10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark one)

☑    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934    

For the quarterly period ended March 31, 2022

OR

☐    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                    to     

Commission file number 001-37754

RED ROCK RESORTS, INC.

(Exact name of registrant as specified in its charter)

Delaware	47-5081182
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

1505 South Pavilion Center Drive, Las Vegas, Nevada

(Address of principal executive offices)

89135

(Zip Code)

(702) 495-3000

Registrant’s telephone number, including area code

N/A

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol	Name of each exchange on which registered
Class A Common Stock, $.01 par value	RRR	NASDAQ Stock Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes ☑    No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes ☑    No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☑	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐    No ☑

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

Class	Outstanding at May 2, 2022
Class A Common Stock, $0.01 par value	61,472,012
Class B Common Stock, $0.00001 par value	45,985,804

RED ROCK RESORTS, INC.

INDEX

Part I.	Financial Information
Item 1.	Financial Statements	3
	Condensed Consolidated Balance Sheets — March 31, 2022 (unaudited) and December 31, 2021	3
	Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) — Three months ended March 31, 2022 and 2021 (unaudited)	4
	Condensed Consolidated Statements of Stockholders’ Equity — Three months ended March 31, 2022 and 2021 (unaudited)	5
	Condensed Consolidated Statements of Cash Flows — Three months ended March 31, 2022 and 2021 (unaudited)	7
	Notes to Condensed Consolidated Financial Statements (unaudited)	9
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	20
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	29
Item 4.	Controls and Procedures	29
Part II.	Other Information
Item 1.	Legal Proceedings	30
Item 1A.	Risk Factors	30
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	30
Item 3.	Defaults Upon Senior Securities	30
Item 4.	Mine Safety Disclosures	30
Item 5.	Other Information	30
Item 6.	Exhibits	31
Signature		32

Part I.    Financial Information

Item 1.    Financial Statements

RED ROCK RESORTS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(amounts in thousands, except share data)

	March 31, 2022		December 31, 2021
	(unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	336,566	$	275,281
Restricted cash	31,974		—
Receivables, net	34,872		36,739
Inventories	11,902		11,734
Prepaid gaming tax	27,559		26,745
Prepaid expenses and other current assets	19,514		20,416
Assets held for sale	7,600		7,600
Total current assets	469,987		378,515
Property and equipment, net of accumulated depreciation of $1,190,300 and $1,168,813 at March 31, 2022 and December 31, 2021, respectively	2,023,548		2,009,608
Goodwill	195,676		195,676
Intangible assets, net of accumulated amortization of $17,535 and $17,128 at March 31, 2022 and December 31, 2021, respectively	86,765		87,172
Land held for development	237,335		237,335
Investments in joint ventures	5,942		6,087
Native American development costs	35,234		34,094
Deferred tax asset, net	92,511		98,625
Other assets, net	62,488		93,221
Total assets	$	3,209,486	$	3,140,333
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	18,209	$	17,466
Accrued interest payable	12,269		14,320
Income tax payable	4,835		735
Other accrued liabilities	168,876		146,374
Current portion of payable pursuant to tax receivable agreement	6,664		—
Current portion of long-term debt	25,931		25,921
Total current liabilities	236,784		204,816
Long-term debt, less current portion	2,822,774		2,827,603
Other long-term liabilities	32,651		30,723
Payable pursuant to tax receivable agreement, less current portion	20,494		27,158
Total liabilities	3,112,703		3,090,300
Commitments and contingencies (Note 10)
Stockholders’ equity:
Preferred stock, par value $0.01 per share, 100,000,000 shares authorized; none issued and outstanding	—		—
Class A common stock, par value $0.01 per share, 500,000,000 shares authorized; 61,472,012 and 61,426,605 shares issued and outstanding at March 31, 2022 and December 31, 2021, respectively	615		614
Class B common stock, par value $0.00001 per share, 100,000,000 shares authorized; 45,985,804 shares issued and outstanding at March 31, 2022 and December 31, 2021	1		1
Additional paid-in capital	50,252		55,028
Retained earnings	36,942		3,851
Total Red Rock Resorts, Inc. stockholders’ equity	87,810		59,494
Noncontrolling interest	8,973		(9,461)
Total stockholders’ equity	96,783		50,033
Total liabilities and stockholders’ equity	$	3,209,486	$	3,140,333

The accompanying notes are an integral part of these condensed consolidated financial statements.

3

RED ROCK RESORTS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)

(amounts in thousands, except per share data)

(unaudited)

	Three Months Ended March 31,
	2022		2021
Operating revenues:
Casino	$	279,771	$	259,938
Food and beverage	65,699		46,872
Room	36,772		21,944
Other	19,181		15,557
Management fees	213		8,308
Net revenues	401,636		352,619
Operating costs and expenses:
Casino	68,866		63,116
Food and beverage	53,223		41,057
Room	12,482		11,091
Other	6,370		5,350
Selling, general and administrative	86,296		78,910
Depreciation and amortization	33,425		54,255
Write-downs and other, net	10,180		260
Asset impairment	—		169,733
	270,842		423,772
Operating income (loss)	130,794		(71,153)
Earnings from joint ventures	844		390
Operating income (loss) and earnings from joint ventures	131,638		(70,763)
Other expense:
Interest expense, net	(26,674)		(27,267)
Loss on extinguishment of debt	—		(8,140)
Other	—		(176)
	(26,674)		(35,583)
Income (loss) before income tax	104,964		(106,346)
Provision for income tax	(12,719)		(217)
Net income (loss)	92,245		(106,563)
Less: net income (loss) attributable to noncontrolling interests	43,899		(41,785)
Net income (loss) attributable to Red Rock Resorts, Inc.	$	48,346	$	(64,778)
Earnings (loss) per common share (Note 9):
Earnings (loss) per share of Class A common stock, basic	$	0.79	$	(0.92)
Earnings (loss) per share of Class A common stock, diluted	$	0.77	$	(0.92)
Weighted-average common shares outstanding:
Basic	61,005		70,728
Diluted	107,701		70,728
Comprehensive income (loss)	$	92,245	$	(106,563)
Less: comprehensive income (loss) attributable to noncontrolling interests	43,899		(41,785)
Comprehensive income (loss) attributable to Red Rock Resorts, Inc.	$	48,346	$	(64,778)

The accompanying notes are an integral part of these condensed consolidated financial statements.

4

RED ROCK RESORTS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(amounts in thousands)

(unaudited)

	Red Rock Resorts, Inc. Stockholders’ Equity
	Common stock						Additional paid-in capital		Retained earnings		Noncontrolling interest		Total stockholders’ equity
	Class A			Class B
	Shares	Amount		Shares	Amount
Balances, December 31, 2021	61,427	$	614	45,986	$	1	$	55,028	$	3,851	$	(9,461)	$	50,033
Net income	—	—		—	—		—		48,346		43,899		92,245
Share-based compensation	—	—		—	—		3,542		—		—		3,542
Distributions	—	—		—	—		—		—		(21,798)		(21,798)
Dividends	—	—		—	—		—		(15,255)		—		(15,255)
Stock option exercises and issuance of restricted stock, net	270	3		—	—		(1,213)		—		—		(1,210)
Repurchases of Class A common stock	(225)	(2)		—	—		(10,772)		—		—		(10,774)
Rebalancing of ownership percentage between the Company and noncontrolling interests in Station Holdco	—	—		—	—		3,667		—		(3,667)		—
Balances, March 31, 2022	61,472	$	615	45,986	$	1	$	50,252	$	36,942	$	8,973	$	96,783

The accompanying notes are an integral part of these condensed consolidated financial statements.

5

RED ROCK RESORTS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (Continued)

(amounts in thousands)

(unaudited)

	Red Rock Resorts, Inc. Stockholders’ Equity
	Common stock						Additional paid-in capital		Accumulated deficit		Accumulated other comprehensive loss		Noncontrolling interest		Total stockholders’ equity
	Class A			Class B
	Shares	Amount		Shares	Amount
Balances, December 31, 2020	71,228	$	712	46,086	$	1	$	385,579	$	(33,071)	$	(623)	$	252,043	$	604,641
Net loss	—	—		—	—		—		(64,778)		—		(41,785)		(106,563)
Share-based compensation	—	—		—	—		2,741		—		—		—		2,741
Distributions	—	—		—	—		—		—		—		(7,561)		(7,561)
Stock option exercises and issuance of restricted stock, net	171	2		—	—		(319)		—		—		—		(317)
Repurchases of Class A common stock	(397)	(4)		—	—		(11,708)		—		—		—		(11,712)
Exchanges of noncontrolling interests for cash	—	—		(100)	—		(2,223)		—		(1)		(598)		(2,822)
Tax receivable agreement liability resulting from exchanges of noncontrolling interests for cash	—	—		—	—		(641)		—		—		—		(641)
Rebalancing of ownership percentage between the Company and noncontrolling interests in Station Holdco	—	—		—	—		(151)		—		—		151		—
Balances, March 31, 2021	71,002	$	710	45,986	$	1	$	373,278	$	(97,849)	$	(624)	$	202,250	$	477,766

The accompanying notes are an integral part of these condensed consolidated financial statements.

6

RED ROCK RESORTS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(amounts in thousands)

(unaudited)

	Three Months Ended March 31,
	2022		2021
Cash flows from operating activities:
Net income (loss)	$	92,245	$	(106,563)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	33,425		54,255
Write-downs and other, net	168		(66)
Asset impairment	—		169,733
Amortization of debt discount and debt issuance costs	2,425		2,411
Share-based compensation	3,505		2,741
Loss on extinguishment of debt	—		8,140
Deferred income tax	6,114		—
Changes in assets and liabilities:
Receivables, net	1,867		(167)
Inventories and prepaid expenses	(1,900)		(7,492)
Accounts payable	766		(178)
Accrued interest payable	(2,051)		(7,330)
Income tax receivable/payable, net	4,100		217
Other accrued liabilities	16,568		2,966
Other, net	233		1,093
Net cash provided by operating activities	157,465		119,760
Cash flows from investing activities:
Capital expenditures, net of related payables	(38,945)		(8,010)
Native American development costs	(1,200)		(2,744)
Net settlement of derivative instruments	—		(5,648)
Other, net	14		150
Net cash used in investing activities	(40,131)		(16,252)

7

RED ROCK RESORTS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued)

(amounts in thousands)

(unaudited)

	Three Months Ended March 31,
	2022		2021
Cash flows from financing activities:
Borrowings under credit agreements with original maturity dates greater than three    months	—		220,000
Payments under credit agreements with original maturity dates greater than three    months	(6,195)		(47,693)
Partial redemption of 5.00% Senior Notes	—		(250,000)
Cash paid for early extinguishment of debt	—		(6,250)
Distributions to noncontrolling interests	(21,798)		(7,561)
Repurchases of Class A common stock	(10,774)		(11,712)
Exchanges of noncontrolling interests for cash	—		(2,822)
Dividends paid	(15,789)		—
Other, net	(1,493)		(591)
Net cash used in financing activities	(56,049)		(106,629)
Increase (decrease) in cash, cash equivalents and restricted cash	61,285		(3,121)
Balance, beginning of period	307,255		125,705
Balance, end of period	$	368,540	$	122,584
Cash, cash equivalents and restricted cash:
Cash and cash equivalents	$	336,566	$	117,908
Restricted cash	31,974		—
Cash, cash equivalents and restricted cash included in assets held for sale	—		4,676
Balance, end of period	$	368,540	$	122,584
Supplemental cash flow disclosures:
Cash paid for interest, net of $417 and $0 capitalized, respectively	$	26,301	$	32,207
Non-cash investing and financing activities:
Capital expenditures incurred but not yet paid	$	23,804	$	7,719

The accompanying notes are an integral part of these condensed consolidated financial statements.

8

RED ROCK RESORTS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

1.    Organization, Basis of Presentation and Significant Accounting Policies

Organization

Red Rock Resorts, Inc. (“Red Rock,” or the “Company”) was formed as a Delaware corporation in 2015 to own an indirect equity interest in and manage Station Casinos LLC (“Station LLC”), a Nevada limited liability company. Station LLC is a gaming, development and management company established in 1976 that owns and operates nine major gaming and entertainment facilities and ten smaller casino properties (three of which are 50% owned) in the Las Vegas regional market.

The Company owns all of the outstanding voting interests in Station LLC and has an indirect equity interest in Station LLC through its ownership of limited liability interests in Station Holdco LLC (“Station Holdco,” and such interests, “LLC Units”), which owns all of the economic interests in Station LLC. At March 31, 2022, the Company held 58% of the economic interests and 100% of the voting power in Station Holdco, subject to certain limited exceptions, and is designated as the sole managing member of both Station Holdco and Station LLC. The Company controls and operates all of the business and affairs of Station Holdco and Station LLC, and conducts all of its operations through these entities.

At March 31, 2022, three of the Company’s properties, Texas Station, Fiesta Henderson and Fiesta Rancho, have not reopened since their closure in March 2020 to comply with a statewide emergency order mandating the closure of Nevada casinos as a result of the ongoing COVID-19 pandemic. The Company will continue to assess the performance of its open properties, as well as the Las Vegas market and the economy as a whole, before considering whether to reopen some or all of the remaining properties. The Company has no current plans to reopen any of these properties in 2022.

A subsidiary of Station LLC managed Graton Resort, a casino in northern California, on behalf of a Native American tribe through February 5, 2021. The property was temporarily closed from March 17, 2020 through June 17, 2020 as a result of the COVID-19 pandemic. The management agreement was originally expected to expire in November 2020 but was extended as a result of the pandemic through February 5, 2021, when the tribe terminated the Company’s management role at the facility. Whether the management agreement provides for an additional extension beyond that date is in dispute.

Basis of Presentation

The accompanying condensed consolidated financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted pursuant to such rules and regulations, although management believes that the disclosures are adequate to make the information presented not misleading. In the opinion of management, all adjustments necessary for a fair presentation of the results for the interim periods have been made, and such adjustments were of a normal recurring nature. The interim results reflected in these condensed consolidated financial statements are not necessarily indicative of results to be expected for the full fiscal year. These financial statements should be read in conjunction with the audited financial statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. Certain amounts in the condensed consolidated financial statements for the prior year have been reclassified to be consistent with the current year presentation. During the three months ended March 31, 2022, management determined that the held for sale criteria were no longer met for a parcel of land that was previously classified as held for sale, and the carrying amount of $50.6 million was reclassified to Land held for development at December 31, 2021.

Principles of Consolidation

Station Holdco and Station LLC are variable interest entities, of which the Company is the primary beneficiary. Accordingly, the Company consolidates the financial position and results of operations of Station LLC and its consolidated subsidiaries and Station Holdco, and presents the interest in Station Holdco not owned by Red Rock within noncontrolling interest in the condensed consolidated financial statements. All intercompany accounts and transactions have been eliminated.

The Company has investments in three 50% owned smaller casino properties which are joint ventures accounted for using the equity method.

9

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RED ROCK RESORTS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

Use of Estimates

The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect amounts reported and disclosed. Actual results could differ from those estimates.

Significant Accounting Policies

A description of the Company’s significant accounting policies is included in the audited financial statements within its Annual Report on Form 10-K for the year ended December 31, 2021.

2.    Noncontrolling Interest in Station Holdco

As discussed in Note 1, Red Rock holds a controlling interest in and consolidates the financial position and results of operations of Station LLC and its subsidiaries and Station Holdco. The interests in Station Holdco not owned by Red Rock are presented within noncontrolling interest in the condensed consolidated financial statements.

The ownership of the LLC Units is summarized as follows:

	March 31, 2022			December 31, 2021
	Units	Ownership %		Units	Ownership %
Red Rock	64,472,873	58.4	%	64,425,248	58.4	%
Noncontrolling interest holders	45,985,804	41.6	%	45,985,804	41.6	%
Total	110,458,677	100.0	%	110,411,052	100.0	%

The Company uses monthly weighted-average LLC Unit ownership to calculate the pretax income or loss and other comprehensive income or loss of Station Holdco attributable to Red Rock and the noncontrolling interest holders. Station Holdco equity attributable to Red Rock and the noncontrolling interest holders is rebalanced, as needed, to reflect LLC Unit ownership at period end.

3.    Native American Development

The Company has development and management agreements with the North Fork Rancheria of Mono Indians (the “Mono”), a federally recognized Native American tribe located near Fresno, California, which were originally entered into in 2003. In August 2014, the Mono and the Company entered into the Second Amended and Restated Development Agreement (the “Development Agreement”) and the Second Amended and Restated Management Agreement. Pursuant to those agreements, the Company will assist the Mono in developing and operating a gaming and entertainment facility (the “North Fork Project”) to be located in Madera County, California. The Company purchased a 305-acre parcel of land adjacent to Highway 99 north of the city of Madera (the “North Fork Site”), which was taken into trust for the benefit of the Mono by the Department of the Interior (“DOI”) in February 2013.

As currently contemplated, the North Fork Project is expected to include approximately 2,000 Class III slot machines, approximately 40 table games and several restaurants, and future development costs of the project are expected to be between $350 million and $400 million. Development of the North Fork Project is subject to certain governmental and regulatory approvals, including, without limitation, approval of the management agreement by the Chair of the National Indian Gaming Commission (“NIGC”).

Under the terms of the Development Agreement, the Company has agreed to arrange the financing for the ongoing development costs and construction of the facility, and has contributed significant financial support to the North Fork Project. Through March 31, 2022, the Company has paid approximately $50.3 million of reimbursable advances to the Mono, primarily to complete the environmental impact study, purchase the North Fork Site and pay the costs of litigation. The advances are expected to be repaid from the proceeds of the project’s financing or from the Mono’s cash flows from the North Fork Project’s operations; however, there can be no assurance that the advances will be repaid. The carrying amount of the advances was reduced to fair value upon the Company’s adoption of fresh-start reporting in 2011. At March 31, 2022, the carrying amount of the advances was $35.2 million. The Company earns a return on the advances to the Mono. Due to uncertainty surrounding the timing and amount of the stated return, the Company recognizes the return when it is received.

The Company expects to receive a development fee of 4% of the costs of construction (as defined in the Development Agreement) for its development services, which will be paid upon the commencement of gaming operations at the facility. In March 2018, the Mono submitted a proposed Third Amended and Restated Management Agreement (the “Management

10

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RED ROCK RESORTS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

Agreement”) to the NIGC. The Management Agreement allows the Company to receive a management fee of 30% of the North Fork Project’s net income. The Management Agreement and the Development Agreement have a term of seven years from the opening of the North Fork Project. The Management Agreement includes termination provisions whereby either party may terminate the agreement for cause, and the Management Agreement may also be terminated at any time upon agreement of the parties. There is no provision in the Management Agreement allowing the tribe to buy-out the agreement prior to its expiration. The Management Agreement provides that the Company will train the Mono tribal members such that they may assume responsibility for managing the North Fork Project upon the expiration of the agreement.

Upon termination or expiration of the Management Agreement and Development Agreement, the Mono will continue to be obligated to repay any unpaid principal and interest on the advances from the Company, as well as certain other amounts that may be due, such as management fees. Amounts due to the Company under the Development Agreement and Management Agreement are secured by substantially all of the assets of the North Fork Project except the North Fork Site. In addition, the Development Agreement and Management Agreement contain waivers of the Mono’s sovereign immunity from suit for the purpose of enforcing the agreements or permitting or compelling arbitration and other remedies.

The timing of this type of project is difficult to predict and is dependent upon the receipt of the necessary governmental and regulatory approvals. There can be no assurance as to when, or if, these approvals will be obtained. The Company currently estimates that construction of the North Fork Project may begin in the next six months and estimates that the North Fork Project would be completed and opened for business approximately 15 to 18 months after construction begins. There can be no assurance, however, that the North Fork Project will be completed and opened within this time frame or at all. The Company expects to assist the Mono in obtaining financing for the North Fork Project once all necessary regulatory approvals have been received and prior to commencement of construction; however, there can be no assurance that the Company will be able to obtain such financing for the North Fork Project on acceptable terms or at all.

