Allegiant Reports September 2021 Traffic

Rhea-AI Summary

Allegiant Travel Company (NASDAQ: ALGT) reported preliminary passenger traffic results for September 2021, showing a capacity increase of over 14% compared to 2019. The company expects a 5.3% revenue increase compared to 2019, surpassing previous guidance. However, adjusted EBITDA margin guidance was reduced to 15.5-16.5% due to unexpected irregular operations costs. In September, total passengers reached 803,349, a 4.2% increase from 2019. Load factor decreased to 70.5% compared to 82.4% in September 2019.

Positive

• Passenger traffic increased by 4.2% in September 2021 compared to 2019.
• Total revenue expected to rise by 5.3% compared to 2019, exceeding prior guidance.

Negative

• Adjusted EBITDA margin guidance decreased to 15.5-16.5% due to irregular operations costs.
• Load factor fell to 70.5%, down from 82.4% in September 2019.

LAS VEGAS, Oct. 14, 2021 /PRNewswire/ -- Allegiant Travel Company (NASDAQ: ALGT) today reported preliminary passenger traffic results for September 2021 as well as third quarter 2021.

"We finished the quarter with capacity up just over 14 percent as compared with 2019," stated Gregory Anderson, executive vice president and chief financial officer. "We expect total revenue to be up roughly 5.3 percent when compared with 2019, just above our updated guidance of up three to five percent. Revenue strength was driven primarily by better than expected bookings during the back half of September. Despite a more favorable revenue environment, we are updating our adjusted EBITDA margin guidance to 15.5 to 16.5 percent. The updated range is primarily attributable to higher than anticipated irregular operations costs. Excluding heightened levels of irregular operations costs, adjusted EBITDA margin would have been roughly 24 percent." 

Scheduled Service – Year Over Two-Year Comparison
	September 2021	September 2019	Change
Passengers	803,349	770,768	4.2%
Revenue passenger miles (000)	689,600	639,534	7.8%
Available seat miles (000)	977,759	775,906	26.0%
Load factor	70.5%	82.4%	(11.9 pts)
Departures	6,714	5,638	19.1%
Average stage length (miles)	834	808	3.2%
	3rd Quarter 2021	3rd Quarter 2019	Change
Passengers	3,834,956	3,753,611	2.2%
Revenue passenger miles (000)	3,302,519	3,170,826	4.2%
Available seat miles (000)	4,312,893	3,687,473	17.0%
Load factor	76.6%	86.0%	(9.4pts)
Departures	29,593	26,238	12.8%
Average stage length (miles)	834	824	1.2%
Total System* - Year Over Two-Year Comparison
	September 2021	September 2019	Change
Passengers	829,029	799,592	3.7%
Available seat miles (000)	1,050,489	855,962	22.7%
Departures	7,304	6,248	16.9%
Average stage length (miles)	823	802	2.6%
	3rd Quarter 2021	3rd Quarter 2019	Change
Passengers	3,872,651	3,806,369	1.7%
Available seat miles (000)	4,441,201	3,888,400	14.2%
Departures	30,663	27,707	10.7%
Average stage length (miles)	829	823	0.7%
Scheduled Service – Year Over Year Comparison
	September 2021	September 2020	Change
Passengers	803,349	475,814	68.8%
Revenue passenger miles (000)	689,600	405,590	70.0%
Available seat miles (000)	977,759	706,148	38.5%
Load factor	70.5%	57.4%	13.1pts
Departures	6,714	4,885	37.4%
Average stage length (miles)	834	839	(0.6%)
	3rd Quarter 2021	3rd Quarter 2020	Change
Passengers	3,834,956	2,003,648	91.4%
Revenue passenger miles (000)	3,302,519	1,714,622	92.6%
Available seat miles (000)	4,312,893	3,449,339	25.0%
Load factor	76.6%	49.7%	26.9pts
Departures	29,593	23,710	24.8%
Average stage length (miles)	834	839	(0.6%)
Total System* - Year Over Year Comparison
	September 2021	September 2020	Change
Passengers	829,029	483,278	71.5%
Available seat miles (000)	1,050,489	734,898	42.9%
Departures	7,304	5,137	42.2%
Average stage length (miles)	823	830	(0.8%)
	3rd Quarter 2021	3rd Quarter 2020	Change
Passengers	3,872,651	2,016,241	92.1%
Available seat miles (000)	4,441,201	3,521,508	26.1%
Departures	30,663	24,365	25.8%
Average stage length (miles)	829	834	(0.6%)

*Total system includes scheduled service and fixed fee contract.  System revenue passenger miles and system load factor are not useful statistics as system available seat miles include both ASMs flown by fixed fee flying as well as non-revenue producing repositioning flights used for operational needs.  Fixed fee flying is better measured through dollar contribution versus operational statistics.

Preliminary Financial Results
	$ per gallon
September 2021 estimated average fuel cost per gallon – system	$2.24
	$ per gallon
3rd quarter 2021 estimated average fuel cost per gallon – system	$2.20

Allegiant Travel Company
Las Vegas-based Allegiant (NASDAQ: ALGT) is an integrated travel company with an airline at its heart, focused on connecting customers with the people, places and experiences that matter most. Since 1999, Allegiant Air has linked travelers in small-to-medium cities to world-class vacation destinations with all-nonstop flights and industry-low average fares. Today, Allegiant's all-Airbus fleet serves communities across the nation, with base airfares less than half the cost of the average domestic roundtrip ticket. For more information, visit us at Allegiant.com. Media information, including photos, is available at http://gofly.us/iiFa303wrtF

ALGT/G

Note: This news release was accurate at the date of issuance. However, information contained in the release may have changed. If you plan to use the information contained herein for any purpose, verification of its continued accuracy is your responsibility.

For further information please visit the company's investor website: http://ir.allegiantair.com

Reference to the Company's website above does not constitute incorporation of any of the information thereon into this news release.

Allegiant Media Contact:		Investor Inquiries:
Hilarie Grey		Sherry Wilson
email: mediarelations@allegiantair.com		email: ir@allegiantair.com

 

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SOURCE Allegiant Travel Company

FAQ

What were Allegiant Travel Company's passenger traffic results for September 2021?

Allegiant Travel Company reported 803,349 passengers in September 2021, a 4.2% increase from 2019.

How does Allegiant's revenue expectation for Q3 2021 compare to 2019?

Allegiant expects total revenue to increase by 5.3% in Q3 2021 compared to 2019.

What is the adjusted EBITDA margin guidance for Allegiant Travel Company?

The adjusted EBITDA margin guidance has been updated to 15.5-16.5%, down from earlier expectations due to higher irregular operations costs.

What was the load factor for Allegiant in September 2021?

Allegiant's load factor in September 2021 was 70.5%, a decrease from 82.4% in September 2019.