Strat operator Golden Entertainment’s revenue drops 37% in 2024

Las Vegas-based Golden Entertainment reported a 37% decline in revenue for 2024, with full-year revenue falling to $667 million, down from $1.05 billion in 2023. The company attributed the drop to the completed sale of its distributed gaming operations and other non-core asset divestitures.

In the fourth quarter of 2024, revenue fell 29% year-over-year to $164.2 million, though executives expressed optimism for a rebound in 2025.

The Strat, Golden’s flagship Las Vegas property, maintained a 95% weekend occupancy rate in Q4, flat compared to 2023. However, midweek occupancy declined 6% year-over-year, bringing overall occupancy to 75% across Golden’s Nevada casino resorts, which also include properties in Laughlin and Pahrump.

Despite the challenges, slot play at The Strat has improved, with 55% of play now carded, a significant jump from previous years. Direct bookings have also increased, and the property continues to benefit from convention overflow traffic from the Las Vegas Convention Center.

Golden executives reaffirmed their commitment to strategic mergers and acquisitions (M&A), emphasizing deals that “move the needle.” While the company is not interested in single-property acquisitions outside Nevada, it remains open to multi-property deals that align with its growth strategy.

“We continue to be proactive in pursuing opportunities,” said CEO Blake Sartini. “We won’t go into small operations that are capital deferred to the point it doesn’t make sense.”

Golden also sees potential in its five-to-six-acre parcel on Las Vegas Boulevard across from The Strat, which CFO Charles Protell described as a “great opportunity” for future development.

Golden’s local gaming properties showed mixed results in 2024:

• Arizona Charlie’s generated $151 million in revenue, down from $157.4 million in 2023.

• Gaming taverns (PT’s, Sierra Gold, and Lucky’s) saw modest growth, reaching $109.7 million in revenue, up slightly from $109.2 million.

• Local casino margins improved to 46%, and Q4 revenue and EBITDA increased sequentially from Q3.

Golden executives acknowledged the impact of the Formula 1 race in November, which led to lower-than-expected citywide occupancy and affected rates at The Strat. However, they pointed to positive economic indicators, including Las Vegas’ population growth, rising employment, and increased discretionary income.

“We remain confident in our business prospects for 2025,” said Protell. “Nevada continues to be one of the fastest-growing states in terms of economic opportunity, and we expect our properties to benefit from that strength.”

Meanwhile, recent tavern acquisitions have underperformed but are expected to stabilize by year-end. Revenue from these properties was up 6% from Q3 to Q4.

Golden Entertainment plans to focus on operational efficiencies, invest in existing assets, and return capital to shareholders in 2025. “We’re seeing greenshoots and making progress at The Strat despite midweek challenges,” said Sartini.