The Company has evaluated the likelihood that the North Fork Project will be successfully completed and opened, and has concluded that the likelihood of successful completion is in the range of 75% to 85% at March 31, 2022. The Company’s evaluation is based on its consideration of all available positive and negative evidence about the status of the North Fork Project, including, but not limited to, the status of required regulatory approvals, as well as the progress being made toward the achievement of all milestones and the successful resolution of all litigation and contingencies. There can be no assurance that the North Fork Project will be successfully completed or that future events and circumstances will not change the Company’s estimates of the timing, scope, and potential for successful completion or that any such changes will not be material. In addition, there can be no assurance that the Company will recover all of its investment in the North Fork Project even if it is successfully completed and opened for business.

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RED ROCK RESORTS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

The following table summarizes the Company’s evaluation at March 31, 2022 of each of the critical milestones necessary to complete the North Fork Project.

Federally recognized as an Indian tribe by the Bureau of Indian Affairs (“BIA”)	Yes
Date of recognition	Federal recognition was terminated in 1966 and restored in 1983.
Tribe has possession of or access to usable land upon which the project is to be built	The DOI accepted approximately 305 acres of land for the project into trust for the benefit of the Mono in February 2013.
Status of obtaining regulatory and governmental approvals:
Tribal-state compact	A compact was negotiated and signed by the Governor of California and the Mono in August 2012. The California State Assembly and Senate passed Assembly Bill 277 (“AB 277”) which ratified the Compact in May 2013 and June 2013, respectively. Opponents of the North Fork Project qualified a referendum, “Proposition 48,” for a state-wide ballot challenging the legislature’s ratification of the Compact. In November 2014, Proposition 48 failed. The State took the position that the failure of Proposition 48 nullified the ratification of the Compact and, therefore, the Compact did not take effect under California law. In March 2015, the Mono filed suit against the State to obtain a compact with the State or procedures from the Secretary of the Interior under which Class III gaming may be conducted on the North Fork Site. In July 2016, the DOI issued Secretarial procedures (the “Secretarial Procedures”) pursuant to which the Mono may conduct Class III gaming on the North Fork Site.
Approval of gaming compact by DOI	The Compact was submitted to the DOI in July 2013. In October 2013, notice of the Compact taking effect was published in the Federal Register. The Secretarial Procedures supersede and replace the Compact.
Record of decision regarding environmental impact published by BIA	In November 2012, the record of decision for the Environmental Impact Statement for the North Fork Project was issued by the BIA. In December 2012, the Notice of Intent to take land into trust was published in the Federal Register.
BIA accepting usable land into trust on behalf of the tribe	The North Fork Site was accepted into trust in February 2013.
Approval of management agreement by NIGC	In December 2015, the Mono submitted a Second Amended and Restated Management Agreement, and certain related documents, to the NIGC. In July 2016, the Mono received a deficiency letter from the NIGC seeking additional information concerning the Second Amended and Restated Management Agreement. In March 2018, the Mono submitted the Management Agreement and certain related documents to the NIGC. In June 2018, the Mono received a deficiency letter from the NIGC seeking additional information concerning the Management Agreement. In April 2021, the Mono received an issues letter from the NIGC identifying issues to be addressed prior to approval of the Management Agreement. Approval of the Management Agreement by the NIGC is expected to occur following the Mono’s response to the issues letter. The Company believes the Management Agreement will be approved because the terms and conditions thereof are consistent with the provisions of the Indian Gaming Regulatory Act (“IGRA”).
Gaming licenses:
Type	The North Fork Project will include the operation of Class II and Class III gaming, which are allowed pursuant to the terms of the Secretarial Procedures and IGRA, following approval of the Management Agreement by the NIGC.
Number of gaming devices allowed	The Secretarial Procedures allow for the operation of a maximum of 2,000 Class III slot machines at the facility during the first two years of operation and thereafter up to 2,500 Class III slot machines. There is no limit on the number of Class II gaming devices that the Mono can offer.
Agreements with local authorities	The Mono has entered into memoranda of understanding with the City of Madera, the County of Madera and the Madera Irrigation District under which the Mono agreed to pay one-time and recurring mitigation contributions, subject to certain contingencies. The memoranda of understanding have all been amended to restructure the timing of certain payments due to delays in the development of the North Fork Project.

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RED ROCK RESORTS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

Following is a discussion of the unresolved legal matter related to the North Fork Project.

Picayune Rancheria of Chukchansi Indians v. Brown. In March 2016, Picayune Rancheria of Chukchansi Indians (“Picayune”) filed a complaint for declaratory relief and petition for writ of mandate in California Superior Court for the County of Madera against Governor Edmund G. Brown, Jr., alleging that the referendum that invalidated the Compact also invalidated Governor Brown’s concurrence with the Secretary of the Interior’s determination that gaming on the North Fork Site would be in the best interest of the Mono and not detrimental to the surrounding community. The complaint seeks to vacate and set aside the Governor’s concurrence and was stayed from December 2016 to September 2021, when the Supreme Court of California denied the Mono’s and the State of California’s petition for review in Stand Up for California! v. Brown. As a result of the denial, litigation of this matter has resumed.

4.    Other Accrued Liabilities

Other accrued liabilities consisted of the following (amounts in thousands):

	March 31, 2022		December 31, 2021
Contract and customer-related liabilities:
Rewards Program liability	$	12,435	$	12,711
Advance deposits and future wagers	14,560		15,897
Unpaid wagers, outstanding chips and other customer-related liabilities	22,003		21,963
Other accrued liabilities:
Accrued payroll and related	35,917		30,019
Accrued gaming and related	27,385		25,372
Construction payables and equipment purchase accruals	24,200		15,437
Operating lease liabilities, current portion	3,081		2,976
Other	29,295		21,999
	$	168,876	$	146,374

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NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

5.    Long-term Debt

Long-term debt consisted of the following indebtedness of Station LLC (amounts in thousands):

	March 31, 2022		December 31, 2021
Term Loan B Facility due February 7, 2027, interest at a margin above LIBOR or base rate (2.71% and 2.50% at March 31, 2022 and December 31, 2021, respectively), net of unamortized discount and deferred issuance costs of $23.7 million and $24.9 million at March 31, 2022 and December 31, 2021, respectively	$	1,461,047	$	1,463,731
Term Loan A Facility due February 7, 2025, interest at a margin above LIBOR or base rate (1.96% and 1.61% at March 31, 2022 and December 31, 2021, respectively), net of unamortized discount and deferred issuance costs of $1.5 million and $1.6 million at March 31, 2022 and December 31, 2021, respectively	168,591		170,819
Revolving Credit Facility due February 7, 2025, interest at a margin above LIBOR or base rate	—		—
4.625% Senior Notes due December 1, 2031, net of unamortized deferred issuance costs of $5.9 million and $6.0 million at March 31, 2022 and December 31, 2021, respectively	494,134		494,015
4.50% Senior Notes due February 15, 2028, net of unamortized discount and deferred issuance costs of $6.4 million and $6.6 million at March 31, 2022 and December 31, 2021, respectively	684,404		684,170
Other long-term debt, weighted-average interest of 3.82% at March 31, 2022 and December 31, 2021, net of unamortized discount and deferred issuance costs of $0.3 million at March 31, 2022 and December 31, 2021	40,529		40,789
Total long-term debt	2,848,705		2,853,524
Current portion of long-term debt	(25,931)		(25,921)
Total long-term debt, net	$	2,822,774	$	2,827,603

Credit Facility

Station LLC’s credit facility consists of the Term Loan B Facility, the Term Loan A Facility and the Revolving Credit Facility (collectively, the “Credit Facility”). The Term Loan B Facility bears interest at a rate per annum, at Station LLC’s option, equal to either LIBOR plus 2.25% or base rate plus 1.25%. The Term Loan A Facility and Revolving Credit Facility bear interest at a rate per annum, at Station LLC’s option, equal to either LIBOR plus an amount ranging from 1.50% to 1.75% or base rate plus an amount ranging from 0.50% to 0.75%, depending on Station LLC’s consolidated total leverage ratio. The Credit Facility contains a number of customary covenants, including requirements that Station LLC maintain throughout the term of the Credit Facility and measured as of the end of each quarter, an interest coverage ratio of not less than 2.50 to 1.00 and a maximum consolidated total leverage ratio, with step-downs over the term of the Credit Facility, ranging from 6.25 to 1.00 at March 31, 2022 to 5.25 to 1.00 at December 31, 2023 and thereafter. A breach of the financial ratio covenants shall only become an event of default under the Term Loan B Facility if the lenders within the Term Loan A Facility and the Revolving Credit Facility take certain affirmative actions after the occurrence of a default of such financial ratio covenants. Management believes the Company was in compliance with all applicable covenants at March 31, 2022.

Revolving Credit Facility

At March 31, 2022, Station LLC’s borrowing availability under its Revolving Credit Facility, subject to continued compliance with the terms of the Credit Facility, was $1.0 billion, which was net of $29.4 million in outstanding letters of credit and similar obligations.

Fair Value of Long-term Debt

The estimated fair value of Station LLC’s long-term debt compared with its carrying amount is presented below (amounts in millions):

	March 31, 2022		December 31, 2021
Aggregate fair value	$	2,750	$	2,887
Aggregate carrying amount	2,849		2,854

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RED ROCK RESORTS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

The estimated fair value of Station LLC’s long-term debt is based on quoted market prices from various banks for similar instruments, which is considered a Level 2 input under the fair value measurement hierarchy.

6.    Stockholders’ Equity    

Net Income (Loss) Attributable to Red Rock Resorts, Inc. and Transfers from (to) Noncontrolling Interests

The table below presents the effect on Red Rock Resorts, Inc. stockholders’ equity from net income (loss) and transfers from (to) noncontrolling interests (amounts in thousands):

	Three Months Ended March 31,
	2022		2021
Net income (loss) attributable to Red Rock Resorts, Inc.	$	48,346	$	(64,778)
Transfers from (to) noncontrolling interests:
Exchanges of noncontrolling interests	—		598
Rebalancing of ownership percentage between the Company and noncontrolling interests in Station Holdco	3,667		(151)
Net transfers from noncontrolling interests	3,667		447
Change from net income (loss) attributable to Red Rock Resorts, Inc. and net transfers from noncontrolling interests	$	52,013	$	(64,331)

Dividends

On February 18, 2022, the Company announced that its board of directors had approved the reinstatement of the Company’s regular quarterly dividend, which had been discontinued since May 2020. During the three months ended March 31, 2022, the Company declared and paid a cash dividend of $0.25 per share of Class A common stock. No dividend was paid during the three months ended March 31, 2021. On May 3, 2022, the Company announced that it would pay a dividend of $0.25 per share to holders of record as of June 16, 2022 to be paid on June 30, 2022. Prior to the payment of the dividend, Station Holdco will make a cash distribution to all LLC Unit holders, including the Company, of $0.25 per LLC Unit, a portion of which will be paid to the other unit holders of Station Holdco.

Equity Repurchase Program

As of September 2021, the Company’s board of directors had approved an equity repurchase program authorizing the repurchase of up to an aggregate of $300 million of its Class A common stock through December 31, 2022. During the three months ended March 31, 2022 and 2021, the Company repurchased 184,793 and 382,602 shares, respectively, of its Class A common stock for an aggregate purchase price of $8.8 million and $11.2 million, respectively, and a weighted average price per share of $47.77 and $29.39, respectively, in open market transactions. At March 31, 2022, the remaining amount authorized for repurchases under the program was $145.6 million.

7.    Share-based Compensation

The Company maintains an equity incentive plan designed to attract, retain and motivate employees and align the interests of those individuals with the interests of the Company. A total of 23.6 million shares of Class A common stock are reserved for issuance under the plan, of which approximately 11.7 million shares were available for issuance at March 31, 2022.

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RED ROCK RESORTS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

The following table presents information about the Company’s share-based compensation awards:

	Restricted Class A  Common Stock			Stock Options
	Shares	Weighted-average grant date fair value		Shares	Weighted-average exercise price
Outstanding at January 1, 2022	392,386	$	28.47	6,562,539	$	25.67
Activity during the period:
Granted	214,413	47.33		1,121,407	47.34
Vested/exercised (a)	(152,052)	28.54		(142,813)	23.75
Forfeited/expired	—	—		(14,073)	23.43
Outstanding at March 31, 2022	454,747	$	37.34	7,527,060	$	28.93

_______________________________________________________________

(a)Stock options exercised included 87,168 options that were not converted into shares due to net share settlements to cover the aggregate exercise price and employee withholding taxes.

The Company recognized share-based compensation expense of $3.5 million and $2.7 million for the three months ended March 31, 2022 and 2021, respectively. At March 31, 2022, unrecognized share-based compensation cost was $54.9 million, which is expected to be recognized over a weighted-average period of 3.4 years.

8.    Income Taxes

Red Rock is a corporation and pays corporate federal, state and local taxes on its income, primarily pass-through income from Station Holdco based upon Red Rock’s economic interest held in Station Holdco. Station Holdco is a partnership for income tax reporting purposes. Station Holdco’s members, including the Company, are liable for federal, state and local income taxes based on their respective share of Station Holdco’s pass-through taxable income.     

The Company’s tax provision or benefit from income taxes for interim periods is determined using an estimate of the Company’s annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter the Company updates the estimate of the annual effective tax rate and makes necessary cumulative adjustments to the total tax provision or benefit. The current taxes are estimated for the period and the balance sheet is adjusted to reflect such taxes currently payable or receivable. The remaining tax provision or benefit is recorded as deferred taxes.

The Company’s effective tax rate for the three months ended March 31, 2022 was 12.1%, as compared to (0.2)% for the three months ended March 31, 2021. The Company’s effective tax rate for the three months ended March 31, 2022 is less than the 21% statutory rate because its effective tax rate includes a rate benefit attributable to the fact that Station Holdco operates as a limited liability company which is not subject to federal income tax. Accordingly, the Company is not taxed on the portion of Station Holdco’s income attributable to noncontrolling interests. In addition, state income taxes do not have a significant impact on the Company's effective rate. Station Holdco operates in Nevada and California. Nevada does not impose a state income tax and the Company's current activities in California result in minimal state income tax.

As a result of the Company’s 2016 initial public offering (“IPO”) and certain reorganization transactions, the Company recorded a net deferred tax asset resulting from the outside basis difference of its interest in Station Holdco. The Company also recorded a deferred tax asset for its liability related to payments to be made pursuant to the tax receivable agreement (“TRA”) representing 85% of the tax savings the Company expects to realize from the amortization deductions associated with the step up in the basis of depreciable assets under Section 754 of the Internal Revenue Code. This deferred tax asset will be recovered as cash payments are made to the TRA participants. In addition, the Company has recorded deferred tax assets related to net operating losses.

The Company considers both positive and negative evidence when measuring the need for a valuation allowance. A valuation allowance is not required to the extent that, in management’s judgment, positive evidence exists with a magnitude and duration sufficient to result in a conclusion that it is more likely than not that the Company’s deferred tax assets will be realized. The Company determined that the deferred tax asset related to the LLC Units issued in the IPO and reorganization transactions is not expected to be realized unless the Company disposes of its investment in Station Holdco. As such, the Company established a valuation allowance against this portion of its deferred tax asset. The Company recognizes changes to the

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RED ROCK RESORTS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

valuation allowance through the provision for income tax or other comprehensive income, as applicable. At March 31, 2022 and December 31, 2021, the valuation allowance was $4.8 million.

The Company recorded cumulative unrecognized tax benefit liabilities (“UTB”) of $2.5 million as of March 31, 2022 and assessed the corresponding impact of the interest and penalties related to the UTB.

The Company files annual income tax returns for Red Rock and Station Holdco in the U.S. federal jurisdiction and California. Station Holdco is currently under examination by the IRS for the 2017 tax year. The Company regularly assesses the likelihood of adverse outcomes resulting from any examinations to determine the adequacy of the Company’s provision for income taxes. The 2017 agreed audit adjustments are reflected as a reduction in carryforward net operating losses. The IRS has also issued a Notice of Proposed Adjustment under the 2017 tax year examination. The Company is appealing this proposed adjustment relating to land lease expense in 2017.

There are no other ongoing income tax audits as of March 31, 2022. For federal income tax purposes, the years 2018, 2019, and 2020 are subject to examination as the normal three-year statute of limitations expires three years after the actual filing date of the returns.

Tax Receivable Agreement

In connection with the IPO, the Company entered into the TRA with certain owners who held LLC Units prior to the IPO. In the event that such parties exchange any or all of their LLC Units for Class A common stock or cash, at the election of the Company, the TRA requires the Company to make payments to such holders for 85% of the tax benefits realized by the Company as a result of such exchange. The Company expects to realize these tax benefits based on current projections of taxable income. The annual tax benefits are computed by calculating the income taxes due, including such tax benefits, and the income taxes due without such benefits.

At March 31, 2022 and December 31, 2021, the Company’s liability under the TRA was $27.2 million, of which $9.0 million was payable to entities related to Frank J. Fertitta III, the Company’s Chairman of the Board and Chief Executive Officer, and Lorenzo J. Fertitta, Vice Chairman of the Board and a vice president of the Company. For the three months ended March 31, 2021, an exchange of LLC Units resulted in an increase in the amount payable under the TRA liability of $0.6 million, which was recorded through stockholders’ equity. No LLC Units were exchanged during the three months ended March 31, 2022. The Company expects to pay $6.7 million of the TRA liability within the next twelve months.

The timing and amount of aggregate payments due under the TRA may vary based on a number of factors, including the amount and timing of the taxable income the Company generates each year and the tax rate then applicable. The payment obligations under the TRA are Red Rock’s obligations and are not obligations of Station Holdco or Station LLC. Payments are generally due within a specified period of time following the filing of the Company’s annual tax return and interest on such payments will accrue from the original due date (without extensions) of the income tax return until the date paid. Payments not made within the required period after the filing of the income tax return generally accrue interest at a rate of LIBOR plus 5.00%.

The TRA will remain in effect until all such tax benefits have been utilized or expired, unless the Company exercises its right to terminate the TRA. The TRA will also terminate if the Company breaches its obligations under the TRA or upon certain mergers, asset sales or other forms of business combinations, or other changes of control. If the Company exercises its right to terminate the TRA, or if the TRA is terminated early in accordance with its terms, the Company’s payment obligations would be accelerated based upon certain assumptions, including the assumption that the Company would have sufficient future taxable income to utilize such tax benefits, and may substantially exceed the actual benefits, if any, the Company realizes in respect of the tax attributes subject to the TRA.

9.    Earnings (Loss) Per Share

Basic earnings or loss per share is calculated by dividing net income or loss attributable to Red Rock by the weighted-average number of shares of Class A common stock outstanding during the period. The calculation of diluted earnings or loss per share gives effect to all potentially dilutive shares, including shares issuable pursuant to outstanding stock options and nonvested restricted shares of Class A common stock, based on the application of the treasury stock method, and outstanding Class B common stock that is exchangeable, along with an equal number of LLC Units, for Class A common stock, based on the application of the if-converted method. Dilutive shares included in the calculation of diluted earnings per share for the three months ended March 31, 2022 represent outstanding shares of Class B common stock, nonvested restricted shares of Class A common stock and outstanding stock options. All other potentially dilutive securities have been excluded from the calculation of diluted earnings per share because their inclusion would have been antidilutive. For the three months ended March 31, 2021,

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RED ROCK RESORTS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

the Company incurred a net loss. As a result, all potentially dilutive securities were excluded from the calculation of diluted loss per share for the period because their inclusion would have been antidilutive.

A reconciliation of the numerator and denominator used in the calculation of basic and diluted earnings (loss) per share is presented below (amounts in thousands):

	Three Months Ended March 31,
	2022		2021
Net income (loss)	$	92,245	$	(106,563)
Less: net (income) loss attributable to noncontrolling interests	(43,899)		41,785
Net income (loss) attributable to Red Rock, basic	48,346		(64,778)
Effect of dilutive securities	34,680		—
Net income (loss) attributable to Red Rock, diluted	$	83,026	$	(64,778)

	Three Months Ended March 31,
	2022	2021
Weighted average shares of Class A common stock outstanding, basic	61,005	70,728
Effect of dilutive securities	46,696	—
Weighted average shares of Class A common stock outstanding, diluted	107,701	70,728

The calculation of diluted earnings (loss) per share of Class A common stock excluded the following potentially dilutive shares that were outstanding at March 31, 2022 and 2021, respectively, because their inclusion would have been antidilutive (amounts in thousands):

	Three Months Ended March 31,
	2022	2021
Shares of Class B common stock and LLC Units exchangeable for Class A common stock	—	45,986
Stock options	1,164	7,408
Unvested restricted shares of Class A common stock	25	437

Shares of Class B common stock are not entitled to share in the earnings of the Company and are not participating securities. Accordingly, earnings per share of Class B common stock under the two-class method has not been presented.

