Allegiant Travel(US:ALGT) Prnewswire·2026-02-04 21:01Core Insights - Allegiant Travel Company reported a fourth quarter 2025 GAAP diluted earnings per share of $1.73 and an adjusted airline-only diluted earnings per share of $2.72, while the full-year 2025 GAAP diluted loss per share was $(2.48) [1][2] Financial Performance - Total operating revenue for the fourth quarter of 2025 was $656.2 million, a 4.5% increase from $627.7 million in the fourth quarter of 2024 [5][7] - Total operating expenses decreased by 33.9% to $589.3 million from $891.7 million year-over-year [5][7] - The company achieved an operating income of $66.8 million compared to a loss of $264.0 million in the previous year [5][7] - For the full year 2025, total operating revenue was $2.606 billion, up 3.7% from $2.513 billion in 2024 [7][27] - The full-year adjusted diluted earnings per share was $3.80, a 53.2% increase from $2.48 in 2024 [7][27] Operational Highlights - Allegiant achieved a 12.9% adjusted airline-only operating margin in Q4 2025, exceeding initial guidance [2][4] - The company reported a controllable completion factor of 99.9% in 2025, leading the industry [3] - Demand accelerated sharply in December 2025, resulting in a nearly six-point sequential improvement in year-over-year unit revenue compared to Q3 2025 [2] Future Outlook - For Q1 2026, the company expects a 13.5% adjusted operating margin, representing a four-point improvement over the prior year [4] - Allegiant anticipates full-year adjusted earnings per share of more than $8, a 60% increase year-over-year [4] - The company announced plans to acquire Sun Country Airlines, which is expected to enhance its position as a leading leisure carrier in the U.S. [5] Balance Sheet and Liquidity - As of December 31, 2025, total available liquidity was $1.1 billion, including $838.5 million in cash and investments [11] - Total debt at the end of 2025 was $1.8 billion, with net debt of $961.1 million [11] Capital Expenditures - Fourth quarter capital expenditures totaled $56.7 million, including $35.9 million for aircraft-related capital expenditures [11] - The company plans to invest between $570 million and $590 million in aircraft-related capital expenditures for the full year 2026 [13] Customer Engagement - Allegiant ended the quarter with 21 million active Allways Rewards members and expanded its network by announcing 30 new nonstop routes [11] - The company ranked number 2 among major U.S. carriers in the Wall Street Journal's "The Best and Worst Airlines of 2025" [11]