VICI Properties Reports $984.2 Million Revenue, Net Income Declines in Q1 2025

VICI Properties Inc. reported a total revenue of $984.2 million for the three months ended March 31, 2025, marking an increase of approximately 3.4% from $951.5 million in the same period of the previous year. The growth was primarily driven by a rise in income from sales-type leases, which increased to $528.6 million from $512.8 million, and income from lease financing receivables, loans, and securities, which rose to $426.5 million from $409.3 million. However, net income attributable to common stockholders decreased to $543.6 million, down from $590.0 million in the prior year, resulting in a basic and diluted earnings per share of $0.51, compared to $0.57 in the same quarter of 2024.

The company experienced significant changes in its operating expenses, which totaled $228.7 million, up from $150.4 million a year earlier. This increase was largely attributed to a substantial rise in the allowance for credit losses, which surged to $187.0 million from $106.9 million, reflecting adjustments based on market conditions and tenant performance. General and administrative expenses decreased slightly to $14.9 million from $16.2 million, while transaction and acquisition expenses were reported at $45.3 million, reflecting ongoing strategic investments.

In terms of strategic developments, VICI Properties made notable investments during the quarter, including a $300 million mezzanine loan for the development of One Beverly Hills, a luxury lifestyle hub. Additionally, the company announced a commitment of up to $510 million for a term loan arrangement to support the North Fork Casino project. These investments are part of VICI's strategy to diversify its portfolio and enhance its revenue-generating capabilities.

Operationally, VICI Properties maintained a robust portfolio of 93 experiential assets, including 54 gaming properties and 39 other experiential properties across the U.S. and Canada. The company reported that its properties are 100% leased, with a weighted average lease term of approximately 40.4 years. As of March 31, 2025, VICI had a total debt of $16.8 billion, with a slight increase in interest expense to $209.3 million from $204.9 million in the previous year. The company also reported a cash and cash equivalents balance of $334.3 million, down from $524.6 million at the end of 2024.

Looking ahead, VICI Properties expressed confidence in its ability to navigate macroeconomic challenges, including interest rate volatility and inflation. The company plans to continue leveraging its strong tenant relationships and long-term lease agreements to sustain its revenue streams. VICI's management remains focused on strategic growth opportunities while ensuring compliance with REIT requirements to maintain its tax-advantaged status.