Full House Resorts has announced its first quarter results for 2023, indicating a strong growth in revenue but a loss overall due to the high costs of a new construction project.
Revenue stands at $50.1m, a 21% rise year-on-year. Adjusted EBITDA rose by 21% to $10.1m in Q1 2023 due to the opening of The Temporary on 17 February 2023.
Net loss overall was $11.4m, of which $10.5m in development costs was associated with the opening of The Temporary.
Compared to Red Rock Resorts' 8% revenue increase and 9% increase in adjusted EBITDA (due to a rise in spending) the two are comparatively similar. Both resorts operators have experienced an increase in revenue and an increase in adjusted EBITDA leading to an overall loss; however, both have seen an increase in spending in Q1 2023 which may explain the loss.
Alongside its increase in EBITDA, Red Rock still has plans to continue expansion with its sportsbook expected to commence operations by August 2023 and the full opening of Chamonix Casino Hotel anticipated for 26 December 2023.
Daniel R. Lee, President and CEO of Full House Resorts, said: “At our Chamonix project in Cripple Creek, Colorado, we have ‘topped out’ the elevator towers and are working on the guest room and meeting areas. We believe Chamonix will be the first high-quality casino hotel in Cripple Creek when it opens in the second quarter of 2023.
"We expect it to meaningfully grow the market’s gaming revenue and generate a strong return on investment for our company, similar to what has occurred in Black Hawk when higher-quality casinos have been added to that market.”