10.    Commitments and Contingencies

The Company and its subsidiaries are defendants in various lawsuits relating to routine matters incidental to their business. No assurance can be provided as to the outcome of any legal matters and litigation inherently involves significant risks. The Company does not believe there are any legal matters outstanding that would have a material impact on its financial condition or results of operations.

11.    Segments

The Company views each of its Las Vegas casino properties and each of its Native American management arrangements as individual operating segments. The Company aggregates all of its Las Vegas operating segments into one reportable segment because all of its Las Vegas properties offer similar products, cater to the same customer base, have the same regulatory and tax structure, share the same marketing techniques, are directed by a centralized management structure and have similar economic characteristics. The Company also aggregates its Native American management arrangements into one reportable segment.

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RED ROCK RESORTS, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

The Company utilizes Adjusted EBITDA as its primary performance measure. The Company’s segment information and a reconciliation of net income (loss) to Adjusted EBITDA are presented below (amounts in thousands).

	Three Months Ended March 31,
	2022		2021
Net revenues
Las Vegas operations:
Casino	$	279,771	$	259,938
Food and beverage	65,699		46,872
Room	36,772		21,944
Other (a)	17,275		13,842
Management fees	213		221
Las Vegas operations net revenues	399,730		342,817
Native American management:
Management fees	—		8,087
Reportable segment net revenues	399,730		350,904
Corporate and other	1,906		1,715
Net revenues	$	401,636	$	352,619
Net income (loss)	$	92,245	$	(106,563)
Adjustments
Depreciation and amortization	33,425		54,255
Share-based compensation	3,505		2,741
Write-downs and other, net	10,180		260
Asset impairment	—		169,733
Interest expense, net	26,674		27,267
Loss on extinguishment of debt	—		8,140
Provision for income tax	12,719		217
Other	—		599
Adjusted EBITDA (b)	$	178,748	$	156,649
Adjusted EBITDA
Las Vegas operations	$	194,604	$	160,680
Native American management	(2,196)		7,604
Reportable segment Adjusted EBITDA	192,408		168,284
Corporate and other	(13,660)		(11,635)
Adjusted EBITDA	$	178,748	$	156,649

_______________________________________________________________

(a)Includes tenant lease revenue of $4.4 million and $2.7 million for the three months ended March 31, 2022 and 2021, respectively. Revenue from tenant leases is accounted for under the lease accounting guidance and included in Other revenues in the Company’s Condensed Consolidated Statements of Operations and Comprehensive Income (Loss).

(b)Adjusted EBITDA includes net income (loss) plus depreciation and amortization, share-based compensation, write-downs and other, net, asset impairment, interest expense, net, loss on extinguishment of debt, provision for income tax and other.

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Item 2.    

MANAGEMENT’S DISCUSSION AND ANALYSIS OF

FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion and analysis of the financial condition and results of operations of Red Rock Resorts, Inc. (“we,” “our,” “us,” “Red Rock” or the “Company”) should be read in conjunction with our condensed consolidated financial statements and related notes (the “Condensed Consolidated Financial Statements”) included in Part I, Item 1 of this Quarterly Report on Form 10-Q, and with our audited consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2021.

Overview

Red Rock was formed as a Delaware corporation in 2015 to own an indirect equity interest in and manage Station Casinos LLC (“Station LLC”), a Nevada limited liability company. Station LLC is a gaming, development and management company established in 1976 that owns and operates nine major gaming and entertainment facilities and ten smaller casino properties (three of which are 50% owned) in the Las Vegas regional market. Three of our major properties had not reopened as of March 31, 2022 as discussed below. A subsidiary of Station LLC also managed Graton Resort in northern California on behalf of a Native American tribe through February 5, 2021. In addition, we are currently constructing a new casino resort on our approximately 50-acre development site at the intersection of Durango Drive and Interstate 215 in the southwest Las Vegas valley, which is expected to open in the next 18 to 24 months.

We own all of the outstanding voting interests in Station LLC and have an indirect equity interest in Station LLC through our ownership of limited liability company interests in Station Holdco LLC (“Station Holdco,” and such interests, “LLC Units”), which owns all of the economic interests in Station LLC. At March 31, 2022, we held 58% of the economic interests and 100% of the voting power in Station Holdco, subject to certain limited exceptions, and we are designated as the sole managing member of both Station Holdco and Station LLC. We control and operate all of the business and affairs of Station Holdco and Station LLC, and conduct all of our operations through these entities. Our only material assets are our ownership interests in Station LLC and Station Holdco, other than tax-related assets and liabilities.

Our Condensed Consolidated Financial Statements reflect the consolidation of Station LLC and its consolidated subsidiaries, and Station Holdco. The financial position and results of operations attributable to LLC Units we do not own are reported separately as noncontrolling interest.

Our principal source of revenue and operating income is gaming, and our non-gaming offerings include restaurants, hotels and other entertainment amenities. Approximately 80% to 85% of our casino revenue is generated from slot play. The majority of our revenue is cash-based and as a result, fluctuations in our revenues have a direct impact on our cash flows from operations. Because our business is capital intensive, we rely heavily on the ability of our properties to generate operating cash flow to repay debt financing and fund capital expenditures.

A significant portion of our business is dependent upon customers who live and/or work in the Las Vegas metropolitan area. In March 2022, the unemployment rate in the Las Vegas metropolitan area was 5.0%, down from a high of 34% in April 2020. Statewide, the unemployment rate declined to 5.0% in March 2022, as compared to 30% in April 2020. Despite the economic impacts of the COVID-19 pandemic, the median price of an existing single-family home in Las Vegas was up 26.7% for March 2022 as compared to March 2021. This continues a trend of significant improvement in home values in Las Vegas since 2012, with the median home price reaching another all-time high of $460,000 in March 2022 according to the Las Vegas Realtors®. In addition, Las Vegas remains one of the fastest growing metropolitan areas in the United States, posting a 2.4% growth rate in 2021. We cannot predict whether the recovery in unemployment and the positive trends in housing prices and population growth in the Las Vegas area will continue.

At March 31, 2022, three of our major properties, Texas Station, Fiesta Henderson and Fiesta Rancho, had not reopened since their closure in March 2020 to comply with a statewide emergency order mandating the closure of Nevada casinos as a result of the ongoing COVID-19 pandemic. We will continue to assess the performance of our open properties, as well as the Las Vegas market and the economy as a whole, before considering whether to reopen some or all of the remaining properties, and we have no current plans to reopen any of these properties in 2022.

Subsequent to the reopening of most of our properties in June 2020, we have seen favorable customer trends which continued throughout the first quarter of 2022, including strong and consistent visitation from our guests, including a younger demographic, increased spend per visit, more time spent on gaming devices and a return of our core customers. These positive trends, in combination with business optimization and cost reduction measures implemented in the second quarter of 2020,

20

continue to drive strong operating results in 2022. However, we cannot predict whether these trends will continue, nor can we predict the extent to which the impacts of the COVID-19 pandemic and its related variants on the United States and Las Vegas economies may affect our business in the future.

The COVID-19 pandemic and its related variants have had, and may continue to have, a detrimental impact on the United States and Las Vegas economies. We have taken steps to mitigate these and potential future effects of COVID-19 and its related variants on our results of operations through a combination of streamlining our business, optimizing our marketing initiatives, and reducing expenses.

Information about our results of operations is included herein and in the notes to our Condensed Consolidated Financial Statements.

Key Performance Indicators

We use certain key indicators to measure our performance.

Gaming revenue measures:

•Slot handle, table game drop and race and sports write are measures of volume. Slot handle represents the dollar amount wagered in slot machines, and table game drop represents the total amount of cash and net markers issued that are deposited in table game drop boxes.

•Win represents the amount of wagers retained by us.

•Hold represents win as a percentage of slot handle or table game drop.

As our customers are primarily Las Vegas residents, our hold percentages are generally consistent from period to period. Fluctuations in our casino revenue are primarily due to the volume and spending levels of customers at our properties.

Food and beverage revenue measures:

•Average guest check is a measure of food sales volume and product offerings at our restaurants, and represents the average amount spent per customer visit.

•Number of guests served is an indicator of volume.

Room revenue measures:

•Occupancy is calculated by dividing occupied rooms, including complimentary rooms, by rooms available.

•Average daily rate (“ADR”) is calculated by dividing room revenue, which includes the retail value of complimentary rooms, by rooms occupied, including complimentary rooms.

•Revenue per available room is calculated by dividing room revenue by rooms available.

21

Results of Operations

Information about our results of operations is presented below (amounts in thousands):

	Three Months Ended March 31,						Percent change
	2022			2021
Net revenues	$	401,636		$	352,619		13.9	%
Operating income	130,794			(71,153)			n/m
Casino revenues	279,771			259,938			7.6	%
Casino expenses	68,866			63,116			9.1	%
Margin	75.4		%	75.7		%
Food and beverage revenues	65,699			46,872			40.2	%
Food and beverage expenses	53,223			41,057			29.6	%
Margin	19.0		%	12.4		%
Room revenues	36,772			21,944			67.6	%
Room expenses	12,482			11,091			12.5	%
Margin	66.1		%	49.5		%
Other revenues	19,181			15,557			23.3	%
Other expenses	6,370			5,350			19.1	%
Management fee revenue	213			8,308			n/m
Selling, general and administrative expenses	86,296			78,910			9.4	%
Percent of net revenues	21.5		%	22.4		%
Depreciation and amortization	33,425			54,255			(38.4)	%
Write-downs and other, net	10,180			260			n/m
Asset impairment	—			169,733			n/m
Interest expense, net	26,674			27,267			(2.2)	%
Loss on extinguishment of debt	—			8,140			n/m
Provision for income tax	12,719			217			n/m
Net income (loss) attributable to noncontrolling interests	43,899			(41,785)			n/m
Net income (loss) attributable to Red Rock	48,346			(64,778)			n/m

_______________________________________________________________

n/m = Not meaningful

We view each of our Las Vegas casino properties as an individual operating segment. We aggregate all of our Las Vegas operating segments into one reportable segment because all of our Las Vegas properties offer similar products, cater to the same customer base, have the same regulatory and tax structure, share the same marketing programs, are directed by a centralized management structure and have similar economic characteristics. We also aggregate our Native American management arrangements into one reportable segment. The results of operations for our Native American management segment are discussed in the section entitled “Management Fee Revenue” below and the results of our Las Vegas operations are discussed in the remaining sections below.

Net Revenues. Net revenues for the three months ended March 31, 2022 increased by $49.0 million as compared to the prior year period. Net revenues were higher across all revenue categories except management fee revenue, which decreased as

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we ceased to manage Graton Resort in February 2021. The improvement in net revenues was due to our continued recovery from the negative effects of the COVID-19 pandemic, despite the ongoing closure of three of our properties.

Operating Income (Loss). For the three months ended March 31, 2022, our operating income was $130.8 million as compared to an operating loss of $71.2 million for the prior year period. Our strong performance and the overall customer trends for the current year period are consistent with the trends we have seen since our reopening in June 2020. For the three months ended March 31, 2021, our operating loss was primarily due to a $169.7 million asset impairment charge associated with Palms Casino Resort (“Palms”), which was sold in December 2021. Additional information about factors impacting our operating income (loss) is discussed below.

Casino.  Casino revenue increased by 7.6% and casino expense increased by 9.1% for the three months ended March 31, 2022 as compared to the prior year period due to increased volume across all major categories of casino operations. Slot handle increased by 6.9%, table games drop increased by 17.2%, and race and sports write increased by 31.5%. The increase in casino expense for the three months ended March 31, 2022 was commensurate with the increased casino volume and included higher gaming taxes and employee-related costs.

Food and Beverage.  Food and beverage includes revenue and expenses from our restaurants, bars and catering. For the three months ended March 31, 2022, food and beverage revenue increased by 40.2% and food and beverage expense increased by 29.6%, as compared to the prior year period, primarily due to an increase in catering and group business as well as higher food revenue at our restaurants. For the prior year period, certain state-mandated occupancy and other operational restrictions had a negative impact on our food and beverage operations. For the three months ended March 31, 2022, the number of restaurant guests served increased by 8.4% and the average guest check increased by 25.1% as compared to the prior year period. The increase in food and beverage expense for the three months ended March 31, 2022 was commensurate with the increased food and beverage revenue and included higher employee-related costs and costs of sales.

Room.  Information about our hotel operations is presented below:

	Three Months Ended March 31,
	2022			2021
Occupancy	77.0		%	60.1		%
Average daily rate	$	167.97		$	117.07
Revenue per available room	$	129.29		$	70.35

For the three months ended March 31, 2022 as compared to the prior year period, room revenue increased by 67.6% and room expense increased by 12.5%, as domestic travel and demand recovered from the effects of the pandemic. Our ADR increased by 43.5%, our revenue per available room improved by 83.8% and our occupancy rate increased by 16.9 percentage points for the three months ended March 31, 2022 as compared to the prior year period. Room expense increased commensurate with the increased occupancy.

Other.  Other primarily represents revenues from tenant leases, retail outlets, bowling, spas, and entertainment, and their corresponding expenses. For the three months ended March 31, 2022, other revenues and other expenses increased 23.3% and 19.1%, respectively, as compared to the prior year period, reflecting an easing of customers’ pandemic-related concerns. For the prior year period, our results were negatively impacted by state-mandated occupancy, social distancing and other restrictions.

Management Fee Revenue.  For the three months ended March 31, 2022, management fees represented fees earned from the management of our joint ventures. For the prior year period, management fees primarily represented fees earned from our agreement with a Native American tribe to manage Graton Resort, which we ceased to manage on February 5, 2021.

Selling, General and Administrative (“SG&A”). For the three months ended March 31, 2022, SG&A expenses increased by 9.4% or $7.4 million as compared to the prior year period. The increase in SG&A expenses was primarily due to higher legal and employee-related costs. As a percentage of net revenue, SG&A expenses decreased by 0.9% for the three months ended March 31, 2022 as compared to the prior year period.

Depreciation and Amortization.  For the three months ended March 31, 2022, depreciation and amortization expense decreased by 38.4% as compared to the prior year period as we ceased recognizing depreciation and amortization expense for Palms in the second quarter of 2021 when the property was reclassified to assets held for sale. The sale of Palms was completed in December 2021. Depreciation expense also decreased due to certain assets becoming fully depreciated.

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Write-downs and Other, net. Write-downs and other, net include gains and losses on asset disposals, severance, preopening, business innovation and technology enhancements, contract termination costs and non-routine expenses. For the three months ended March 31, 2022, write-downs and other, net totaled $10.2 million, which included $6.7 million in artist performance agreement termination costs associated with Palms. For the three months ended March 31, 2021, write-downs and other, net totaled $0.3 million.

Asset Impairment. For the three months ended March 31, 2021, we recorded an asset impairment charge of $169.7 million to reduce the carrying amount of Palms to its estimated fair value less cost to sell as a result of entering into a purchase agreement to sell the property at a price less than its carrying amount. The sale was completed in December 2021.

Interest Expense, net.  Interest expense, net decreased to $26.7 million for the three months ended March 31, 2022 as compared to $27.3 million for the prior year period. The slight decrease in interest expense was primarily due to lower average outstanding indebtedness and the redemption of the fixed rate 5.00% Senior Notes in 2021. Variable interest rates applicable to our credit facility have remained very low since February 2020 in response to the pandemic. However, interest rates began increasing in the first quarter of 2022, and we expect rates may continue to increase in response to economic conditions. Additional information about long-term debt is included in Note 5 to the Condensed Consolidated Financial Statements.

Loss on Extinguishment of Debt. For the three months ended March 31, 2021, we recognized a loss of $8.1 million as a result of the partial redemption of the 5.00% Senior Notes. The remaining aggregate principal amount of these notes was redeemed in the fourth quarter of 2021.

Provision for Income Tax. For the three months ended March 31, 2022, we recognized a provision for income tax of $12.7 million. Station Holdco is treated as a partnership for income tax reporting purposes and Station Holdco’s members are liable for federal, state and local income taxes based on their share of Station Holdco’s taxable income. We are not liable for income tax on the noncontrolling interests’ share of Station Holdco’s taxable income or benefit from a taxable loss, and therefore our effective tax rate of 12.1% for the three months ended March 31, 2022 was less than the statutory rate. We recognized income tax expense of $0.2 million for the three months ended March 31, 2021.

Net Income (Loss) Attributable to Noncontrolling Interests. Net income (loss) attributable to noncontrolling interests for the three months ended March 31, 2022 and 2021 represented the portion of net income (loss) attributable to the ownership interest in Station Holdco not held by us.

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Adjusted EBITDA

Adjusted EBITDA for the three months ended March 31, 2022 and 2021 for our two reportable segments and a reconciliation of net income (loss) to Adjusted EBITDA are presented below (amounts in thousands). The Las Vegas operations segment includes all of our Las Vegas area casino properties and the Native American management segment includes our Native American management arrangement.

	Three Months Ended March 31,
	2022		2021
Net revenues
Las Vegas operations	$	399,730	$	342,817
Native American management	—		8,087
Reportable segment net revenues	399,730		350,904
Corporate and other	1,906		1,715
Net revenues	$	401,636	$	352,619
Net income (loss)	$	92,245	$	(106,563)
Adjustments
Depreciation and amortization	33,425		54,255
Share-based compensation	3,505		2,741
Write-downs and other, net	10,180		260
Asset impairment	—		169,733
Interest expense, net	26,674		27,267
Loss on extinguishment of debt	—		8,140
Provision for income tax	12,719		217
Other	—		599
Adjusted EBITDA	$	178,748	$	156,649
Adjusted EBITDA
Las Vegas operations	$	194,604	$	160,680
Native American management	(2,196)		7,604
Corporate and other	(13,660)		(11,635)
Adjusted EBITDA	$	178,748	$	156,649

The year-over-year changes in Adjusted EBITDA were due to the factors described within Results of Operations above.

Adjusted EBITDA is a non-GAAP measure that is presented solely as a supplemental disclosure. We believe that Adjusted EBITDA is a widely used measure of operating performance in our industry and is a principal basis for valuation of gaming companies. We believe that in addition to net income (loss), Adjusted EBITDA is a useful financial performance measurement for assessing our operating performance because it provides information about the performance of our ongoing core operations. Adjusted EBITDA includes net income (loss) plus depreciation and amortization, share-based compensation, write-downs and other, net, asset impairment, interest expense, net, loss on extinguishment of debt, provision for income tax and other.

To evaluate Adjusted EBITDA and the trends it depicts, the components should be considered. Each of these components can significantly affect our results of operations and should be considered in evaluating our operating performance, and the impact of these components cannot be determined from Adjusted EBITDA. Further, Adjusted EBITDA does not represent net income or cash flows from operating, investing or financing activities as defined by GAAP and should not be considered as an alternative to net income as an indicator of our operating performance. Additionally, Adjusted EBITDA does not consider capital expenditures and other investing activities and should not be considered as a measure of our liquidity. It should be noted that not all gaming companies that report EBITDA or adjustments to this measure may calculate EBITDA or such adjustments in the same manner as we do, and therefore, our measure of Adjusted EBITDA may not be comparable to similarly titled measures used by other gaming companies.

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Holding Company Financial Information

The indentures governing the 4.50% Senior Notes and the 4.625% Senior Notes contain certain covenants that require Station LLC to furnish to the holders of the notes certain annual and quarterly financial information relating to Station LLC and its subsidiaries. The obligation to furnish such information may be satisfied by providing consolidated financial information of the Company along with additional disclosure explaining the differences between such information and the financial information of Station LLC and its subsidiaries on a standalone basis. The following financial information about the Company and its consolidated subsidiaries, exclusive of Station LLC and its subsidiaries (the “Holding Company”), is furnished to explain the differences between the financial information of the Holding Company and the financial information of Station LLC and its subsidiaries for the periods presented in this report. The primary differences between the financial information of the Holding Company and that of Station LLC relate to income taxes of the Holding Company and the liability relating to the tax receivable agreement (“TRA”).

