NASDAQ$ALGT

Allegiant Travel Company · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Allegiant's financial performance declined compared to the previous year, with revenue decreasing slightly and net income significantly impacted by special charges and other factors.

Allegiant Travel Company reported a decrease in total operating revenue and a significant decrease in net income for Q2 2024 compared to Q2 2023. The company faced challenges including increased operating expenses and special charges, though ancillary revenue and operational performance remained strong.

  • GAAP diluted earnings per share were $0.75.
  • Diluted earnings per share, excluding special charges, were $1.77.
  • Total operating revenue decreased by 2.6 percent year-over-year to $666.3 million.
  • Airline-only operating margin, excluding special charges, was 10.3 percent.

Headline financials

Total Revenue

$666M

Previous: $684M-2.6%
EPS

$0.75

Previous: $4.35-82.8%
Passengers

4.6M

No prior period
Available Seat Miles

5.0B

No prior period
Airline Operating Expense per ASM

$0.12

No prior period
Airline Operating CASM ex-Fuel/Special Charges

$0.08

No prior period
Adjusted Airline-Only Operating Margin

10.3%

No prior period
Average Fuel Cost per Gallon

$2.83

No prior period
Load Factor

84.7%

No prior period
Capital Expenditures

-$194M

Previous: -$283M+31.5%
Free Cash Flow

-$180M

Previous: -$194M+7.4%
Net Income

$13.7M

Previous: $88.5M-84.5%
Operating Income

$34.9M

Previous: $133M-73.8%
Gross Profit

$666M

Previous: $684M-2.6%
Cash & Equivalents

$216M

Previous: $152M+41.8%
Total Assets

$4.9B

Previous: $4.83B+1.5%

Revenue & EPS history

Allegiant · Revenue · Quarterly

$666M

Q2 2024-2.6%vs Q2 2023
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

Allegiant · $565M total across 3 segments · Q3 2023

  • Passenger Revenue
    $516M-0.0%
  • Third Party Products
    $30.9M+14.0%
  • Fixed Fee Contracts
    $17.7M+11.7%

Forward guidance

Allegiant provided guidance for Q3 2024, including expectations for system ASMs, fuel cost per gallon, and operating margin. They also mentioned the expected impact of a vendor outage on their operating margin and earnings per share.

Tailwinds

  • Expect to receive first Boeing aircraft in September 2024.
  • Expect near-term increases in utilization with roughly the same number of aircraft.
  • Expect a full-year benefit from recently installed Navitaire reservation system in 2025.
  • Strategic review of Sunseeker Resort Las Vegas is underway.
  • Expect to receive up to $10 million of business interruption insurance for the full year 2024 due to delays in opening the resort.

Headwinds

  • Third quarter 2024 operating margin is expected to be between (4.5%) and (6.5%).
  • Airline-only earnings (loss) per share, excluding special charges, are expected to be between ($1.50) and ($2.50).
  • Vendor technology outage is expected to have a financial impact of approximately $15 million.
  • Sunseeker is expected to have a full-year EBITDA loss of $25 million.
  • Company suspended its quarterly dividend indefinitely on July 8, 2024.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

-0.5%

Avg return

Earnings day

-0.7%

Avg return

5 days after

+2.2%

Avg return

30 days after

45%

29 / 65 earnings

Positive

+18.9%

Q4 2022

Best reaction

-15.4%

Q2 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+5.6%+5.9%+21.0%
Q4 2025-0.4%+14.5%-20.4%
Q3 2025-2.1%-7.0%+21.7%
Q1 2025+3.7%+20.1%+17.9%
Q4 2024-15.3%-10.9%-38.7%
Q3 2024+7.1%+8.7%+34.8%
Q2 2024-9.2%-23.4%-23.4%
Q1 2024-5.7%-5.0%-5.5%
Q4 2023-0.8%-0.6%-5.5%
Q3 2023-1.7%-6.8%+8.2%
Q2 2023-5.3%-9.1%-26.8%
Q1 2023+5.3%+7.2%+7.3%
Q4 2022+18.9%+12.4%+21.3%
Q3 2022-0.7%+3.4%+8.6%
Q2 2022+1.6%-1.5%-15.4%
Q1 2022-0.4%-9.0%-6.0%
Q4 2021-3.1%-4.3%-13.2%
Q3 2021-3.2%-1.2%-3.4%
Q2 2021+2.0%-1.9%-0.6%
Q1 2021-0.7%-4.6%-8.3%
Q4 2020+16.9%+13.1%+30.0%
Q3 2020+4.0%-0.7%+34.3%
Q2 2020-3.1%-3.2%+15.6%
Q1 2020+5.2%+2.3%+44.9%
Q4 2019-0.6%-2.9%-20.6%
Q3 2019+8.8%+9.8%+10.8%
Q2 2019+2.9%+3.0%-4.7%
Q1 2019+5.9%+9.1%+7.4%
Q4 2018+4.0%+11.2%+5.0%
Q3 2018-8.4%-4.9%+1.7%
Q2 2018-15.4%-10.8%-3.0%
Q1 2018+9.5%+11.6%+8.5%
Q4 2017+4.6%-0.6%+3.1%
Q3 2017+0.2%-1.9%-2.2%
Q2 2017-8.7%-10.5%-17.5%
Q1 2017-9.3%-11.9%-11.2%
Q4 2016-0.3%-6.2%-1.4%
Q3 2016-13.0%-10.4%+9.6%
Q2 2016-4.9%-9.0%+1.1%
Q1 2016-2.6%
Q4 2015-5.8%
Q3 2015-7.6%
Q2 2015+2.2%
Q1 2015-1.1%
Q4 2014-0.9%
Q3 2014+0.7%
Q2 2014-5.3%
Q1 2014+0.7%
Q4 2013-11.2%
Q3 2013-1.5%
Q2 2013-13.1%
Q1 2013-2.4%
Q3 2012+1.3%
Q2 2012-3.0%
Q1 2011+2.0%
Q1 2012-1.2%
Q4 2009+3.1%
Q4 2011+3.1%
Q4 2012+2.4%
Q3 2010-3.4%
Q3 2011-3.4%
Q4 2010+4.8%
Q2 2010+4.8%
Q2 2011+4.8%
Q1 2010+3.1%

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