Allegiant Travel (ALGT) Company Report

Allegiant Travel Company reported a Q4 2025 adjusted operating margin of 12.9% and record total airline revenue of $656 million, marking a 7.6% increase year-over-year.
For the full year 2025, total airline revenue surpassed $2.5 billion, growing 4.3% from 2024, with unit costs falling more than 6% and net leverage reduced to 2.3 turns.
The company projects full-year 2026 adjusted EPS of more than $8 per share, an approximate 60% increase year-over-year, and anticipates a 13.5% adjusted operating margin for Q1 2026.
Strategic initiatives include the planned acquisition of Sun Country, expected to close in the second half of 2026, and the successful integration of MAX aircraft, which demonstrate 20% better economics on peak days compared to A320s.
Full-year 2026 capacity is expected to be down 0.5% year-over-year, with capital expenditures estimated at approximately $750 million.

2 days ago

Transcript

Allegiant Travel Reports Strong Q4 2025 Results and Positive 2026 Outlook

ALGT

Earnings

Guidance Update

M&A

Allegiant Travel reported a strong finish to 2025, with a Q4 2025 adjusted airline-only operating margin of 12.9% and full-year 2025 airline revenue exceeding $2.5 billion, marking a record for the company.
The company provided a positive outlook for 2026, projecting a first-quarter operating margin of 12.0% to 15.0% and full-year earnings per share greater than $8.00, excluding special charges.
Allegiant significantly improved its balance sheet, reducing net leverage to 2.3x by the end of 2025 and maintaining $1.1 billion in available liquidity. The company plans no fleet growth in 2026, focusing on integrating the 737 MAX fleet which offers a ~20% fuel burn advantage.

2 days ago

Presentation

Allegiant Reports Strong Q4 2025 Results and Positive 2026 Outlook

ALGT

Earnings

Guidance Update

M&A

Allegiant Travel Company reported strong Q4 2025 financial results, with total airline revenue of $656 million, up 7.6% year-over-year, and an adjusted operating margin of 12.9%. Airline-only earnings per share reached $2.72, exceeding the guided midpoint of $2.
For the full year 2025, total airline revenue exceeded $2.5 billion, a 4.3% increase from 2024, and unit costs fell more than 6%, contributing to a strengthened financial position with net leverage reduced to 2.3x.
The company provided a positive outlook for 2026, guiding to adjusted EPS of more than $8 per share, an approximate 60% increase year-over-year, and expects a 13.5% adjusted operating margin in Q1 2026.
Strategic initiatives include the successful integration of MAX aircraft, delivering approximately a 20% fuel burn advantage, and the planned acquisition of Sun Country, expected to close in the second half of 2026.

2 days ago

Transcript

Allegiant Travel Company Reports Strong Q4 and Full-Year 2025 Results, Provides 2026 Guidance, and Updates on Sun Country Acquisition

ALGT

Earnings

Guidance Update

M&A

Allegiant Travel Company reported a 12.9% adjusted operating margin for Q4 2025 and $2.72 airline-only EPS, with full-year 2025 airline-only EPS reaching $5.07. Total airline revenue for Q4 2025 was $656 million, up 7.6% year-over-year, and exceeded $2.5 billion for the full year.
For Q1 2026, the company expects an adjusted operating margin of 13.5% and EPS of approximately $3. Full-year 2026 adjusted EPS is guided to be more than $8 per share, representing an approximate 60% increase year-over-year.
Key achievements in 2025 included a more than 6% reduction in unit costs, successful integration of MAX aircraft providing a 20% fuel burn advantage, and a strengthened balance sheet with net leverage reduced to 2.3 turns.
The company plans for a flat year-over-year fleet count in 2026, taking delivery of 11 737 MAX aircraft and retiring 9 A320 family aircraft, and expects full-year 2026 capital expenditures of approximately $750 million. Allegiant also has an agreement to acquire Sun Country, expected to close in the second half of 2026.