At March 31, 2022, the difference between the balance sheet for Station LLC and its consolidated subsidiaries and the balance sheet for the Holding Company is that the Holding Company had cash of $18.3 million and $92.5 million of deferred tax assets, net that are solely assets of the Holding Company, as well as liabilities that are solely the Holding Company’s, consisting of income tax payable of $4.8 million, a $27.2 million liability under the TRA, of which $6.7 million is expected to be paid in the next twelve months, and $3.3 million of other net liabilities. At December 31, 2021, the Holding Company had cash of $3.3 million, $98.6 million of deferred tax assets, net, income tax payable of $0.7 million, a $27.2 million noncurrent liability under the TRA and $1.2 million of other net current liabilities.

For the three months ended March 31, 2022 and 2021, the Holding Company recognized net losses of $12.7 million and $0.2 million, respectively, primarily representing provision for income tax.

Liquidity and Capital Resources

The following liquidity and capital resources discussion contains certain forward-looking statements with respect to our business, financial condition, results of operations, dispositions, acquisitions, investments and subsidiaries, which involve risks and uncertainties that cannot be predicted or quantified, and consequently, actual results may differ materially from those expressed or implied herein. Such risks and uncertainties include, but are not limited to, the risks described in Item 1A—Risk Factors in our Annual Report on Form 10-K for the year ended December 31, 2021.

At March 31, 2022, we had $336.6 million in cash and cash equivalents. Station LLC maintains its borrowing availability under its revolving credit facility, subject to continued compliance with the terms of the credit facility. At March 31, 2022, Station LLC’s borrowing availability was $1.0 billion, which was net of $29.4 million in outstanding letters of credit and similar obligations.

Our primary capital requirements for the near term are expected to be related to the operation and maintenance of our properties, debt service payments and construction costs for Durango. Our anticipated uses of cash for the remainder of 2022 include (i) approximately $335.0 million to $460.0 million for capital expenditures, including the development of Durango, (ii) required principal and interest payments on Station LLC’s indebtedness totaling $19.4 million and $77.4 million, respectively, (iii) dividends to our Class A common stockholders, including approximately $15.4 million to be paid in June 2022, and (iv) distributions to noncontrolling interest holders of Station Holdco, including “tax distributions” that may be made quarterly when required and in amounts that may vary from quarter to quarter. Other payment obligations include salaries, wages and employee benefits, service contracts, property taxes, insurance and other obligations.

As of September 2021, our board of directors approved an equity repurchase program authorizing the repurchase of up to an aggregate of $300 million of our Class A common stock through December 31, 2022. We are not obligated to repurchase any shares under the program. Subject to applicable laws and the provisions of any agreements restricting our ability to do so, repurchases may be made at our discretion from time to time through open market purchases, negotiated transactions or tender offers, depending on market conditions and other factors. During the three months ended March 31, 2022, we repurchased 184,793 shares of our Class A common stock in open market transactions at a weighted-average price of $47.77 per share, and we have $145.6 million of remaining repurchases authorized under the program. From time to time, we may also seek to repurchase our outstanding indebtedness. Any such purchases may be funded by existing cash balances or the incurrence of debt, including borrowings under our credit facility. The amount and timing of any repurchases will be based on business and market conditions, capital availability, compliance with debt covenants and other considerations.

We expect that cash on hand, cash generated from operations and, to the extent necessary, borrowings available under the credit facility, will be sufficient to fund our operations and capital requirements and service our outstanding indebtedness

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for the next twelve months. We regularly assess our projected capital requirements for capital expenditures, repayment of debt obligations, and payment of other general corporate and operational needs. In the long term, we expect that we will fund our capital requirements with a combination of cash generated from operations, borrowings under the credit facility and the issuance of debt or equity as market conditions may permit. However, our cash flow and ability to obtain debt or equity financing on terms that are satisfactory to us, or at all, may be affected by a variety of factors, including competition, general economic and business conditions and financial markets. As a result, we cannot provide any assurance that we will generate sufficient income and liquidity to meet all of our liquidity requirements or other obligations.

Following is a summary of our cash flow information (amounts in thousands):

	Three Months Ended March 31,
	2022		2021
Net cash provided by (used in):
Operating activities	$	157,465	$	119,760
Investing activities	(40,131)		(16,252)
Financing activities	(56,049)		(106,629)

Cash Flows from Operations

Our operating cash flows primarily consist of operating income or loss generated by our properties (excluding depreciation and other non-cash charges), interest paid and changes in working capital accounts such as inventories, prepaid expenses, receivables and payables. The majority of our revenue is generated from our slot machine and table game play, which is conducted primarily on a cash basis. Our food and beverage, room and other revenues are also primarily cash-based. As a result, fluctuations in our revenues have a direct impact on our cash flow from operations.

For the three months ended March 31, 2022, net cash provided by operating activities was $157.5 million as compared to $119.8 million for the prior year period. For the current year period, an increase in gaming revenues and favorable customer trends continue to drive strong operating results.

Cash Flows from Investing Activities

For the three months ended March 31, 2022 and 2021, cash paid for capital expenditures totaled $38.9 million and $8.0 million, respectively. Capital expenditures for the current year period included amounts related to the Durango project.

Cash Flows from Financing Activities

During the three months ended March 31, 2022, we paid $15.8 million in dividends to Class A common stockholders and $21.8 million in cash distributions to the noncontrolling interest holders of Station Holdco. We also paid $8.8 million to repurchase 184,793 shares of our Class A common stock pursuant to our equity repurchase program and $2.0 million to repurchase Class A shares in satisfaction of tax withholding obligations on vested restricted stock.

During the three months ended March 31, 2021, we incurred net borrowings under the revolving credit facility of $175.0 million, which were used, along with cash on hand, to redeem $250.0 million in outstanding principal amount of the 5.00% Senior Notes and to pay a redemption premium of $6.3 million. In addition, during the three months ended March 31, 2021, we paid $11.2 million to repurchase 382,602 shares of our Class A common stock pursuant to our equity repurchase program. We also paid cash tax distributions of $7.6 million to noncontrolling interest holders of Station Holdco during the period and $2.8 million to a noncontrolling interest holder unaffiliated with Red Rock who exchanged 100,000 Class B common stock and LLC Units for cash.

Restrictive Covenants

The agreements governing our credit facility and the indentures governing our senior notes impose significant operating and financial restrictions on us, including certain limitations on our and our subsidiaries’ ability to, among other things, obtain additional debt or equity financing due to applicable financial and restrictive covenants in our debt agreements. In addition, our credit agreement contains certain financial covenants, including maintenance of a minimum interest coverage ratio and adherence to a maximum total leverage ratio. During the three months ended March 31, 2022, there were no changes made to the covenants included in the credit facility or the indentures governing the senior notes as described in Financial Condition, Capital Resources and Liquidity in Part II, Item 7 of our Annual Report on Form 10-K for the year ended December 31, 2021.

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We believe that as of March 31, 2022, Station LLC was in compliance with the covenants contained in the credit facility and the indentures governing the senior notes.

As a result of these covenants and restrictions, we are limited in how we conduct our business and we may be unable to raise additional debt or equity financing to provide liquidity if changes in the economy, discretionary spending, consumer confidence or other external factors negatively affect our business. In addition, such covenants and restrictions may limit our ability to compete effectively or to take advantage of new business opportunities. Further, our ability to comply with covenants and restrictions contained in the agreements governing our indebtedness may be adversely affected by general economic conditions and industry conditions resulting from the COVID-19 pandemic.

Failure to satisfy the covenants contained in the credit agreements, indentures or other agreements governing our indebtedness would require us to seek waivers or amendments of such covenants. There can be no assurance that we would be able to obtain required waivers or amendments, as such matters depend, in part, on factors outside of our control. If we fail to satisfy our covenants and are unable to obtain such waivers or amendments, our creditors could exercise remedies under the applicable documents governing such indebtedness, including acceleration of such indebtedness.

Off-Balance Sheet Arrangements

At March 31, 2022, we had no variable interests in unconsolidated entities that provide off-balance sheet financing, liquidity, market risk or credit risk support, or that engage in leasing, hedging or research and development arrangements with us, nor did we have retained or contingent interests in assets transferred to an unconsolidated entity. At March 31, 2022, we had outstanding letters of credit and similar obligations totaling $29.4 million.

Inflation

Our business has begun to experience the impact of increased inflationary pressure. Commodity prices have increased and become more volatile, and we are experiencing price inflation in ordinary goods and services such as food costs, supplies, energy costs and construction costs. In addition, we have been impacted by a shortage of qualified workers which places additional upward pressure on wages and benefit costs as we seek to attract and retain qualified workers. We attempt to minimize the impact of inflation on our business by implementing cost controls and adjusting prices.

Native American Development

We have development and management agreements with the North Fork Rancheria of Mono Indians, a federally recognized Native American tribe located near Fresno, California, pursuant to which we will assist the tribe in developing, financing and operating a gaming and entertainment facility to be located on Highway 99 north of the city of Madera, California. See Note 3 to the Condensed Consolidated Financial Statements for information about this project.

Regulation and Taxes

We are subject to extensive regulation by Nevada gaming authorities as well as the National Indian Gaming Commission and the California Gambling Control Commission. In addition, we will be subject to regulation, which may or may not be similar to that in Nevada, by any other jurisdiction in which we may conduct gaming activities in the future.

The gaming industry represents a significant source of tax revenue, particularly to the State of Nevada and its counties and municipalities. From time to time, various state and federal legislators and officials have proposed changes in tax law, or in the administration of such law, affecting the gaming industry. The Nevada legislature meets every two years for 120 days and when special sessions are called by the Governor. The most recent special legislative session ended on November 16, 2021. There are currently no specific legislative proposals to increase taxes on gaming revenue, but there are no assurances that an increase in taxes on gaming or other revenue will not be proposed and passed by the Nevada legislature in the future.

In January 2020, the Clark County Education Association (“CCEA”) filed a ballot initiative to increase the Nevada gaming tax by three percentage points, from 6.75 percent to 9.75 percent. CCEA subsequently withdrew the petition and no longer supports it; however, the Nevada Secretary of State has taken the position that a petition cannot be withdrawn from the ballot following signature qualification. CCEA initiated a legal challenge against the Secretary of State to compel the withdrawal of the initiative. CCEA prevailed at the district court level, but the Secretary of State has appealed to the Nevada Supreme Court. If the initiative is not withdrawn, it will be voted on during the November 8, 2022, general election. If the voters approve the ballot initiative, the gaming tax increase would become effective on January 1, 2023.

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Description of Certain Indebtedness

A description of our indebtedness is included in Note 7 to the audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2021 and Note 5 to the Condensed Consolidated Financial Statements. There were no material changes to the terms of our indebtedness during the three months ended March 31, 2022.

Critical Accounting Policies and Estimates

A description of our critical accounting policies and estimates is included in Item 7 of our Annual Report on Form 10-K for the year ended December 31, 2021. There were no material changes to our critical accounting policies and estimates during the three months ended March 31, 2022.

Forward-looking Statements

The outbreak of COVID-19 resulted in the closure of all of our casino properties and all other casino properties located in Nevada from March 17, 2020 through June 3, 2020. We reopened the majority of our properties on June 4, 2020, but certain of our properties will remain closed until we determine when and if to reopen them based on our analysis of a number of factors, including the health of the economy as a whole, the health of the Las Vegas economy, customer demand and expense of operating the properties. Although restrictions on operations to implement social distancing and other health and safety protocols were progressively lifted through June 1, 2021, and a rule added in late July 2021 requiring all employees and guests to wear face coverings while indoors in public spaces was lifted on February 10, 2022, there is no guarantee that additional measures will not be re-implemented in the future. The outbreak of COVID-19 and measures to reduce its spread have caused, and may continue to cause, widespread unemployment and significant disruptions in the United States economy generally and the Las Vegas economy in particular, which could adversely impact our business.

When used in this report and elsewhere by management from time to time, the words “may,” “might,” “could,” “believes,” “anticipates,” “expects” and similar expressions are intended to identify forward-looking statements with respect to our financial condition, results of operations and our business including our expansions, development and acquisition projects, legal proceedings and employee matters. Certain important factors, including but not limited to, financial market risks, could cause our actual results to differ materially from those expressed in our forward-looking statements. Potential factors which could affect our financial condition, results of operations and business includes, without limitation, the impact of the COVID-19 pandemic on our business, financial results and liquidity; the duration of the closure of our properties that we have not reopened; the impact of our substantial indebtedness; the effects of local and national economic, credit and capital market conditions on consumer spending and the economy in general, and on the gaming and hotel industries in particular; the effects of competition, including locations of competitors and operating and market competition; changes in laws, including increased tax rates, regulations or accounting standards, third-party relations and approvals, and decisions of courts, regulators and governmental bodies; risks associated with construction projects, including disruption of our operations, shortages of materials or labor, unexpected costs, unforeseen permitting or regulatory issues and weather; litigation outcomes and judicial actions, including gaming legislative action, referenda and taxation; acts of war or terrorist incidents, natural disasters or civil unrest; risks associated with the collection and retention of data about our customers, employees, suppliers and business partners; and other risks described in our filings with the Securities and Exchange Commission. All forward-looking statements are based on our current expectations and projections about future events. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date thereof. We undertake no obligation to publicly release any revisions to such forward-looking statements to reflect events or circumstances after the date hereof.

Item 3.    Quantitative and Qualitative Disclosures about Market Risk

Market risk is the risk of loss arising from adverse changes in market rates and prices, such as interest rates, foreign currency exchange rates and commodity prices. There have been no material changes in our market risks from those disclosed in Part II, Item 7A of our Annual Report on Form 10-K for the year ended December 31, 2021.

Item 4.    Controls and Procedures

The Company’s management conducted an evaluation, under the supervision and with the participation of the principal executive officer and principal financial officer, of the effectiveness of the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934 (the “Exchange Act”)) as of March 31, 2022. In designing and evaluating disclosure controls and procedures, management recognizes that any controls and procedures, no matter how well designed and operated, can only provide reasonable assurance of achieving the desired control objectives, and management is required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures. Based on this evaluation, the principal executive officer and principal financial officer concluded that, as of

29

March 31, 2022, the Company’s disclosure controls and procedures were effective, at the reasonable assurance level, and are designed to ensure that information required to be disclosed by the Company in reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in Securities and Exchange Commission rules and forms, and that such information is accumulated and communicated to management, including our principal executive officer and principal financial officer, to allow timely decisions regarding required disclosure.

There was no change in the Company’s internal control over financial reporting during the Company’s most recently completed fiscal quarter that materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

Part II.    Other Information

Item 1.    Legal Proceedings

The Company and its subsidiaries are defendants in various lawsuits relating to routine matters incidental to their business. No assurance can be provided as to the outcome of such matters and litigation inherently involves significant risks.

Item 1A.    Risk Factors

There have been no material changes in the risk factors previously disclosed in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2021.

Item 2.    Unregistered Sales of Equity Securities and Use of Proceeds

Issuer Purchases of Equity Securities

The following table presents Class A share repurchases, including those we have made pursuant to our equity repurchase program as well as those withheld in satisfaction of tax withholding obligations on vested restricted stock. The Class A shares were retired upon repurchase.

For the Month Ended	Total Number of Shares Purchased	Average Price Paid per Share (1)		Total Number of Shares Purchased as Part of a Publicly Announced Program (2)	Approximate Dollar Value That May Yet Be Purchased Under the Program (2)
January 31, 2022	—	$	—	—	$	154,427,339
February 28, 2022	216,007	48.19		184,793	145,599,668
March 31, 2022	8,644	42.12		—	145,599,668
Totals	224,651	$	41.45	184,793

_______________________________________________________________

(1)    Excludes commissions.

(2)    As of September 2021, our board of directors had approved an equity repurchase program authorizing the repurchase of up to an aggregate of $300 million of our Class A common stock through December 31, 2022.

Item 3.    Defaults Upon Senior Securities—None.

Item 4.    Mine Safety Disclosures—None.

Item 5.    Other Information—None.

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Item 6.    Exhibits

(a)Exhibits

No. 10.1—Employment Agreement, dated as of March 3, 2022, among Red Rock Resorts, Inc., Station Casinos LLC and Scott Kreeger. (Incorporated herein by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K/A filed March 9, 2022.)†

No. 10.2—Employment Agreement Amendment Letter, dated as of March 5, 2022 among Red Rock Resorts, Inc., Station Casinos LLC and Frank J. Fertitta III.†

No. 10.3—Employment Agreement Amendment Letter, dated as of March 5, 2022 among Red Rock Resorts, Inc., Station Casinos LLC and Lorenzo J. Fertitta.†

No. 10.4—Employment Agreement Amendment Letter, dated as of March 5, 2022 among Red Rock Resorts, Inc., Station Casinos LLC and Stephen L. Cootey.†

No. 10.5—Employment Agreement Amendment Letter, dated as of March 5, 2022 among Red Rock Resorts, Inc., Station Casinos LLC and Jeffrey T. Welch.†

No. 31.1—Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

No. 31.2—Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

No. 32.1—Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

No. 32.2—Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

No. 101.INS—XBRL Instance Document — the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.

No. 101.SCH—XBRL Taxonomy Extension Schema Document

No. 101.CAL—XBRL Taxonomy Extension Calculation Linkbase Document

No. 101.DEF—XBRL Taxonomy Extension Definition Linkbase Document

No. 101.LAB—XBRL Taxonomy Extension Label Linkbase Document

No. 101.PRE—XBRL Taxonomy Extension Presentation Linkbase Document

No. 104—Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)

____________________________________

†    Management contract or compensatory plan or arrangement.

31

SIGNATURE

    Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		RED ROCK RESORTS, INC., Registrant
Date:	May 6, 2022	/s/ STEPHEN L. COOTEY
		Stephen L. Cootey Executive Vice President, Chief Financial Officer and Treasurer (Principal Financial Officer)

32

EX-10.2

Exhibit 10.2

March 2, 2022

Mr. Frank J. Fertitta III

c/o Red Rock Resorts, Inc.

1505 South Pavilion Center Drive

Las Vegas Nevada 89135

Re: Employment Agreement dated May 2, 2016 by and among Station Casinos LLC, Red Rock Resorts, Inc. and Frank J. Fertitta III (the “Employment Agreement”).

This letter (this “Letter”) serves as confirmation that the Term of Employment (as defined in Section 2.2 of the Employment Agreement) is hereby amended as follows:

“2.2 Term of Employment. The Term of Employment shall commence upon the IPO

Date and, unless earlier terminated pursuant to the provisions of this Agreement, shall terminate upon the close of business on the day immediately preceding the fifth anniversary of March 2, 2022.”

Aside from this, the Employment Agreement shall remain in full force and effect, with current compensation levels deemed to be reflected therein.

IN WITNESS WHEREOF, the undersigned have executed this Letter as of March 5, 2022.

Station Casinos LLC

By: /s/ Jeffrey T. Welch

Name: Jeffrey T. Welch

Title: EVP & CLO

Red Rock Resorts, Inc. (for itself and on behalf of Station Holdco LLC)

By: /s/ Jeffrey T. Welch

Name: Jeffrey T. Welch

Title: EVP & CLO

Frank J. Fertitta III

/s/ Frank J. Fertitta III

EX-10.3

Exhibit 10.3

March 2, 2022

Mr. Lorenzo J. Fertitta

c/o Red Rock Resorts, Inc.

1505 South Pavilion Center Drive

Las Vegas Nevada 89135

Re: Employment Agreement dated May 2, 2016 by and among Station Casinos LLC, Red Rock Resorts, Inc. and Lorenzo J. Fertitta (the “Employment Agreement”).

This letter (this “Letter”) serves as confirmation that the Term of Employment (as defined in Section 2.2 of the Employment Agreement) is hereby amended as follows:

“2.2 Term of Employment. The Term of Employment shall commence upon the IPO

Date and, unless earlier terminated pursuant to the provisions of this Agreement, shall terminate upon the close of business on the day immediately preceding the fifth anniversary of March 2, 2022.”

