Summary:
- Vici Properties reported a 6.5% increase in net income for 2024, reaching $2.7 billion.
- Leasing revenue went up 5%, while loan income surged 71%.
- Despite annual growth, Q4 net income dropped 18% due to credit loss provisions, while total revenue rose 4.7% year over year.
Vici Properties, the largest property owner on the Las Vegas Strip, reported increased profits for 2024, driven by higher rental income from tenants and growing returns on loans.
The New York-based company, which owns major resorts like Caesars Palace and MGM Grand, announced a net income of $2.7 billion for the year, a 6.5% increase from 2023.
Revenue from leasing agreements reached $3.6 billion, a 5% increase from the previous year. Meanwhile, income from loans surged nearly 71% to $134 million.
These gains underscore the ongoing dominance of the S&P 500 experiential real estate investment trust that is currently the owner of one of the biggest portfolios of “market-leading gaming, hospitality, and entertainment destinations” in the casino property sector.
However, the company’s fourth-quarter earnings showed a decline. For the three months ending December 31, Vici reported $624 million in net income, marking a drop of nearly 18% year-over-year.
Despite this, total revenue for the quarter stood at $976 million, representing a 4.7% increase from the same period in 2023. The dip in quarterly earnings was attributed to adjustments in its credit loss provisions.
Impressive Portfolio Expansion
Vici’s extensive portfolio includes numerous casino resorts across the U.S. and Canada. Initially launched in 2017 as a spin-off from Caesars Entertainment, the company has expanded significantly through high-profile acquisitions.
It owns the land beneath several premier Las Vegas Strip properties, leasing them to gaming giants such as MGM Resorts International and Caesars Entertainment.
The company also played a role in financing Fontainebleau Las Vegas, which opened its doors in late 2023.
As a component of the $2.2 billion construction loan package, Vici contributed up to $350 million, reinforcing its influence in the city’s gaming and hospitality sector.
As it continues to solidify its position as a leading real estate player in the casino industry, the NYSE-listed company is set to discuss its financial performance further during its scheduled earnings call with analysts on Friday.
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