey pointed to ongoing costs. He said the company expects about $2.5 million in quarterly construction-related costs until the work is finished.

Sunset Station Renovations Adds New Dining and Gaming

Renovation work also continued at Sunset Station and Green Valley Ranch during the quarter. At Sunset Station, crews progressed on a podium refresh as part of an $87 million redevelopment. The recently reopened Gaudi Bar has drawn a positive customer response. A new venue, Stoney's Rockin' Country, opens in the coming weeks. The broader redevelopment includes theater upgrades and a permanent bingo location. The converted buffet space will house a steakhouse and high-limit gaming area. Work continues through 2026 and into 2027, with similar renovations underway at Green Valley Ranch.