Aside from this, the Employment Agreement shall remain in full force and effect, with current compensation levels deemed to be reflected therein.

IN WITNESS WHEREOF, the undersigned have executed this Letter as of March 5, 2022.

Station Casinos LLC

By: /s/ Jeffrey T. Welch

Name: Jeffrey T. Welch

Title: EVP & CLO

Red Rock Resorts, Inc. (for itself and on behalf of Station Holdco LLC)

By: /s/ Jeffrey T. Welch

Name: Jeffrey T. Welch

Title: EVP & CLO

Lorenzo J. Fertitta

/s/ Lorenzo J. Fertitta

EX-10.4

Exhibit 10.4

March 2, 2022

Mr. Stephen L. Cootey

c/o Red Rock Resorts, Inc.

1505 South Pavilion Center Drive

Las Vegas Nevada 89135

Re: Employment Agreement dated March 8, 2017 by and among Station Casinos LLC, Red Rock Resorts, Inc. and Stephen L. Cootey (the “Employment Agreement”).

This letter (this “Letter”) serves as confirmation that the Term of Employment (as defined in Section 2.2 of the Employment Agreement) is hereby amended as follows:

“2.2 Term of Employment. The Term of Employment shall commence upon the Execution Date and, unless earlier terminated pursuant to the provisions of this Agreement, shall terminate upon the close of business on the day immediately preceding the fifth anniversary of March 2, 2022.”

Aside from this, the Employment Agreement shall remain in full force and effect, with current compensation levels deemed to be reflected therein.

IN WITNESS WHEREOF, the undersigned have executed this Letter as of March 5, 2022.

Station Casinos LLC

By: /s/ Jeffrey T. Welch

Name: Jeffrey T. Welch

Title: EVP & CLO

Red Rock Resorts, Inc. (for itself and on behalf of Station Holdco LLC)

By: /s/ Jeffrey T. Welch

Name: Jeffrey T. Welch

Title: EVP & CLO

Stephen L. Cootey

/s/ Stephen L. Cootey

EX-10.5

Exhibit 10.5

March 2, 2022

Mr. Jeffrey T. Welch

c/o Red Rock Resorts, Inc.

1505 South Pavilion Center Drive

Las Vegas Nevada 89135

Re: Employment Agreement dated May 25, 2017 by and among Station Casinos LLC, Red Rock Resorts, Inc. and Jeffrey T. Welch (the “Employment Agreement”).

This letter (this “Letter”) serves as confirmation that the Term of Employment (as defined in Section 2.2 of the Employment Agreement) is hereby amended as follows:

“2.2 Term of Employment. The Term of Employment shall commence on June 21, 2017 or, if later, the first day thereafter that the Executive shall no longer be employed by his prior employer (such date on which the Executive actually commences employment with the Company, the "Effective Date") and, unless earlier terminated pursuant to the provisions of this Agreement, shall terminate upon the close of business on the day immediately preceding the fifth anniversary of March 2, 2022.”

Aside from this, the Employment Agreement shall remain in full force and effect, with current compensation levels deemed to be reflected therein.

IN WITNESS WHEREOF, the undersigned have executed this Letter as of March 5, 2022.

Station Casinos LLC

By: /s/ Stephen L. Cootey

Name: Stephen L. Cootey

Title: EVP, CFO & Treasurer

Red Rock Resorts, Inc. (for itself and on behalf of Station Holdco LLC)

By: /s/ Stephen L. Cootey

Name: Stephen L. Cootey

Title: EVP, CFO & Treasurer

Jeffrey T. Welch

/s/ Jeffrey T. Welch

EX-31.1

Exhibit 31.1

CERTIFICATION

I, Frank J. Fertitta III, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Red Rock Resorts, Inc.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent functions):

(a)all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: May 6, 2022

/s/ FRANK J. FERTITTA III

Frank J. Fertitta III

Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATION

I, Stephen L. Cootey, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Red Rock Resorts, Inc.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent functions):

(a)all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: May 6, 2022

/s/ STEPHEN L. COOTEY

Stephen L. Cootey

Executive Vice President, Chief Financial Officer and Treasurer

(Principal Financial Officer)

EX-32.1

Exhibit 32.1

Red Rock Resorts, Inc.

Certification Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

(18 U.S.C. Section 1350)

    Pursuant to the requirements of Section 906 of the Sarbanes-Oxley Act of 2002 (18 U.S.C. Sections 1350(a) and (b)), the undersigned hereby certifies as follows:

1.Frank J. Fertitta III is the Chief Executive Officer of Red Rock Resorts, Inc. (the "Company").

2.The undersigned certifies to the best of his knowledge:

(A)The Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2022 accompanying this Certification, in the form filed with the Securities and Exchange Commission (the "Report") fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and

(B)The information in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated: May 6, 2022

/s/ FRANK J. FERTITTA III

Frank J. Fertitta III

Chief Executive Officer

EX-32.2

Exhibit 32.2

Red Rock Resorts, Inc.

Certification Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

(18 U.S.C. Section 1350)

    Pursuant to the requirements of Section 906 of the Sarbanes-Oxley Act of 2002 (18 U.S.C. Sections 1350(a) and (b)), the undersigned hereby certifies as follows:

1.Stephen L. Cootey is the Principal Financial Officer of Red Rock Resorts, Inc. (the "Company").

2.The undersigned certifies to the best of his knowledge:

(A)The Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2022 accompanying this Certification, in the form filed with the Securities and Exchange Commission (the "Report") fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and

(B)The information in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated: May 6, 2022

/s/ STEPHEN L. COOTEY

Stephen L. Cootey

Executive Vice President, Chief Financial Officer and Treasurer

(Principal Financial Officer)

XML

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2022	May 02, 2022
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2022
Document Transition Report	false
Entity File Number	001-37754
Entity Registrant Name	RED ROCK RESORTS, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	47-5081182
Entity Address, Address Line One	1505 South Pavilion Center Drive
Entity Address, City or Town	Las Vegas
Entity Address, State or Province	NV
Entity Address, Postal Zip Code	89135
City Area Code	702
Local Phone Number	495-3000
Title of 12(b) Security	Class A Common Stock, $.01 par value
Trading Symbol	RRR
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0001653653
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q1
Class A common stock
Entity Common Stock, Shares Outstanding (in shares)		61,472,012
Class B common stock
Entity Common Stock, Shares Outstanding (in shares)		45,985,804

XML

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 336,566	$ 275,281
Restricted cash	31,974	0
Receivables, net	34,872	36,739
Inventories	11,902	11,734
Prepaid gaming tax	27,559	26,745
Prepaid expenses and other current assets	19,514	20,416
Assets held for sale	7,600	7,600
Total current assets	469,987	378,515
Property and equipment, net of accumulated depreciation of $1,190,300 and $1,168,813 at March 31, 2022 and December 31, 2021, respectively	2,023,548	2,009,608
Goodwill	195,676	195,676
Intangible assets, net of accumulated amortization of $17,535 and $17,128 at March 31, 2022 and December 31, 2021, respectively	86,765	87,172
Land held for development	237,335	237,335
Investments in joint ventures	5,942	6,087
Native American development costs	35,234	34,094
Deferred tax asset, net	92,511	98,625
Other assets, net	62,488	93,221
Total assets	3,209,486	3,140,333
Current liabilities:
Accounts payable	18,209	17,466
Accrued interest payable	12,269	14,320
Income tax payable	4,835	735
Other accrued liabilities	168,876	146,374
Current portion of payable pursuant to tax receivable agreement	6,664	0
Current portion of long-term debt	25,931	25,921
Total current liabilities	236,784	204,816
Long-term debt, less current portion	2,822,774	2,827,603
Other long-term liabilities	32,651	30,723
Payable pursuant to tax receivable agreement, less current portion	20,494	27,158
Total liabilities	3,112,703	3,090,300
Stockholders’ equity:
Preferred stock, par value $0.01 per share, 100,000,000 shares authorized; none issued and outstanding	0	0
Additional paid-in capital	50,252	55,028
Retained earnings	36,942	3,851
Total Red Rock Resorts, Inc. stockholders’ equity	87,810	59,494
Noncontrolling interest	8,973	(9,461)
Total stockholders’ equity	96,783	50,033
Total liabilities and stockholders’ equity	3,209,486	3,140,333
Class A common stock
Stockholders’ equity:
Common stock	615	614
Class B common stock
Stockholders’ equity:
Common stock	$ 1	$ 1

XML

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Accumulated depreciation	$ 1,190,300	$ 1,168,813
Accumulated amortization	$ 17,535	$ 17,128
Preferred stock, par value (in usd per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	100,000,000	100,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Class A common stock
Common stock, par value (in usd per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	500,000,000	500,000,000
Common stock, shares issued (in shares)	61,472,012	61,426,605
Common stock, shares outstanding (in shares)	61,472,012	61,426,605
Class B common stock
Common stock, par value (in usd per share)	$ 0.00001	$ 0.00001
Common stock, shares authorized (in shares)	100,000,000	100,000,000
Common stock, shares issued (in shares)	45,985,804
Common stock, shares outstanding (in shares)	45,985,804

XML

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Operating revenues:
Net revenues	$ 401,636	$ 352,619
Operating costs and expenses:
Selling, general and administrative	86,296	78,910
Depreciation and amortization	33,425	54,255
Write-downs and other, net	10,180	260
Asset impairment	0	169,733
Operating expenses	270,842	423,772
Operating income (loss)	130,794	(71,153)
Earnings from joint ventures	844	390
Operating income (loss) and earnings from joint ventures	131,638	(70,763)
Other expense:
Interest expense, net	(26,674)	(27,267)
Loss on extinguishment of debt	0	(8,140)
Other	0	(176)
Total other expense	(26,674)	(35,583)
Income (loss) before income tax	104,964	(106,346)
Provision for income tax	(12,719)	(217)
Net income (loss)	92,245	(106,563)
Less: net income (loss) attributable to noncontrolling interests	43,899	(41,785)
Net income (loss) attributable to Red Rock Resorts, Inc.	$ 48,346	$ (64,778)
Earnings (loss) per common share (Note 9):
Earnings (loss) per share of Class A common stock, basic (in dollars per share)	$ 0.79	$ (0.92)
Earnings (loss) per share of Class A common stock, diluted (in dollars per share)	$ 0.77	$ (0.92)
Weighted-average common shares outstanding:
Basic (in shares)	61,005	70,728
Diluted (in shares)	107,701	70,728
Statement of comprehensive income (loss):
Comprehensive income (loss)	$ 92,245	$ (106,563)
Less: comprehensive income (loss) attributable to noncontrolling interests	43,899	(41,785)
Comprehensive income (loss) attributable to Red Rock Resorts, Inc.	48,346	(64,778)
Casino
Operating revenues:
Net revenues	279,771	259,938
Operating costs and expenses:
Operating costs and expenses	68,866	63,116
Food and beverage
Operating revenues:
Net revenues	65,699	46,872
Operating costs and expenses:
Operating costs and expenses	53,223	41,057
Room
Operating revenues:
Net revenues	36,772	21,944
Operating costs and expenses:
Operating costs and expenses	12,482	11,091
Other
Operating revenues:
Net revenues	19,181	15,557
Operating costs and expenses:
Operating costs and expenses	6,370	5,350
Management fees
Operating revenues:
Net revenues	$ 213	$ 8,308

XML

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Class A common stock	Class B common stock	Common stock Class A common stock	Common stock Class B common stock	Additional paid-in capital	Retained earnings (accumulated deficit)	Accumulated other comprehensive loss	Noncontrolling interest
Balance at Dec. 31, 2020	$ 604,641			$ 712	$ 1	$ 385,579	$ (33,071)	$ (623)	$ 252,043
Number of shares at Dec. 31, 2020				71,228,000	46,086,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	(106,563)						(64,778)		(41,785)
Share-based compensation	2,741					2,741
Distributions	(7,561)								(7,561)
Stock option exercises and issuance of restricted stock, net	(317)			$ 2		(319)
Stock option exercises and issuance of restricted stock, net (shares)				171,000
Repurchases of Class A common stock	(11,712)			$ 4		11,708
Repurchases of Class A common stock (shares)				397,000
Exchanges of noncontrolling interests	(2,822)			$ 0	$ 0	(2,223)		(1)	(598)
Exchanges of noncontrolling interests (shares)				0	(100,000)
Tax receivable agreement liability resulting from exchanges of noncontrolling interests	(641)					(641)
Rebalancing of ownership percentage between the Company and noncontrolling interests in Station Holdco						(151)		0	151
Balance at Mar. 31, 2021	477,766			$ 710	$ 1	373,278	(97,849)	$ (624)	202,250
Number of shares at Mar. 31, 2021				71,002,000	45,986,000
Balance at Dec. 31, 2021	50,033			$ 614	$ 1	55,028	3,851		(9,461)
Number of shares at Dec. 31, 2021		61,426,605		61,427,000	45,986,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	92,245						48,346		43,899
Share-based compensation	3,542					3,542
Distributions	(21,798)								(21,798)
Dividends	(15,255)						(15,255)
Stock option exercises and issuance of restricted stock, net	(1,210)			$ 3		(1,213)
Stock option exercises and issuance of restricted stock, net (shares)				270,000
Repurchases of Class A common stock	(10,774)			$ (2)		(10,772)
Repurchases of Class A common stock (shares)				(225,000)
Tax receivable agreement liability resulting from exchanges of noncontrolling interests	0
Rebalancing of ownership percentage between the Company and noncontrolling interests in Station Holdco						3,667			(3,667)
Balance at Mar. 31, 2022	$ 96,783			$ 615	$ 1	$ 50,252	$ 36,942		$ 8,973
Number of shares at Mar. 31, 2022		61,472,012	45,985,804	61,472,000	45,986,000

XML

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Cash flows from operating activities:
Net income (loss)	$ 92,245	$ (106,563)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	33,425	54,255
Write-downs and other, net	168	(66)
Asset impairment	0	169,733
Amortization of debt discount and debt issuance costs	2,425	2,411
Share-based compensation	3,505	2,741
Loss on extinguishment of debt	0	8,140
Deferred income tax	6,114	0
Changes in assets and liabilities:
Receivables, net	1,867	(167)
Inventories and prepaid expenses	(1,900)	(7,492)
Accounts payable	766	(178)
Accrued interest payable	(2,051)	(7,330)
Income tax receivable/payable, net	4,100	217
Other accrued liabilities	16,568	2,966
Other, net	233	1,093
Net cash provided by operating activities	157,465	119,760
Cash flows from investing activities:
Capital expenditures, net of related payables	(38,945)	(8,010)
Native American development costs	(1,200)	(2,744)
Net settlement of derivative instruments	0	(5,648)
Other, net	14	150
Net cash used in investing activities	(40,131)	(16,252)
Cash flows from financing activities:
Borrowings under credit agreements with original maturity dates greater than three months	0	220,000
Payments under credit agreements with original maturity dates greater than three months	(6,195)	(47,693)
Partial redemption of 5.00% Senior Notes	0	(250,000)
Cash paid for early extinguishment of debt	0	(6,250)
Distributions to noncontrolling interests	(21,798)	(7,561)
Repurchases of Class A common stock	(10,774)	(11,712)
Exchanges of noncontrolling interests for cash	0	(2,822)
Dividends paid	(15,789)	0
Other, net	(1,493)	(591)
Net cash used in financing activities	(56,049)	(106,629)
Increase (decrease) in cash, cash equivalents and restricted cash	61,285	(3,121)
Balance, beginning of period	307,255	125,705
Balance, end of period	368,540	122,584
Cash, cash equivalents and restricted cash:
Cash and cash equivalents	336,566	117,908
Restricted cash	31,974	0
Cash, cash equivalents and restricted cash included in assets held for sale	0	4,676
Balance, end of period	368,540	122,584
Supplemental cash flow disclosures:
Cash paid for interest, net of $417 and $0 capitalized, respectively	26,301	32,207
Non-cash investing and financing activities:
Capital expenditures incurred but not yet paid	$ 23,804	$ 7,719

XML

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Statement of Cash Flows [Abstract]
Capitalized interest	$ 417	$ 0

XML

Organization, Basis of Presentation and Significant Accounting Policies

3 Months Ended

Mar. 31, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Organization, Basis of Presentation and Significant Accounting Policies

Organization, Basis of Presentation and Significant Accounting Policies

Organization

Red Rock Resorts, Inc. (“Red Rock,” or the “Company”) was formed as a Delaware corporation in 2015 to own an indirect equity interest in and manage Station Casinos LLC (“Station LLC”), a Nevada limited liability company. Station LLC is a gaming, development and management company established in 1976 that owns and operates nine major gaming and entertainment facilities and ten smaller casino properties (three of which are 50% owned) in the Las Vegas regional market.

The Company owns all of the outstanding voting interests in Station LLC and has an indirect equity interest in Station LLC through its ownership of limited liability interests in Station Holdco LLC (“Station Holdco,” and such interests, “LLC Units”), which owns all of the economic interests in Station LLC. At March 31, 2022, the Company held 58% of the economic interests and 100% of the voting power in Station Holdco, subject to certain limited exceptions, and is designated as the sole managing member of both Station Holdco and Station LLC. The Company controls and operates all of the business and affairs of Station Holdco and Station LLC, and conducts all of its operations through these entities.

At March 31, 2022, three of the Company’s properties, Texas Station, Fiesta Henderson and Fiesta Rancho, have not reopened since their closure in March 2020 to comply with a statewide emergency order mandating the closure of Nevada casinos as a result of the ongoing COVID-19 pandemic. The Company will continue to assess the performance of its open properties, as well as the Las Vegas market and the economy as a whole, before considering whether to reopen some or all of the remaining properties. The Company has no current plans to reopen any of these properties in 2022.

A subsidiary of Station LLC managed Graton Resort, a casino in northern California, on behalf of a Native American tribe through February 5, 2021. The property was temporarily closed from March 17, 2020 through June 17, 2020 as a result of the COVID-19 pandemic. The management agreement was originally expected to expire in November 2020 but was extended as a result of the pandemic through February 5, 2021, when the tribe terminated the Company’s management role at the facility. Whether the management agreement provides for an additional extension beyond that date is in dispute.

Basis of Presentation

The accompanying condensed consolidated financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted pursuant to such rules and regulations, although management believes that the disclosures are adequate to make the information presented not misleading. In the opinion of management, all adjustments necessary for a fair presentation of the results for the interim periods have been made, and such adjustments were of a normal recurring nature. The interim results reflected in these condensed consolidated financial statements are not necessarily indicative of results to be expected for the full fiscal year. These financial statements should be read in conjunction with the audited financial statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. Certain amounts in the condensed consolidated financial statements for the prior year have been reclassified to be consistent with the current year presentation. During the three months ended March 31, 2022, management determined that the held for sale criteria were no longer met for a parcel of land that was previously classified as held for sale, and the carrying amount of $50.6 million was reclassified to Land held for development at December 31, 2021.

Principles of Consolidation

Station Holdco and Station LLC are variable interest entities, of which the Company is the primary beneficiary. Accordingly, the Company consolidates the financial position and results of operations of Station LLC and its consolidated subsidiaries and Station Holdco, and presents the interest in Station Holdco not owned by Red Rock within noncontrolling interest in the condensed consolidated financial statements. All intercompany accounts and transactions have been eliminated.

The Company has investments in three 50% owned smaller casino properties which are joint ventures accounted for using the equity method.

Use of Estimates

The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect amounts reported and disclosed. Actual results could differ from those estimates.

Significant Accounting Policies

A description of the Company’s significant accounting policies is included in the audited financial statements within its Annual Report on Form 10-K for the year ended December 31, 2021.

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Noncontrolling Interest in Station Holdco

3 Months Ended

Mar. 31, 2022

Noncontrolling Interest [Abstract]

Noncontrolling Interest in Station Holdco

Noncontrolling Interest in Station Holdco

As discussed in Note 1, Red Rock holds a controlling interest in and consolidates the financial position and results of operations of Station LLC and its subsidiaries and Station Holdco. The interests in Station Holdco not owned by Red Rock are presented within noncontrolling interest in the condensed consolidated financial statements.

