Red Rock defends closing three casinos

Casino operator Red Rock Resorts is doubling its holding of locations in Nevada, although it has closed three casinos permanently.

Revealing its second quarter results, the company defended the decision to close the casinos at a time when it was planning new developments, including one on the Strip in Las Vegas.

In CDC Gaming Reports, the group CFO Steve Cootey is quoted as saying that it had received several inquiries after the closed casinos, Texas Station (pictured) and Fista Rancho in North Las Vegas and Fiesta Henderson. He said that the reopening of the casinos was “uneconomic” for Red Rock.

The company paid $172.4m for 127.7 acres of land south of its existing parcel of property on Las Vegas Boulevard. It is also in due diligence on the purchase of 67 acres in North Las Vegas.

He reported net revenues of $422.2m for the second quarter, down one per cent from the $428.2m for the same period of last year. Net income was $32.4m, down $110.9m on the $143.4m of last year. EBITDA was $188.9m, down 10 per cent.