Vici Properties recorded revenues of $662,5m (PS543.6m/EUR649.1m), the first time since the company closed its two billion dollar deals. However, it faced additional expenses as a result of the possibility of tenant default.
Edward Pitoniak said Vici’s CEO was focused on the growth of the company during the Q1 of 2022, the first quarter since Vici purchased the Venetian Resort Las Vegas and MGM Growth Properties Inc. for $4bn each at the end of the previous quarter.
Pitoniak said that the second quarter 2022 was a transformational period for Vici. At the end of April we completed our acquisition of MGM Growth Properties. Vici is now one of America’s most attractive portfolios for Class A Real Estate.
Our improved access to funding allows us to pursue opportunities as we continue to grow.
Even if you include the rents of properties purchased in the last year, the revenue has grown by 76% in comparison to the Q2 2021 figure of $376.4m.
Total revenue from leases of this type was $375.1m, an increase of 28.8% on the previous year. The income from leasing receivables, loans and other financing increased by a significant 273.9%.
The remaining amount of $25.7m was made up by other income and revenue from golf.
Operating expenses reached $602.5m in comparison to negative expenses $7.7m for the second quarter 2021.
Reclassifications of assets relating to acquisitions were the largest cost. A further $117.0m came from the increased probability of short-term default by Vici tenants. These would be the owners of its casino properties.
A total interest cost of 133.1m was incurred by the business. Vici’s pre-tax losses were $57.1m after financial and interest revenue.
The total loss after tax for the quarter was $58.1m compared with a profit of $300.3m a year ago.
Revenue for the first half of 2020 was $1.007bn, an increase of 43.7% compared to H1 2021. The highest source of revenue was from leases, with $581.2m in the six-month period ending 30 June.
Operating costs for the first half of 2018 were $708m. This represents a $691m increase year on year.
The net loss after income taxes and other costs was 182.6m.
Vici named Moira Mccloskey vice president for capital markets and Kellan Florio senior vice-president.