The ownership of the LLC Units is summarized as follows:

	March 31, 2022			December 31, 2021
	Units	Ownership %		Units	Ownership %
Red Rock	64,472,873	58.4	%	64,425,248	58.4	%
Noncontrolling interest holders	45,985,804	41.6	%	45,985,804	41.6	%
Total	110,458,677	100.0	%	110,411,052	100.0	%

The Company uses monthly weighted-average LLC Unit ownership to calculate the pretax income or loss and other comprehensive income or loss of Station Holdco attributable to Red Rock and the noncontrolling interest holders. Station Holdco equity attributable to Red Rock and the noncontrolling interest holders is rebalanced, as needed, to reflect LLC Unit ownership at period end.

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Native American Development

3 Months Ended

Mar. 31, 2022

Development Disclosure [Abstract]

Native American Development

Native American Development

The Company has development and management agreements with the North Fork Rancheria of Mono Indians (the “Mono”), a federally recognized Native American tribe located near Fresno, California, which were originally entered into in 2003. In August 2014, the Mono and the Company entered into the Second Amended and Restated Development Agreement (the “Development Agreement”) and the Second Amended and Restated Management Agreement. Pursuant to those agreements, the Company will assist the Mono in developing and operating a gaming and entertainment facility (the “North Fork Project”) to be located in Madera County, California. The Company purchased a 305-acre parcel of land adjacent to Highway 99 north of the city of Madera (the “North Fork Site”), which was taken into trust for the benefit of the Mono by the Department of the Interior (“DOI”) in February 2013.

As currently contemplated, the North Fork Project is expected to include approximately 2,000 Class III slot machines, approximately 40 table games and several restaurants, and future development costs of the project are expected to be between $350 million and $400 million. Development of the North Fork Project is subject to certain governmental and regulatory approvals, including, without limitation, approval of the management agreement by the Chair of the National Indian Gaming Commission (“NIGC”).

Under the terms of the Development Agreement, the Company has agreed to arrange the financing for the ongoing development costs and construction of the facility, and has contributed significant financial support to the North Fork Project. Through March 31, 2022, the Company has paid approximately $50.3 million of reimbursable advances to the Mono, primarily to complete the environmental impact study, purchase the North Fork Site and pay the costs of litigation. The advances are expected to be repaid from the proceeds of the project’s financing or from the Mono’s cash flows from the North Fork Project’s operations; however, there can be no assurance that the advances will be repaid. The carrying amount of the advances was reduced to fair value upon the Company’s adoption of fresh-start reporting in 2011. At March 31, 2022, the carrying amount of the advances was $35.2 million. The Company earns a return on the advances to the Mono. Due to uncertainty surrounding the timing and amount of the stated return, the Company recognizes the return when it is received.

The Company expects to receive a development fee of 4% of the costs of construction (as defined in the Development Agreement) for its development services, which will be paid upon the commencement of gaming operations at the facility. In March 2018, the Mono submitted a proposed Third Amended and Restated Management Agreement (the “Management

Agreement”) to the NIGC. The Management Agreement allows the Company to receive a management fee of 30% of the North Fork Project’s net income. The Management Agreement and the Development Agreement have a term of seven years from the opening of the North Fork Project. The Management Agreement includes termination provisions whereby either party may terminate the agreement for cause, and the Management Agreement may also be terminated at any time upon agreement of the parties. There is no provision in the Management Agreement allowing the tribe to buy-out the agreement prior to its expiration. The Management Agreement provides that the Company will train the Mono tribal members such that they may assume responsibility for managing the North Fork Project upon the expiration of the agreement.

Upon termination or expiration of the Management Agreement and Development Agreement, the Mono will continue to be obligated to repay any unpaid principal and interest on the advances from the Company, as well as certain other amounts that may be due, such as management fees. Amounts due to the Company under the Development Agreement and Management Agreement are secured by substantially all of the assets of the North Fork Project except the North Fork Site. In addition, the Development Agreement and Management Agreement contain waivers of the Mono’s sovereign immunity from suit for the purpose of enforcing the agreements or permitting or compelling arbitration and other remedies.

The timing of this type of project is difficult to predict and is dependent upon the receipt of the necessary governmental and regulatory approvals. There can be no assurance as to when, or if, these approvals will be obtained. The Company currently estimates that construction of the North Fork Project may begin in the next six months and estimates that the North Fork Project would be completed and opened for business approximately 15 to 18 months after construction begins. There can be no assurance, however, that the North Fork Project will be completed and opened within this time frame or at all. The Company expects to assist the Mono in obtaining financing for the North Fork Project once all necessary regulatory approvals have been received and prior to commencement of construction; however, there can be no assurance that the Company will be able to obtain such financing for the North Fork Project on acceptable terms or at all.

The Company has evaluated the likelihood that the North Fork Project will be successfully completed and opened, and has concluded that the likelihood of successful completion is in the range of 75% to 85% at March 31, 2022. The Company’s evaluation is based on its consideration of all available positive and negative evidence about the status of the North Fork Project, including, but not limited to, the status of required regulatory approvals, as well as the progress being made toward the achievement of all milestones and the successful resolution of all litigation and contingencies. There can be no assurance that the North Fork Project will be successfully completed or that future events and circumstances will not change the Company’s estimates of the timing, scope, and potential for successful completion or that any such changes will not be material. In addition, there can be no assurance that the Company will recover all of its investment in the North Fork Project even if it is successfully completed and opened for business.

The following table summarizes the Company’s evaluation at March 31, 2022 of each of the critical milestones necessary to complete the North Fork Project.

Federally recognized as an Indian tribe by the Bureau of Indian Affairs (“BIA”)	Yes
Date of recognition	Federal recognition was terminated in 1966 and restored in 1983.
Tribe has possession of or access to usable land upon which the project is to be built	The DOI accepted approximately 305 acres of land for the project into trust for the benefit of the Mono in February 2013.
Status of obtaining regulatory and governmental approvals:
Tribal-state compact	A compact was negotiated and signed by the Governor of California and the Mono in August 2012. The California State Assembly and Senate passed Assembly Bill 277 (“AB 277”) which ratified the Compact in May 2013 and June 2013, respectively. Opponents of the North Fork Project qualified a referendum, “Proposition 48,” for a state-wide ballot challenging the legislature’s ratification of the Compact. In November 2014, Proposition 48 failed. The State took the position that the failure of Proposition 48 nullified the ratification of the Compact and, therefore, the Compact did not take effect under California law. In March 2015, the Mono filed suit against the State to obtain a compact with the State or procedures from the Secretary of the Interior under which Class III gaming may be conducted on the North Fork Site. In July 2016, the DOI issued Secretarial procedures (the “Secretarial Procedures”) pursuant to which the Mono may conduct Class III gaming on the North Fork Site.
Approval of gaming compact by DOI	The Compact was submitted to the DOI in July 2013. In October 2013, notice of the Compact taking effect was published in the Federal Register. The Secretarial Procedures supersede and replace the Compact.
Record of decision regarding environmental impact published by BIA	In November 2012, the record of decision for the Environmental Impact Statement for the North Fork Project was issued by the BIA. In December 2012, the Notice of Intent to take land into trust was published in the Federal Register.
BIA accepting usable land into trust on behalf of the tribe	The North Fork Site was accepted into trust in February 2013.
Approval of management agreement by NIGC	In December 2015, the Mono submitted a Second Amended and Restated Management Agreement, and certain related documents, to the NIGC. In July 2016, the Mono received a deficiency letter from the NIGC seeking additional information concerning the Second Amended and Restated Management Agreement. In March 2018, the Mono submitted the Management Agreement and certain related documents to the NIGC. In June 2018, the Mono received a deficiency letter from the NIGC seeking additional information concerning the Management Agreement. In April 2021, the Mono received an issues letter from the NIGC identifying issues to be addressed prior to approval of the Management Agreement. Approval of the Management Agreement by the NIGC is expected to occur following the Mono’s response to the issues letter. The Company believes the Management Agreement will be approved because the terms and conditions thereof are consistent with the provisions of the Indian Gaming Regulatory Act (“IGRA”).
Gaming licenses:
Type	The North Fork Project will include the operation of Class II and Class III gaming, which are allowed pursuant to the terms of the Secretarial Procedures and IGRA, following approval of the Management Agreement by the NIGC.
Number of gaming devices allowed	The Secretarial Procedures allow for the operation of a maximum of 2,000 Class III slot machines at the facility during the first two years of operation and thereafter up to 2,500 Class III slot machines. There is no limit on the number of Class II gaming devices that the Mono can offer.
Agreements with local authorities	The Mono has entered into memoranda of understanding with the City of Madera, the County of Madera and the Madera Irrigation District under which the Mono agreed to pay one-time and recurring mitigation contributions, subject to certain contingencies. The memoranda of understanding have all been amended to restructure the timing of certain payments due to delays in the development of the North Fork Project.

Following is a discussion of the unresolved legal matter related to the North Fork Project.

Picayune Rancheria of Chukchansi Indians v. Brown. In March 2016, Picayune Rancheria of Chukchansi Indians (“Picayune”) filed a complaint for declaratory relief and petition for writ of mandate in California Superior Court for the County of Madera against Governor Edmund G. Brown, Jr., alleging that the referendum that invalidated the Compact also invalidated Governor Brown’s concurrence with the Secretary of the Interior’s determination that gaming on the North Fork Site would be in the best interest of the Mono and not detrimental to the surrounding community. The complaint seeks to vacate and set aside the Governor’s concurrence and was stayed from December 2016 to September 2021, when the Supreme Court of California denied the Mono’s and the State of California’s petition for review in Stand Up for California! v. Brown. As a result of the denial, litigation of this matter has resumed.

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Other Accrued Liabilities

3 Months Ended

Mar. 31, 2022

Accrued Liabilities, Current [Abstract]

Other Accrued Liabilities

Other Accrued Liabilities

Other accrued liabilities consisted of the following (amounts in thousands):

	March 31, 2022		December 31, 2021
Contract and customer-related liabilities:
Rewards Program liability	$	12,435	$	12,711
Advance deposits and future wagers	14,560		15,897
Unpaid wagers, outstanding chips and other customer-related liabilities	22,003		21,963
Other accrued liabilities:
Accrued payroll and related	35,917		30,019
Accrued gaming and related	27,385		25,372
Construction payables and equipment purchase accruals	24,200		15,437
Operating lease liabilities, current portion	3,081		2,976
Other	29,295		21,999
	$	168,876	$	146,374

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Long-term Debt

3 Months Ended

Mar. 31, 2022

Debt Disclosure [Abstract]

Long-term Debt

Long-term Debt

Long-term debt consisted of the following indebtedness of Station LLC (amounts in thousands):

	March 31, 2022		December 31, 2021
Term Loan B Facility due February 7, 2027, interest at a margin above LIBOR or base rate (2.71% and 2.50% at March 31, 2022 and December 31, 2021, respectively), net of unamortized discount and deferred issuance costs of $23.7 million and $24.9 million at March 31, 2022 and December 31, 2021, respectively	$	1,461,047	$	1,463,731
Term Loan A Facility due February 7, 2025, interest at a margin above LIBOR or base rate (1.96% and 1.61% at March 31, 2022 and December 31, 2021, respectively), net of unamortized discount and deferred issuance costs of $1.5 million and $1.6 million at March 31, 2022 and December 31, 2021, respectively	168,591		170,819
Revolving Credit Facility due February 7, 2025, interest at a margin above LIBOR or base rate	—		—
4.625% Senior Notes due December 1, 2031, net of unamortized deferred issuance costs of $5.9 million and $6.0 million at March 31, 2022 and December 31, 2021, respectively	494,134		494,015
4.50% Senior Notes due February 15, 2028, net of unamortized discount and deferred issuance costs of $6.4 million and $6.6 million at March 31, 2022 and December 31, 2021, respectively	684,404		684,170
Other long-term debt, weighted-average interest of 3.82% at March 31, 2022 and December 31, 2021, net of unamortized discount and deferred issuance costs of $0.3 million at March 31, 2022 and December 31, 2021	40,529		40,789
Total long-term debt	2,848,705		2,853,524
Current portion of long-term debt	(25,931)		(25,921)
Total long-term debt, net	$	2,822,774	$	2,827,603

Credit Facility

Station LLC’s credit facility consists of the Term Loan B Facility, the Term Loan A Facility and the Revolving Credit Facility (collectively, the “Credit Facility”). The Term Loan B Facility bears interest at a rate per annum, at Station LLC’s option, equal to either LIBOR plus 2.25% or base rate plus 1.25%. The Term Loan A Facility and Revolving Credit Facility bear interest at a rate per annum, at Station LLC’s option, equal to either LIBOR plus an amount ranging from 1.50% to 1.75% or base rate plus an amount ranging from 0.50% to 0.75%, depending on Station LLC’s consolidated total leverage ratio. The Credit Facility contains a number of customary covenants, including requirements that Station LLC maintain throughout the term of the Credit Facility and measured as of the end of each quarter, an interest coverage ratio of not less than 2.50 to 1.00 and a maximum consolidated total leverage ratio, with step-downs over the term of the Credit Facility, ranging from 6.25 to 1.00 at March 31, 2022 to 5.25 to 1.00 at December 31, 2023 and thereafter. A breach of the financial ratio covenants shall only become an event of default under the Term Loan B Facility if the lenders within the Term Loan A Facility and the Revolving Credit Facility take certain affirmative actions after the occurrence of a default of such financial ratio covenants. Management believes the Company was in compliance with all applicable covenants at March 31, 2022.

Revolving Credit Facility

At March 31, 2022, Station LLC’s borrowing availability under its Revolving Credit Facility, subject to continued compliance with the terms of the Credit Facility, was $1.0 billion, which was net of $29.4 million in outstanding letters of credit and similar obligations.

Fair Value of Long-term Debt

The estimated fair value of Station LLC’s long-term debt compared with its carrying amount is presented below (amounts in millions):

	March 31, 2022		December 31, 2021
Aggregate fair value	$	2,750	$	2,887
Aggregate carrying amount	2,849		2,854

The estimated fair value of Station LLC’s long-term debt is based on quoted market prices from various banks for similar instruments, which is considered a Level 2 input under the fair value measurement hierarchy.

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Stockholders' Equity

3 Months Ended

Mar. 31, 2022

Equity [Abstract]

Stockholders' Equity

Stockholders’ Equity    

Net Income (Loss) Attributable to Red Rock Resorts, Inc. and Transfers from (to) Noncontrolling Interests

The table below presents the effect on Red Rock Resorts, Inc. stockholders’ equity from net income (loss) and transfers from (to) noncontrolling interests (amounts in thousands):

	Three Months Ended March 31,
	2022		2021
Net income (loss) attributable to Red Rock Resorts, Inc.	$	48,346	$	(64,778)
Transfers from (to) noncontrolling interests:
Exchanges of noncontrolling interests	—		598
Rebalancing of ownership percentage between the Company and noncontrolling interests in Station Holdco	3,667		(151)
Net transfers from noncontrolling interests	3,667		447
Change from net income (loss) attributable to Red Rock Resorts, Inc. and net transfers from noncontrolling interests	$	52,013	$	(64,331)

Dividends

On February 18, 2022, the Company announced that its board of directors had approved the reinstatement of the Company’s regular quarterly dividend, which had been discontinued since May 2020. During the three months ended March 31, 2022, the Company declared and paid a cash dividend of $0.25 per share of Class A common stock. No dividend was paid during the three months ended March 31, 2021. On May 3, 2022, the Company announced that it would pay a dividend of $0.25 per share to holders of record as of June 16, 2022 to be paid on June 30, 2022. Prior to the payment of the dividend, Station Holdco will make a cash distribution to all LLC Unit holders, including the Company, of $0.25 per LLC Unit, a portion of which will be paid to the other unit holders of Station Holdco.

Equity Repurchase Program

As of September 2021, the Company’s board of directors had approved an equity repurchase program authorizing the repurchase of up to an aggregate of $300 million of its Class A common stock through December 31, 2022. During the three months ended March 31, 2022 and 2021, the Company repurchased 184,793 and 382,602 shares, respectively, of its Class A common stock for an aggregate purchase price of $8.8 million and $11.2 million, respectively, and a weighted average price per share of $47.77 and $29.39, respectively, in open market transactions. At March 31, 2022, the remaining amount authorized for repurchases under the program was $145.6 million.

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Share-based Compensation

3 Months Ended

Mar. 31, 2022

Share-based Payment Arrangement [Abstract]

Share-based Compensation

Share-based Compensation The Company maintains an equity incentive plan designed to attract, retain and motivate employees and align the interests of those individuals with the interests of the Company. A total of 23.6 million shares of Class A common stock are reserved for issuance under the plan, of which approximately 11.7 million shares were available for issuance at March 31, 2022.

The following table presents information about the Company’s share-based compensation awards:

	Restricted Class A  Common Stock			Stock Options
	Shares	Weighted-average grant date fair value		Shares	Weighted-average exercise price
Outstanding at January 1, 2022	392,386	$	28.47	6,562,539	$	25.67
Activity during the period:
Granted	214,413	47.33		1,121,407	47.34
Vested/exercised (a)	(152,052)	28.54		(142,813)	23.75
Forfeited/expired	—	—		(14,073)	23.43
Outstanding at March 31, 2022	454,747	$	37.34	7,527,060	$	28.93

_______________________________________________________________

(a)Stock options exercised included 87,168 options that were not converted into shares due to net share settlements to cover the aggregate exercise price and employee withholding taxes.

The Company recognized share-based compensation expense of $3.5 million and $2.7 million for the three months ended March 31, 2022 and 2021, respectively. At March 31, 2022, unrecognized share-based compensation cost was $54.9 million, which is expected to be recognized over a weighted-average period of 3.4 years.

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Income Taxes

3 Months Ended

Mar. 31, 2022

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

Red Rock is a corporation and pays corporate federal, state and local taxes on its income, primarily pass-through income from Station Holdco based upon Red Rock’s economic interest held in Station Holdco. Station Holdco is a partnership for income tax reporting purposes. Station Holdco’s members, including the Company, are liable for federal, state and local income taxes based on their respective share of Station Holdco’s pass-through taxable income.     

The Company’s tax provision or benefit from income taxes for interim periods is determined using an estimate of the Company’s annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter the Company updates the estimate of the annual effective tax rate and makes necessary cumulative adjustments to the total tax provision or benefit. The current taxes are estimated for the period and the balance sheet is adjusted to reflect such taxes currently payable or receivable. The remaining tax provision or benefit is recorded as deferred taxes.

The Company’s effective tax rate for the three months ended March 31, 2022 was 12.1%, as compared to (0.2)% for the three months ended March 31, 2021. The Company’s effective tax rate for the three months ended March 31, 2022 is less than the 21% statutory rate because its effective tax rate includes a rate benefit attributable to the fact that Station Holdco operates as a limited liability company which is not subject to federal income tax. Accordingly, the Company is not taxed on the portion of Station Holdco’s income attributable to noncontrolling interests. In addition, state income taxes do not have a significant impact on the Company's effective rate. Station Holdco operates in Nevada and California. Nevada does not impose a state income tax and the Company's current activities in California result in minimal state income tax.

As a result of the Company’s 2016 initial public offering (“IPO”) and certain reorganization transactions, the Company recorded a net deferred tax asset resulting from the outside basis difference of its interest in Station Holdco. The Company also recorded a deferred tax asset for its liability related to payments to be made pursuant to the tax receivable agreement (“TRA”) representing 85% of the tax savings the Company expects to realize from the amortization deductions associated with the step up in the basis of depreciable assets under Section 754 of the Internal Revenue Code. This deferred tax asset will be recovered as cash payments are made to the TRA participants. In addition, the Company has recorded deferred tax assets related to net operating losses.

The Company considers both positive and negative evidence when measuring the need for a valuation allowance. A valuation allowance is not required to the extent that, in management’s judgment, positive evidence exists with a magnitude and duration sufficient to result in a conclusion that it is more likely than not that the Company’s deferred tax assets will be realized. The Company determined that the deferred tax asset related to the LLC Units issued in the IPO and reorganization transactions is not expected to be realized unless the Company disposes of its investment in Station Holdco. As such, the Company established a valuation allowance against this portion of its deferred tax asset. The Company recognizes changes to the

valuation allowance through the provision for income tax or other comprehensive income, as applicable. At March 31, 2022 and December 31, 2021, the valuation allowance was $4.8 million.

