Allegiant reports its fourth quarter will be its third consecutive quarter of profitability since the onset of the pandemic

Allegiant Travel Company (Allegiant Air) today reported preliminary passenger traffic results for December 2021, fourth quarter 2021, and full year 2021.

“Fourth quarter scheduled capacity was up 14.5 percent as compared with 2019, in line with our initial expectations,” stated Drew Wells, senior vice president of revenue. “Despite a challenging operating environment during the Christmas holiday peak-period, we ended the quarter with a load factor of 78.8 percent, the highest since the onset of the pandemic. Although Omicron led to an uptick in customer cancellations, daily booking trends throughout the quarter consistently outperformed levels observed in 2019. This strength in bookings resulted in total operating revenue of roughly $496 million for the quarter, an increase of more than 7.5 percent when compared with 2019.”

“We are pleased to report that the fourth quarter will be our third consecutive quarter of profitability since the onset of the pandemic,” stated Gregory Anderson, executive vice president and chief financial officer. “Despite operational challenges around holiday peak travel, we expect an adjusted1 EBITDA margin for the fourth quarter of roughly 19 percent. This margin includes nearly $23 million of irregular operations costs incurred during the quarter, the majority of which were incurred in December. Operational challenges were predominantly a result of crew shortages related to Omicron. Although these challenges continued into early January, we are beginning to see relief and expect significant improvement in the operation as the Omicron variant begins to dissipate.”

Scheduled Service – Year Over Two-Year Comparison
December 2021 December 2019 Change
Passengers 1,320,403 1,308,341 0.9%
Revenue passenger miles (000) 1,226,131 1,165,902 5.2%
Available seat miles (000) 1,556,101 1,411,107 10.3%
Load factor 78.8% 82.6% (3.8 pts)
Departures 9,801 9,423 4.0%
Average stage length (miles) 902 871 3.6%
4th Quarter 2021 4th Quarter 2019 Change
Passengers 3,671,032 3,516,263 4.4%
Revenue passenger miles (000) 3,306,563 3,073,055 7.6%
Available seat miles (000) 4,288,133 3,745,031 14.5%
Load factor 77.1% 82.1% (5.0pts)
Departures 27,818 25,541 8.9%
Average stage length (miles) 876 856 2.3%
YTD 2021 YTD 2019 Change
Passengers 13,509,544 14,823,267 (8.9%)
Revenue passenger miles (000) 11,963,715 13,038,003 (8.2%)
Available seat miles (000) 17,027,902 15,545,818 9.5%
Load factor 70.3% 83.9% (13.6pts)
Departures 113,121 105,690 7.0%
Average stage length (miles) 862 859 0.3%

Total System* – Year Over Two-Year Comparison
December 2021 December 2019 Change
Passengers 1,327,884 1,318,872 0.7%
Available seat miles (000) 1,586,060 1,453,592 9.1%
Departures 10,065 9,742 3.3%
Average stage length (miles) 896 868 3.2%
4th Quarter 2021 4th Quarter 2019 Change
Passengers 3,731,034 3,585,966 4.0%
Available seat miles (000) 4,440,839 3,928,536 13.0%
Departures 29,193 27,088 7.8%
Average stage length (miles) 865 846 2.2%
YTD 2021 YTD 2019 Change
Passengers 13,637,405 15,012,149 (9.2%)
Available seat miles (000) 17,490,571 16,174,240 8.1%
Departures 117,047 110,542 5.9%
Average stage length (miles) 856 855 0.1%

 

Scheduled Service – Year Over Year Comparison
December 2021 December 2020 Change
Passengers 1,320,403 673,041 96.2%
Revenue passenger miles (000) 1,226,131 611,429 100.5%
Available seat miles (000) 1,556,101 1,128,200 37.9%
Load factor 78.8% 54.2% 24.6pts
Departures 9,801 7,281 34.6%
Average stage length (miles) 902 891 1.2%
4th Quarter 2021 4th Quarter 2020 Change
Passengers 3,671,032 2,129,292 72.4%
Revenue passenger miles (000) 3,306,563 1,878,831 76.0%
Available seat miles (000) 4,288,133 3,226,050 32.9%
Load factor 77.1% 58.2% 18.9pts
Departures 27,818 21,399 30.0%
Average stage length (miles) 876 868 0.9%
YTD 2021 YTD 2020 Change
Passengers 13,509,544 8,553,623 57.9%
Revenue passenger miles (000) 11,963,715 7,626,470 56.9%
Available seat miles (000) 17,027,902 12,814,080 32.9%
Load factor 70.3% 59.5% 10.8pts
Departures 113,121 85,276 32.7%
Average stage length (miles) 862 867 (0.6%)

 

Total System* – Year Over Year Comparison
December 2021 December 2020 Change
Passengers 1,327,884 679,424 95.4%
Available seat miles (000) 1,586,060 1,147,534 38.2%
Departures 10,065 7,471 34.7%
Average stage length (miles) 896 883 1.5%
4th Quarter 2021 4th Quarter 2020 Change
Passengers 3,731,034 2,159,035 72.8%
Available seat miles (000) 4,440,839 3,315,599 33.9%
Departures 29,193 22,189 31.6%
Average stage length (miles) 865 860 0.6%
YTD 2021 YTD 2020 Change
Passengers 13,637,405 8,623,984 58.1%
Available seat miles (000) 17,490,571 13,125,533 33.3%
Departures 117,047 87,955 33.1%
Average stage length (miles) 856 862 (0.7%)

 

*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
December 2021 estimated average fuel cost per gallon – system $2.37
$ per gallon
4th quarter 2021 estimated average fuel cost per gallon – system $2.48
$ per gallon
Full year 2021 estimated average fuel cost per gallon – system $2.15