VICI Properties Reports 6.7% Revenue Growth, 31.9% Net Income Increase in Q3 2024

VICI Properties Inc. reported significant financial performance improvements in its latest 10-Q filing for the quarter ending September 30, 2024. Total revenues for the three months reached $964.7 million, a 6.7% increase from $904.3 million in the same period of 2023. For the nine months, revenues rose to $2.87 billion, up from $2.68 billion year-over-year, reflecting a 7.2% increase. The growth in revenue was primarily driven by acquisitions and annual rent escalators from various lease agreements.

Net income for the third quarter was $744.5 million, compared to $565.5 million in the prior year, marking a 31.9% increase. Net income attributable to common stockholders also rose to $732.9 million from $556.3 million, resulting in earnings per share of $0.70, up from $0.55 in the same quarter of 2023. For the nine-month period, net income attributable to common stockholders increased to $2.06 billion from $1.77 billion, with earnings per share rising to $1.98 from $1.75.

Operating expenses saw a notable decrease, totaling $13.1 million for the third quarter, down from $139.5 million in the same period last year. This reduction was attributed to a significant decrease in the allowance for credit losses, which fell by $127.6 million due to positive macroeconomic changes and improved tenant performance.

VICI Properties continued its strategic focus on growth through acquisitions, including a commitment of up to $700 million for capital investment in the Venetian Resort, with $400 million already funded. This investment is expected to increase annual rent by 7.25% following each capital funding, with the first increase already implemented.

As of September 30, 2024, VICI's total assets amounted to $44.9 billion, up from $44.1 billion at the end of 2023. The company reported total stockholders' equity of $26.5 billion, an increase from $25.7 billion. Cash and cash equivalents decreased to $355.7 million from $522.6 million at the end of 2023.

VICI Properties maintained a robust portfolio, owning 93 experiential assets, including 54 gaming properties and 39 other properties across the U.S. and Canada. The company reported that all properties are 100% leased, with a weighted average lease term of approximately 41 years. The revenue from lease agreements with MGM and Caesars represented significant portions of total lease revenues, indicating strong tenant relationships.

Overall, VICI Properties Inc. demonstrated solid financial growth and strategic investment initiatives, positioning itself favorably in the gaming and hospitality sectors.