The Company recorded cumulative unrecognized tax benefit liabilities (“UTB”) of $2.5 million as of March 31, 2022 and assessed the corresponding impact of the interest and penalties related to the UTB.

The Company files annual income tax returns for Red Rock and Station Holdco in the U.S. federal jurisdiction and California. Station Holdco is currently under examination by the IRS for the 2017 tax year. The Company regularly assesses the likelihood of adverse outcomes resulting from any examinations to determine the adequacy of the Company’s provision for income taxes. The 2017 agreed audit adjustments are reflected as a reduction in carryforward net operating losses. The IRS has also issued a Notice of Proposed Adjustment under the 2017 tax year examination. The Company is appealing this proposed adjustment relating to land lease expense in 2017.

There are no other ongoing income tax audits as of March 31, 2022. For federal income tax purposes, the years 2018, 2019, and 2020 are subject to examination as the normal three-year statute of limitations expires three years after the actual filing date of the returns.

Tax Receivable Agreement

In connection with the IPO, the Company entered into the TRA with certain owners who held LLC Units prior to the IPO. In the event that such parties exchange any or all of their LLC Units for Class A common stock or cash, at the election of the Company, the TRA requires the Company to make payments to such holders for 85% of the tax benefits realized by the Company as a result of such exchange. The Company expects to realize these tax benefits based on current projections of taxable income. The annual tax benefits are computed by calculating the income taxes due, including such tax benefits, and the income taxes due without such benefits.

At March 31, 2022 and December 31, 2021, the Company’s liability under the TRA was $27.2 million, of which $9.0 million was payable to entities related to Frank J. Fertitta III, the Company’s Chairman of the Board and Chief Executive Officer, and Lorenzo J. Fertitta, Vice Chairman of the Board and a vice president of the Company. For the three months ended March 31, 2021, an exchange of LLC Units resulted in an increase in the amount payable under the TRA liability of $0.6 million, which was recorded through stockholders’ equity. No LLC Units were exchanged during the three months ended March 31, 2022. The Company expects to pay $6.7 million of the TRA liability within the next twelve months.

The timing and amount of aggregate payments due under the TRA may vary based on a number of factors, including the amount and timing of the taxable income the Company generates each year and the tax rate then applicable. The payment obligations under the TRA are Red Rock’s obligations and are not obligations of Station Holdco or Station LLC. Payments are generally due within a specified period of time following the filing of the Company’s annual tax return and interest on such payments will accrue from the original due date (without extensions) of the income tax return until the date paid. Payments not made within the required period after the filing of the income tax return generally accrue interest at a rate of LIBOR plus 5.00%.

The TRA will remain in effect until all such tax benefits have been utilized or expired, unless the Company exercises its right to terminate the TRA. The TRA will also terminate if the Company breaches its obligations under the TRA or upon certain mergers, asset sales or other forms of business combinations, or other changes of control. If the Company exercises its right to terminate the TRA, or if the TRA is terminated early in accordance with its terms, the Company’s payment obligations would be accelerated based upon certain assumptions, including the assumption that the Company would have sufficient future taxable income to utilize such tax benefits, and may substantially exceed the actual benefits, if any, the Company realizes in respect of the tax attributes subject to the TRA.

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Earnings (Loss) Per Share

3 Months Ended

Mar. 31, 2022

Earnings Per Share [Abstract]

Earnings Per Share

Earnings (Loss) Per Share Basic earnings or loss per share is calculated by dividing net income or loss attributable to Red Rock by the weighted-average number of shares of Class A common stock outstanding during the period. The calculation of diluted earnings or loss per share gives effect to all potentially dilutive shares, including shares issuable pursuant to outstanding stock options and nonvested restricted shares of Class A common stock, based on the application of the treasury stock method, and outstanding Class B common stock that is exchangeable, along with an equal number of LLC Units, for Class A common stock, based on the application of the if-converted method. Dilutive shares included in the calculation of diluted earnings per share for the three months ended March 31, 2022 represent outstanding shares of Class B common stock, nonvested restricted shares of Class A common stock and outstanding stock options. All other potentially dilutive securities have been excluded from the calculation of diluted earnings per share because their inclusion would have been antidilutive. For the three months ended March 31, 2021,

the Company incurred a net loss. As a result, all potentially dilutive securities were excluded from the calculation of diluted loss per share for the period because their inclusion would have been antidilutive.

A reconciliation of the numerator and denominator used in the calculation of basic and diluted earnings (loss) per share is presented below (amounts in thousands):

	Three Months Ended March 31,
	2022		2021
Net income (loss)	$	92,245	$	(106,563)
Less: net (income) loss attributable to noncontrolling interests	(43,899)		41,785
Net income (loss) attributable to Red Rock, basic	48,346		(64,778)
Effect of dilutive securities	34,680		—
Net income (loss) attributable to Red Rock, diluted	$	83,026	$	(64,778)

	Three Months Ended March 31,
	2022	2021
Weighted average shares of Class A common stock outstanding, basic	61,005	70,728
Effect of dilutive securities	46,696	—
Weighted average shares of Class A common stock outstanding, diluted	107,701	70,728

The calculation of diluted earnings (loss) per share of Class A common stock excluded the following potentially dilutive shares that were outstanding at March 31, 2022 and 2021, respectively, because their inclusion would have been antidilutive (amounts in thousands):

	Three Months Ended March 31,
	2022	2021
Shares of Class B common stock and LLC Units exchangeable for Class A common stock	—	45,986
Stock options	1,164	7,408
Unvested restricted shares of Class A common stock	25	437

Shares of Class B common stock are not entitled to share in the earnings of the Company and are not participating securities. Accordingly, earnings per share of Class B common stock under the two-class method has not been presented.

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Commitments and Contingencies	3 Months Ended
	Mar. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and ContingenciesThe Company and its subsidiaries are defendants in various lawsuits relating to routine matters incidental to their business. No assurance can be provided as to the outcome of any legal matters and litigation inherently involves significant risks. The Company does not believe there are any legal matters outstanding that would have a material impact on its financial condition or results of operations.

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Segments

3 Months Ended

Mar. 31, 2022

Segment Reporting [Abstract]

Segments

SegmentsThe Company views each of its Las Vegas casino properties and each of its Native American management arrangements as individual operating segments. The Company aggregates all of its Las Vegas operating segments into one reportable segment because all of its Las Vegas properties offer similar products, cater to the same customer base, have the same regulatory and tax structure, share the same marketing techniques, are directed by a centralized management structure and have similar economic characteristics. The Company also aggregates its Native American management arrangements into one reportable segment.

The Company utilizes Adjusted EBITDA as its primary performance measure. The Company’s segment information and a reconciliation of net income (loss) to Adjusted EBITDA are presented below (amounts in thousands).

	Three Months Ended March 31,
	2022		2021
Net revenues
Las Vegas operations:
Casino	$	279,771	$	259,938
Food and beverage	65,699		46,872
Room	36,772		21,944
Other (a)	17,275		13,842
Management fees	213		221
Las Vegas operations net revenues	399,730		342,817
Native American management:
Management fees	—		8,087
Reportable segment net revenues	399,730		350,904
Corporate and other	1,906		1,715
Net revenues	$	401,636	$	352,619
Net income (loss)	$	92,245	$	(106,563)
Adjustments
Depreciation and amortization	33,425		54,255
Share-based compensation	3,505		2,741
Write-downs and other, net	10,180		260
Asset impairment	—		169,733
Interest expense, net	26,674		27,267
Loss on extinguishment of debt	—		8,140
Provision for income tax	12,719		217
Other	—		599
Adjusted EBITDA (b)	$	178,748	$	156,649
Adjusted EBITDA
Las Vegas operations	$	194,604	$	160,680
Native American management	(2,196)		7,604
Reportable segment Adjusted EBITDA	192,408		168,284
Corporate and other	(13,660)		(11,635)
Adjusted EBITDA	$	178,748	$	156,649

_______________________________________________________________

(a)Includes tenant lease revenue of $4.4 million and $2.7 million for the three months ended March 31, 2022 and 2021, respectively. Revenue from tenant leases is accounted for under the lease accounting guidance and included in Other revenues in the Company’s Condensed Consolidated Statements of Operations and Comprehensive Income (Loss).

(b)Adjusted EBITDA includes net income (loss) plus depreciation and amortization, share-based compensation, write-downs and other, net, asset impairment, interest expense, net, loss on extinguishment of debt, provision for income tax and other.

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Organization, Basis of Presentation and Significant Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

Basis of Presentation

The accompanying condensed consolidated financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted pursuant to such rules and regulations, although management believes that the disclosures are adequate to make the information presented not misleading. In the opinion of management, all adjustments necessary for a fair presentation of the results for the interim periods have been made, and such adjustments were of a normal recurring nature. The interim results reflected in these condensed consolidated financial statements are not necessarily indicative of results to be expected for the full fiscal year. These financial statements should be read in conjunction with the audited financial statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. Certain amounts in the condensed consolidated financial statements for the prior year have been reclassified to be consistent with the current year presentation. During the three months ended March 31, 2022, management determined that the held for sale criteria were no longer met for a parcel of land that was previously classified as held for sale, and the carrying amount of $50.6 million was reclassified to Land held for development at December 31, 2021.

Principles of Consolidation

Principles of Consolidation

Station Holdco and Station LLC are variable interest entities, of which the Company is the primary beneficiary. Accordingly, the Company consolidates the financial position and results of operations of Station LLC and its consolidated subsidiaries and Station Holdco, and presents the interest in Station Holdco not owned by Red Rock within noncontrolling interest in the condensed consolidated financial statements. All intercompany accounts and transactions have been eliminated.

The Company has investments in three 50% owned smaller casino properties which are joint ventures accounted for using the equity method.

Use of Estimates

Use of Estimates

The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect amounts reported and disclosed. Actual results could differ from those estimates.

Significant Accounting Policies

Significant Accounting Policies

A description of the Company’s significant accounting policies is included in the audited financial statements within its Annual Report on Form 10-K for the year ended December 31, 2021.

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Income Taxes (Policies)	3 Months Ended
	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Income Tax, Policy	The Company’s tax provision or benefit from income taxes for interim periods is determined using an estimate of the Company’s annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter the Company updates the estimate of the annual effective tax rate and makes necessary cumulative adjustments to the total tax provision or benefit. The current taxes are estimated for the period and the balance sheet is adjusted to reflect such taxes currently payable or receivable. The remaining tax provision or benefit is recorded as deferred taxes.

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Noncontrolling Interest in Station Holdco (Tables)

3 Months Ended

Mar. 31, 2022

Noncontrolling Interest [Abstract]

Noncontrolling Interest Ownership

The ownership of the LLC Units is summarized as follows:

	March 31, 2022			December 31, 2021
	Units	Ownership %		Units	Ownership %
Red Rock	64,472,873	58.4	%	64,425,248	58.4	%
Noncontrolling interest holders	45,985,804	41.6	%	45,985,804	41.6	%
Total	110,458,677	100.0	%	110,411,052	100.0	%

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Native American Development (Tables)

3 Months Ended

Mar. 31, 2022

Development Disclosure [Abstract]

Schedule of Development and Management Agreements

The following table summarizes the Company’s evaluation at March 31, 2022 of each of the critical milestones necessary to complete the North Fork Project.

Federally recognized as an Indian tribe by the Bureau of Indian Affairs (“BIA”)	Yes
Date of recognition	Federal recognition was terminated in 1966 and restored in 1983.
Tribe has possession of or access to usable land upon which the project is to be built	The DOI accepted approximately 305 acres of land for the project into trust for the benefit of the Mono in February 2013.
Status of obtaining regulatory and governmental approvals:
Tribal-state compact	A compact was negotiated and signed by the Governor of California and the Mono in August 2012. The California State Assembly and Senate passed Assembly Bill 277 (“AB 277”) which ratified the Compact in May 2013 and June 2013, respectively. Opponents of the North Fork Project qualified a referendum, “Proposition 48,” for a state-wide ballot challenging the legislature’s ratification of the Compact. In November 2014, Proposition 48 failed. The State took the position that the failure of Proposition 48 nullified the ratification of the Compact and, therefore, the Compact did not take effect under California law. In March 2015, the Mono filed suit against the State to obtain a compact with the State or procedures from the Secretary of the Interior under which Class III gaming may be conducted on the North Fork Site. In July 2016, the DOI issued Secretarial procedures (the “Secretarial Procedures”) pursuant to which the Mono may conduct Class III gaming on the North Fork Site.
Approval of gaming compact by DOI	The Compact was submitted to the DOI in July 2013. In October 2013, notice of the Compact taking effect was published in the Federal Register. The Secretarial Procedures supersede and replace the Compact.
Record of decision regarding environmental impact published by BIA	In November 2012, the record of decision for the Environmental Impact Statement for the North Fork Project was issued by the BIA. In December 2012, the Notice of Intent to take land into trust was published in the Federal Register.
BIA accepting usable land into trust on behalf of the tribe	The North Fork Site was accepted into trust in February 2013.
Approval of management agreement by NIGC	In December 2015, the Mono submitted a Second Amended and Restated Management Agreement, and certain related documents, to the NIGC. In July 2016, the Mono received a deficiency letter from the NIGC seeking additional information concerning the Second Amended and Restated Management Agreement. In March 2018, the Mono submitted the Management Agreement and certain related documents to the NIGC. In June 2018, the Mono received a deficiency letter from the NIGC seeking additional information concerning the Management Agreement. In April 2021, the Mono received an issues letter from the NIGC identifying issues to be addressed prior to approval of the Management Agreement. Approval of the Management Agreement by the NIGC is expected to occur following the Mono’s response to the issues letter. The Company believes the Management Agreement will be approved because the terms and conditions thereof are consistent with the provisions of the Indian Gaming Regulatory Act (“IGRA”).
Gaming licenses:
Type	The North Fork Project will include the operation of Class II and Class III gaming, which are allowed pursuant to the terms of the Secretarial Procedures and IGRA, following approval of the Management Agreement by the NIGC.
Number of gaming devices allowed	The Secretarial Procedures allow for the operation of a maximum of 2,000 Class III slot machines at the facility during the first two years of operation and thereafter up to 2,500 Class III slot machines. There is no limit on the number of Class II gaming devices that the Mono can offer.
Agreements with local authorities	The Mono has entered into memoranda of understanding with the City of Madera, the County of Madera and the Madera Irrigation District under which the Mono agreed to pay one-time and recurring mitigation contributions, subject to certain contingencies. The memoranda of understanding have all been amended to restructure the timing of certain payments due to delays in the development of the North Fork Project.

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Other Accrued Liabilities (Tables)

3 Months Ended

Mar. 31, 2022

Accrued Liabilities, Current [Abstract]

Schedule of Accrued Liabilities

Other accrued liabilities consisted of the following (amounts in thousands):

	March 31, 2022		December 31, 2021
Contract and customer-related liabilities:
Rewards Program liability	$	12,435	$	12,711
Advance deposits and future wagers	14,560		15,897
Unpaid wagers, outstanding chips and other customer-related liabilities	22,003		21,963
Other accrued liabilities:
Accrued payroll and related	35,917		30,019
Accrued gaming and related	27,385		25,372
Construction payables and equipment purchase accruals	24,200		15,437
Operating lease liabilities, current portion	3,081		2,976
Other	29,295		21,999
	$	168,876	$	146,374

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Long-term Debt (Tables)

3 Months Ended

Mar. 31, 2022

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

Long-term debt consisted of the following indebtedness of Station LLC (amounts in thousands):

	March 31, 2022		December 31, 2021
Term Loan B Facility due February 7, 2027, interest at a margin above LIBOR or base rate (2.71% and 2.50% at March 31, 2022 and December 31, 2021, respectively), net of unamortized discount and deferred issuance costs of $23.7 million and $24.9 million at March 31, 2022 and December 31, 2021, respectively	$	1,461,047	$	1,463,731
Term Loan A Facility due February 7, 2025, interest at a margin above LIBOR or base rate (1.96% and 1.61% at March 31, 2022 and December 31, 2021, respectively), net of unamortized discount and deferred issuance costs of $1.5 million and $1.6 million at March 31, 2022 and December 31, 2021, respectively	168,591		170,819
Revolving Credit Facility due February 7, 2025, interest at a margin above LIBOR or base rate	—		—
4.625% Senior Notes due December 1, 2031, net of unamortized deferred issuance costs of $5.9 million and $6.0 million at March 31, 2022 and December 31, 2021, respectively	494,134		494,015
4.50% Senior Notes due February 15, 2028, net of unamortized discount and deferred issuance costs of $6.4 million and $6.6 million at March 31, 2022 and December 31, 2021, respectively	684,404		684,170
Other long-term debt, weighted-average interest of 3.82% at March 31, 2022 and December 31, 2021, net of unamortized discount and deferred issuance costs of $0.3 million at March 31, 2022 and December 31, 2021	40,529		40,789
Total long-term debt	2,848,705		2,853,524
Current portion of long-term debt	(25,931)		(25,921)
Total long-term debt, net	$	2,822,774	$	2,827,603

Schedule of Long-Term Debt, Carrying Values and Estimated Fair Values

The estimated fair value of Station LLC’s long-term debt compared with its carrying amount is presented below (amounts in millions):

	March 31, 2022		December 31, 2021
Aggregate fair value	$	2,750	$	2,887
Aggregate carrying amount	2,849		2,854

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Stockholders' Equity (Tables)

3 Months Ended

Mar. 31, 2022

Equity [Abstract]

Reconciliation of Net Income and Changes to Noncontrolling Interest

Net Income (Loss) Attributable to Red Rock Resorts, Inc. and Transfers from (to) Noncontrolling Interests

The table below presents the effect on Red Rock Resorts, Inc. stockholders’ equity from net income (loss) and transfers from (to) noncontrolling interests (amounts in thousands):

	Three Months Ended March 31,
	2022		2021
Net income (loss) attributable to Red Rock Resorts, Inc.	$	48,346	$	(64,778)
Transfers from (to) noncontrolling interests:
Exchanges of noncontrolling interests	—		598
Rebalancing of ownership percentage between the Company and noncontrolling interests in Station Holdco	3,667		(151)
Net transfers from noncontrolling interests	3,667		447
Change from net income (loss) attributable to Red Rock Resorts, Inc. and net transfers from noncontrolling interests	$	52,013	$	(64,331)

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Share-based Compensation (Tables)

3 Months Ended

Mar. 31, 2022

Share-based Payment Arrangement [Abstract]

Disclosure of Share-based Compensation Arrangements by Share-based Payment Award

The following table presents information about the Company’s share-based compensation awards:

	Restricted Class A  Common Stock			Stock Options
	Shares	Weighted-average grant date fair value		Shares	Weighted-average exercise price
Outstanding at January 1, 2022	392,386	$	28.47	6,562,539	$	25.67
Activity during the period:
Granted	214,413	47.33		1,121,407	47.34
Vested/exercised (a)	(152,052)	28.54		(142,813)	23.75
Forfeited/expired	—	—		(14,073)	23.43
Outstanding at March 31, 2022	454,747	$	37.34	7,527,060	$	28.93

_______________________________________________________________

(a)Stock options exercised included 87,168 options that were not converted into shares due to net share settlements to cover the aggregate exercise price and employee withholding taxes.

