Red Rock Resorts used the Covid-19 pandemic shutdown to get lean and mean, reporting impressive Q3 numbers for 2020. The casino operator saw a net income of $72 million, up from a loss in the same time last year.

Overall, net revenues were $353.2 million for Q3, understandably down from the $465.9 million for 2019. But thanks to cutting costs, it made the $72 million improvement in income, improving from a $26.8 million net loss in 2019. As a result, adjusted EBITDA (Earnings before interest, taxes, depreciation, and amortization) was $160.9 million, an increase of 44.8%, or $49.8 million.

The costs cut to survive the pandemic look to be a strength for the operator going forward. “We believe there’s a permanent reduction in the cost of operating business,” said Frank Fertitta III, chairman and CEO. “The shutdown gave us the ability to question everything we were doing and to be very cautious reopening.”

CFO Stephen Cootey explained that the company cut $150 million in costs, and renegotiated agreements with third parties to save every penny they could. “These initiatives have resulted in a leaner, more efficient company and will enable us to achieve and sustain higher margins,” Cootey said.