Allegiant Travel Company (ALGT) Q4 2024 earnings summary

Executive summary

• Adjusted airline-only operating margin rose to 13.2% in Q4 2024, up 6.6 points year-over-year, driven by higher aircraft utilization and operational efficiency.

• Q4 2024 adjusted airline-only EPS was $3.00, with adjusted consolidated EPS at $2.10; GAAP diluted loss per share was $(12.00) due to a $322M Sunseeker Resort impairment.

• Airline segment reported $2.44B in revenue for 2024, down 2.6% year-over-year, while total operating revenue for Q4 2024 rose 2.7% to $627.7M.

• Strategic focus on core airline business, with plans to transition Sunseeker resort off the balance sheet and ongoing process to sell a majority stake by summer.

• Record ancillary revenue per passenger in Q4 at $78.43, up 7.4% year-over-year, driven by product enhancements and premium offerings.

Financial highlights

• Q4 adjusted airline-only net income was $55.6M, with adjusted airline-only EPS of $3.00; adjusted consolidated net income was $38.9M ($2.10 EPS).

• Full-year 2024 adjusted airline-only EPS was $5.84, adjusted consolidated EPS $2.48; GAAP diluted loss per share $(13.49).

• Q4 adjusted airline-only EBITDA was $139.2M (22.8% margin); Q4 adjusted consolidated EBITDA was $129.2M (20.6% margin).

• Q4 fuel cost averaged $2.50 per gallon; airline-only operating CASM in Q4 was 8.29¢, down 2.5% year-over-year.

• Ended 2024 with $1.1B in liquidity and net leverage improved to 3.2x.

Outlook and guidance

• 2025 airline-only EPS guidance midpoint is $9.00, over 50% improvement year-over-year; full-year guidance range is $7.75–$10.25.

• Full-year 2025 capacity expected to grow 17% versus 2024, with 9 MAX aircraft deliveries planned.

• Q1 2025 airline-only operating margin expected at 9.5%, with non-fuel unit cost down 7% year-over-year.

• Sunseeker Resort Q1 2025 EBITDA expected at ~$2M, a $7M improvement year-over-year; further guidance to be provided quarterly.

• Record-tying 44 new routes announced for Spring and Summer 2025.