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Earnings (Loss) Per Share (Tables)

3 Months Ended

Mar. 31, 2022

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

A reconciliation of the numerator and denominator used in the calculation of basic and diluted earnings (loss) per share is presented below (amounts in thousands):

	Three Months Ended March 31,
	2022		2021
Net income (loss)	$	92,245	$	(106,563)
Less: net (income) loss attributable to noncontrolling interests	(43,899)		41,785
Net income (loss) attributable to Red Rock, basic	48,346		(64,778)
Effect of dilutive securities	34,680		—
Net income (loss) attributable to Red Rock, diluted	$	83,026	$	(64,778)

	Three Months Ended March 31,
	2022	2021
Weighted average shares of Class A common stock outstanding, basic	61,005	70,728
Effect of dilutive securities	46,696	—
Weighted average shares of Class A common stock outstanding, diluted	107,701	70,728

Schedule of Antidilutive Securities Excluded from Computation of Diluted Earnings Per Share

The calculation of diluted earnings (loss) per share of Class A common stock excluded the following potentially dilutive shares that were outstanding at March 31, 2022 and 2021, respectively, because their inclusion would have been antidilutive (amounts in thousands):

	Three Months Ended March 31,
	2022	2021
Shares of Class B common stock and LLC Units exchangeable for Class A common stock	—	45,986
Stock options	1,164	7,408
Unvested restricted shares of Class A common stock	25	437

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Segment Reporting (Tables)

3 Months Ended

Mar. 31, 2022

Segment Reporting [Abstract]

Schedule of Segment Reporting Information, by Segment

The Company utilizes Adjusted EBITDA as its primary performance measure. The Company’s segment information and a reconciliation of net income (loss) to Adjusted EBITDA are presented below (amounts in thousands).

	Three Months Ended March 31,
	2022		2021
Net revenues
Las Vegas operations:
Casino	$	279,771	$	259,938
Food and beverage	65,699		46,872
Room	36,772		21,944
Other (a)	17,275		13,842
Management fees	213		221
Las Vegas operations net revenues	399,730		342,817
Native American management:
Management fees	—		8,087
Reportable segment net revenues	399,730		350,904
Corporate and other	1,906		1,715
Net revenues	$	401,636	$	352,619
Net income (loss)	$	92,245	$	(106,563)
Adjustments
Depreciation and amortization	33,425		54,255
Share-based compensation	3,505		2,741
Write-downs and other, net	10,180		260
Asset impairment	—		169,733
Interest expense, net	26,674		27,267
Loss on extinguishment of debt	—		8,140
Provision for income tax	12,719		217
Other	—		599
Adjusted EBITDA (b)	$	178,748	$	156,649
Adjusted EBITDA
Las Vegas operations	$	194,604	$	160,680
Native American management	(2,196)		7,604
Reportable segment Adjusted EBITDA	192,408		168,284
Corporate and other	(13,660)		(11,635)
Adjusted EBITDA	$	178,748	$	156,649

_______________________________________________________________

(a)Includes tenant lease revenue of $4.4 million and $2.7 million for the three months ended March 31, 2022 and 2021, respectively. Revenue from tenant leases is accounted for under the lease accounting guidance and included in Other revenues in the Company’s Condensed Consolidated Statements of Operations and Comprehensive Income (Loss).

(b)Adjusted EBITDA includes net income (loss) plus depreciation and amortization, share-based compensation, write-downs and other, net, asset impairment, interest expense, net, loss on extinguishment of debt, provision for income tax and other.

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Organization, Basis of Presentation and Significant Accounting Policies (Details) $ in Thousands	Mar. 31, 2022 USD ($) Casino_Property	Dec. 31, 2021 USD ($)
Land held for development | $	$ 237,335	$ 237,335
Disposal Group, No Longer Held-for-sale, Not Discontinued Operations
Land held for development | $		$ 50,600
Major Hotel Casino Properties | Wholly Owned Properties
Number of casino properties	9
Major Hotel Casino Properties | Wholly Owned Properties | Facility Closing
Number of casino properties	3
Smaller Casino Properties
Number of casino properties	10
Smaller Casino Properties | Partially Owned Properties
Number of casino properties	3
Parent ownership percentage (unconsolidated)	50.00%
Station Holdco | Red Rock Resorts | Non-Voting Units
Parent ownership percentage (consolidated)	58.00%
Station Casinos LLC | Red Rock Resorts | Voting Units
Parent ownership percentage (consolidated)	100.00%

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Noncontrolling Interest in Station Holdco (Details) - shares	Mar. 31, 2022	Dec. 31, 2021
Noncontrolling Interest [Line Items]
Units outstanding (in units)	110,458,677	110,411,052
Total ownership percentage (consolidated)	100.00%	100.00%
Class A common stock | Red Rock Resorts
Noncontrolling Interest [Line Items]
Units outstanding (in units)	64,472,873	64,425,248
Parent ownership percentage (consolidated)	58.40%	58.40%
Class B common stock | LLC Unit Holders
Noncontrolling Interest [Line Items]
Units outstanding (in units)	45,985,804	45,985,804
Noncontrolling ownership percentage (consolidated)	41.60%	41.60%

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Native American Development - North Fork (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2022 USD ($) a Table_Games Slot_Machines	Dec. 31, 2021 USD ($)
Development and Management Agreements, Native American [Line Items]
Native American development costs	$ 35,234	$ 34,094
North Fork Rancheria of Mono Indians
Development and Management Agreements, Native American [Line Items]
Number of table games | Table_Games	40
Reimbursable advances for Native American development	$ 50,300
Native American development costs	$ 35,200
Development fee, percent fee	4.00%
Property management fee, percent fee	30.00%
Management agreement, term	7 years
Development agreement, term	7 years
Estimated period to begin construction	6 months
North Fork Rancheria of Mono Indians | Minimum
Development and Management Agreements, Native American [Line Items]
Number of slot machines | Slot_Machines	2,000
Estimated costs for Native American development projects	$ 350,000
Estimated period after construction begins, facility is completed and open for business	15 months
Successful project completion	75.00%
North Fork Rancheria of Mono Indians | Maximum
Development and Management Agreements, Native American [Line Items]
Number of slot machines | Slot_Machines	2,500
Estimated costs for Native American development projects	$ 400,000
Estimated period after construction begins, facility is completed and open for business	18 months
Successful project completion	85.00%
North Fork Rancheria of Mono Indians | Land Held for Development
Development and Management Agreements, Native American [Line Items]
Area of land | a	305

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Other Accrued Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Accrued Liabilities, Current [Abstract]
Rewards Program liability	$ 12,435	$ 12,711
Advance deposits and future wagers	14,560	15,897
Unpaid wagers, outstanding chips and other customer-related liabilities	22,003	21,963
Accrued payroll and related	35,917	30,019
Accrued gaming and related	27,385	25,372
Construction payables and equipment purchase accruals	24,200	15,437
Operating lease liabilities, current portion	3,081	2,976
Other	29,295	21,999
Other accrued liabilities	$ 168,876	$ 146,374

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Long-term Debt - Schedule of Long-term Instruments (Details) - USD ($)	Mar. 31, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Current portion of long-term debt	$ (25,931,000)	$ (25,921,000)
Total long-term debt, net	2,822,774,000	2,827,603,000
Station Casinos LLC
Debt Instrument [Line Items]
Long-term debt	2,848,705,000	2,853,524,000
Current portion of long-term debt	(25,931,000)	(25,921,000)
Total long-term debt, net	2,822,774,000	2,827,603,000
Station Casinos LLC | Line of Credit | Term Loan B Facility, Due February 7, 2027
Debt Instrument [Line Items]
Long-term debt	1,461,047,000	1,463,731,000
Unamortized discount and deferred issuance costs	$ 23,700,000	$ 24,900,000
Effective interest rate (as a percent)	2.71%	2.50%
Station Casinos LLC | Line of Credit | Term Loan A Facility, Due February 7, 2025
Debt Instrument [Line Items]
Long-term debt	$ 168,591,000	$ 170,819,000
Unamortized discount and deferred issuance costs	$ 1,500,000	$ 1,600,000
Effective interest rate (as a percent)	1.96%	1.61%
Station Casinos LLC | Revolving Credit Facility | Revolving Credit Facility Due February 7, 2025
Debt Instrument [Line Items]
Long-term debt	$ 0	$ 0
Station Casinos LLC | Senior Notes | 4.625% Senior Notes, Due December 1, 2031
Debt Instrument [Line Items]
Long-term debt	494,134,000	494,015,000
Unamortized discount and deferred issuance costs	$ 5,900,000	$ 6,000,000
Stated interest rate (as a percent)	4.625%	4.625%
Station Casinos LLC | Senior Notes | 4.50% Senior Notes, Due February 15, 2028
Debt Instrument [Line Items]
Long-term debt	$ 684,404,000	$ 684,170,000
Unamortized discount and deferred issuance costs	$ 6,400,000	$ 6,600,000
Stated interest rate (as a percent)	4.50%	4.50%
Station Casinos LLC | Other Long-term Debt
Debt Instrument [Line Items]
Long-term debt	$ 40,529,000	$ 40,789,000
Unamortized discount and deferred issuance costs	$ 300,000
Weighted average interest rate (as a percent)	3.82%

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Long-term Debt - Narrative (Details) - Station Casinos LLC $ in Thousands	3 Months Ended
	Mar. 31, 2022 USD ($) Rate	Dec. 31, 2021 USD ($)
Debt Instrument [Line Items]
Long-term Debt | $	$ 2,848,705	$ 2,853,524
Fair Value, Inputs, Level 2 [Member]
Debt Instrument [Line Items]
Aggregate fair value of long-term debt | $	2,750,000	2,887,000
Line of Credit | Term Loan B Facility, Due February 7, 2027
Debt Instrument [Line Items]
Long-term Debt | $	$ 1,461,047	1,463,731
Line of Credit | Term Loan B Facility, Due February 7, 2027 | London Interbank Offered Rate (LIBOR)
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate | Rate	2.25%
Line of Credit | Term Loan B Facility, Due February 7, 2027 | Base Rate
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate | Rate	1.25%
Line of Credit and Revolving Credit Facility | Minimum
Debt Instrument [Line Items]
Interest Coverage Ratio	2.50
Line of Credit and Revolving Credit Facility | Maximum | First Period
Debt Instrument [Line Items]
Consolidated Total Leverage Ratio	6.25
Line of Credit and Revolving Credit Facility | Maximum | Last Period
Debt Instrument [Line Items]
Consolidated Total Leverage Ratio	5.25
Line of Credit and Revolving Credit Facility | Revolving Credit Facility and Term Loan A Facility, Due February 7, 2025 | London Interbank Offered Rate (LIBOR) | Minimum
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate | Rate	1.50%
Line of Credit and Revolving Credit Facility | Revolving Credit Facility and Term Loan A Facility, Due February 7, 2025 | London Interbank Offered Rate (LIBOR) | Maximum
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate | Rate	1.75%
Line of Credit and Revolving Credit Facility | Revolving Credit Facility and Term Loan A Facility, Due February 7, 2025 | Base Rate | Minimum
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate | Rate	0.50%
Line of Credit and Revolving Credit Facility | Revolving Credit Facility and Term Loan A Facility, Due February 7, 2025 | Base Rate | Maximum
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate | Rate	0.75%
Revolving Credit Facility | Revolving Credit Facility Due February 7, 2025
Debt Instrument [Line Items]
Debt Instrument, Unused Borrowing Capacity, Amount | $	$ 1,000,000
Outstanding Letters of Credit, Amount | $	29,400
Long-term Debt | $	$ 0	$ 0

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Stockholders' Equity - Changes in ownership of Station Holdco LLC (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Changes in ownership of Station Holdco LLC [Line Items]
Net income (loss) attributable to Red Rock Resorts, Inc.	$ 48,346	$ (64,778)
Exchanges of noncontrolling interests		(2,822)
Red Rock Resorts, Inc. stockholders' equity
Changes in ownership of Station Holdco LLC [Line Items]
Net income (loss) attributable to Red Rock Resorts, Inc.	48,346	(64,778)
Exchanges of noncontrolling interests	0	598
Rebalancing of ownership percentage between the Company and noncontrolling interests in Station Holdco	3,667	(151)
Net transfers from noncontrolling interests	3,667	447
Change from net income (loss) attributable to Red Rock Resorts, Inc. and net transfers from noncontrolling interests	$ 52,013	$ (64,331)

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Stockholders' Equity - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended
	May 03, 2022	Mar. 31, 2022	Mar. 31, 2021
Class of Stock [Line Items]
Stock Repurchased and Retired During Period, Value		$ 10,774	$ 11,712
Class A common stock
Class of Stock [Line Items]
Common Stock, Dividends, Per Share, Declared		$ 0.25
Common Stock, Dividends, Per Share, Cash Paid		$ 0.25	$ 0
Class A common stock | Subsequent Event [Member]
Class of Stock [Line Items]
Common Stock, Dividends, Per Share, Declared	$ 0.25
Distributions declared per LLC Unit (in dollars per unit)	$ 0.25
Equity Repurchase Program
Class of Stock [Line Items]
Stock Repurchase Program, Authorized Amount		$ 300,000
Stock Repurchased and Retired During Period, Shares		184,793	382,602
Stock Repurchased and Retired During Period, Value		$ 8,800	$ 11,200
Stock Repurchased and Retired During Period, Weighted Average Price per Share		$ 47.77	$ 29.39
Stock Repurchase Program, Remaining Authorized Repurchase Amount		$ 145,600

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Share-based Compensation Awards Under Equity Incentive Plan (Details) - Class A common stock	3 Months Ended
	Mar. 31, 2022 $ / shares shares
Restricted stock
Restricted Class A Common Stock
Restricted stock, balance at beginning of the period (in shares)	392,386
Restricted stock, granted in period (in shares)	214,413
Restricted stock, vested in period (in shares)	(152,052)
Restricted stock, forfeited in period (in shares)	0
Restricted stock, balance at end of the period (in shares)	454,747
Weighted-average grant date fair value
Weighted average grant date fair value, restricted stock balance at the beginning of the period (in usd per share) | $ / shares	$ 28.47
Weighted average grant date fair value, restricted stock granted (in usd per share) | $ / shares	47.33
Weighted average grant date fair value, restricted stock vested (in usd per share) | $ / shares	28.54
Weighted average grant date fair value, restricted stock forfeited or expired (in usd per share | $ / shares	0
Weighted average grant date fair value, restricted stock balance at the end of the period (in usd per share) | $ / shares	$ 37.34
Employee stock option
Stock Options
Options, balance at beginning of the period (in shares)	6,562,539
Options, granted in period (in shares)	1,121,407
Options, exercised in period (in shares)	(142,813)	[1]
Options, forfeited or expired in period (in shares)	(14,073)
Options, balance at end of the period (in shares)	7,527,060
Options, exercised in period but not converted into shares	87,168
Weighted-average exercise price
Weighted average exercise price, options balance at beginning of the period (in usd per share) | $ / shares	$ 25.67
Weighted average exercise price, options granted in period (in usd per share) | $ / shares	47.34
Weighted average exercise price, exercised in period (in usd per share) | $ / shares	23.75
Weighted average exercise price, options forfeited or expired in period (in usd per share) | $ / shares	23.43
Weighted average exercise price, options balance at end of the period (in usd per share) | $ / shares	$ 28.93

[1] Stock options exercised included 87,168 options that were not converted into shares due to net share settlements to cover the aggregate exercise price and employee withholding taxes.

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Share-based Compensation Narrative (Details) - USD ($) $ in Thousands, shares in Millions	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation	$ 3,505	$ 2,741
Compensation cost not yet recognized	$ 54,900
Compensation cost not yet recognized, period for recognition	3 years 4 months 24 days
Class A common stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized (in shares)	23.6
Number of shares available for grant (in shares)	11.7

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Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Effective Income Tax Rate Reconciliation
Effective income tax rate	12.10%	(0.20%)
Federal statutory income tax rate	21.00%
Components of Deferred Tax Assets and Liabilities
Deferred tax assets, valuation allowance	$ 4,800		$ 4,800
Unrecognized tax benefits	$ 2,500
Tax Receivable Agreement Liability
Realized tax benefits payable to related parties (as a percent of total realized tax benefits)	85.00%
Tax receivable agreement liability	$ 27,200		27,200
Recognition of tax receivable agreement liability resulting from exchanges of noncontrolling interests	0	$ (641)
Current portion of payable pursuant to tax receivable agreement	$ 6,664		0
London Interbank Offered Rate (LIBOR)
Tax Receivable Agreement Liability
Late payments, basis spread on variable rate at which interest is accrued	5.00%
Amounts resulting from assignment of TRA rights and obligations to the Company
Tax Receivable Agreement Liability
Current portion of payable pursuant to tax receivable agreement	$ 6,700
Entities related to Frank J. Fertitta III and Lorenzo J Fertitta
Tax Receivable Agreement Liability
Tax receivable agreement liability	$ 9,000		$ 9,000

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Earnings (Loss) Per Share - Reconciliation of Numerators and Denominators (Details) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Net Income (Loss) Available to Common Stockholders, Diluted
Net income (loss)	$ 92,245	$ (106,563)
Less: net (income) loss attributable to noncontrolling interests	(43,899)	41,785
Net income (loss) attributable to Red Rock, basic	48,346	(64,778)
Effect of dilutive securities	34,680	0
Net income (loss) attributable to Red Rock, diluted	$ 83,026	$ (64,778)
Weighted Average Number of Shares Outstanding Reconciliation
Weighted average shares of Class A common stock outstanding, basic	61,005	70,728
Effect of dilutive securities	46,696	0
Weighted average shares of Class A common stock outstanding, diluted	107,701	70,728

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Earnings (Loss) Per Share - Antidilutive Shares Excluded from Computation of Diluted (Details) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Class B common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	0	45,986
Employee stock option
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	1,164	7,408
Restricted stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	25	437

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Segment Reporting (Details) $ in Thousands		3 Months Ended
		Mar. 31, 2022 USD ($) Segment	Mar. 31, 2021 USD ($)
Segment Reporting Information [Line Items]
Net revenues		$ 401,636	$ 352,619
Net income (loss)		92,245	(106,563)
Depreciation and amortization		33,425	54,255
Share-based compensation		3,505	2,741
Write-downs and other, net		10,180	260
Asset impairment		0	169,733
Interest expense, net		26,674	27,267
Loss on extinguishment of debt		0	8,140
Provision for income tax		12,719	217
Other		0	599
Adjusted EBITDA	[1]	178,748	156,649
Revenue from tenant leases		4,400	2,700
Casino
Segment Reporting Information [Line Items]
Net revenues		279,771	259,938
Food and beverage
Segment Reporting Information [Line Items]
Net revenues		65,699	46,872
Room
Segment Reporting Information [Line Items]
Net revenues		36,772	21,944
Other
Segment Reporting Information [Line Items]
Net revenues		19,181	15,557
Management fees
Segment Reporting Information [Line Items]
Net revenues		$ 213	8,308
Las Vegas Operations
Segment Reporting Information [Line Items]
Number of reportable segments | Segment		1
Net revenues		$ 399,730	342,817
Adjusted EBITDA	[1]	194,604	160,680
Las Vegas Operations | Casino
Segment Reporting Information [Line Items]
Net revenues		279,771	259,938
Las Vegas Operations | Food and beverage
Segment Reporting Information [Line Items]
Net revenues		65,699	46,872
Las Vegas Operations | Room
Segment Reporting Information [Line Items]
Net revenues		36,772	21,944
Las Vegas Operations | Other
Segment Reporting Information [Line Items]
Net revenues	[2]	17,275	13,842
Las Vegas Operations | Management fees
Segment Reporting Information [Line Items]
Net revenues		$ 213	221
Native American Management
Segment Reporting Information [Line Items]
Number of reportable segments | Segment		1
Adjusted EBITDA	[1]	$ (2,196)	7,604
Native American Management | Management fees
Segment Reporting Information [Line Items]
Net revenues		0	8,087
Reportable Segments
Segment Reporting Information [Line Items]
Net revenues		399,730	350,904
Adjusted EBITDA	[1]	192,408	168,284
Corporate and Other
Segment Reporting Information [Line Items]
Adjusted EBITDA	[1]	(13,660)	(11,635)
Corporate and Other | Other
Segment Reporting Information [Line Items]
Net revenues		$ 1,906	$ 1,715

[1] Adjusted EBITDA includes net income (loss) plus depreciation and amortization, share-based compensation, write-downs and other, net, asset impairment, interest expense, net, loss on extinguishment of debt, provision for income tax and other.

[2] Includes tenant lease revenue of $4.4 million and $2.7 million for the three months ended March 31, 2022 and 2021, respectively. Revenue from tenant leases is accounted for under the lease accounting guidance and included in Other revenues in the Company’s Condensed Consolidated Statements of Operations and Comprehensive Income (Loss).