2 days ago

Transcript

Allegiant Travel Company Reports Fourth Quarter and Full-Year 2025 Financial Results, Provides 2026 Guidance, and Announces Sun Country Acquisition

ALGT

Earnings

Guidance Update

M&A

Allegiant Travel Company reported GAAP diluted earnings per share of $1.73 for the fourth quarter of 2025 and a GAAP diluted loss per share of $(2.48) for the full-year 2025.
Adjusted diluted earnings per share was $2.72 for Q4 2025 (airline-only) and $3.80 for full-year 2025 (consolidated).
Total operating revenue increased by 4.5% year-over-year to $656.2 million in Q4 2025 and by 3.7% year-over-year to $2,606.6 million for full-year 2025.
The company projects full-year 2026 adjusted earnings per share of more than $8 and an adjusted operating margin of 12.0% to 15.0% for Q1 2026.
In January 2026, Allegiant announced a definitive merger agreement to acquire Sun Country Airlines.

2 days ago

Press Release

Allegiant Travel Company Reports Q4 and Full-Year 2025 Financial Results, Provides 2026 Guidance and Announces Sun Country Acquisition

ALGT

Earnings

Guidance Update

M&A

Allegiant Travel Company reported Q4 2025 GAAP diluted earnings per share of $1.73 and adjusted airline-only diluted earnings per share of $2.72. For the full year 2025, the company posted a GAAP diluted loss per share of $(2.48) and adjusted diluted earnings per share of $3.80.
Total operating revenue reached $656.2 million in Q4 2025 and $2,606.6 million for the full year 2025.
The company achieved a 12.9 percent adjusted airline-only operating margin in Q4 2025 and reduced full-year unit costs by more than six percent.
Allegiant ended 2025 with $1.1 billion in available liquidity, including $838.5 million in cash and investments, and reduced total debt to just under $1.8 billion, improving net leverage to 2.3x.
For Q1 2026, the company anticipates an adjusted operating margin of 12.0% to 15.0% and adjusted earnings per share of $2.50 to $3.50. Full-year 2026 guidance projects adjusted earnings per share of more than $8, representing a 60 percent year-over-year increase, and the company announced an agreement to acquire Sun Country Airlines.

2 days ago

8-K

Allegiant Travel Company Reports December, Q4, and Full Year 2025 Traffic Results

ALGT

Revenue Acceleration/Inflection

Guidance Update

Allegiant Travel Company reported that Full Year 2025 scheduled service passengers increased by 10.5% to 18,518,653 and available seat miles (ASMs) grew by 12.9% to 20,679,905 thousand compared to Full Year 2024.
For the fourth quarter of 2025, scheduled service passengers increased by 13.3% to 4,447,973 and ASMs grew by 10.5% to 4,976,428 thousand year-over-year.
The scheduled service load factor for Full Year 2025 was 82.0%, a 1.6 percentage point decrease from Full Year 2024, while the fourth quarter 2025 load factor improved by 1.0 percentage point to 81.2% compared to the prior year.
The estimated average system fuel cost per gallon for Full Year 2025 was $2.55, and for the fourth quarter 2025 it was $2.61.

Jan 22, 2026, 11:32 PM

Press Release

Allegiant to Acquire Sun Country

ALGT

M&A

Board Change

Allegiant will acquire Sun Country in a cash and stock transaction, valuing Sun Country at approximately $1.5 billion, inclusive of $400 million of net debt, or a fully diluted equity value of $1.1 billion.
The acquisition implies a value of $18.89 per Sun Country share, representing a 19.8% premium over its January 9 closing share price of $15.77. Sun Country shareholders will receive 0.1557 shares of Allegiant stock plus $4.10 in cash per share, and will own approximately 33% of the combined company.
The transaction is expected to generate $140 million in annual synergies and be accretive to Allegiant's EPS in the first full year post-closing.
The deal is anticipated to close in the second half of 2026, subject to customary closing conditions, including regulatory and shareholder approvals. Greg Anderson will continue as CEO, and Sun Country's CEO, Jude Bricker, will join the combined company's board and serve as an advisor.

Jan 12, 2026, 1:30 PM

Transcript

Allegiant Travel Company to Acquire Sun Country

ALGT

M&A

New Projects/Investments

Board Change

Allegiant Travel Company will acquire Sun Country in a cash and stock transaction valued at approximately $1.5 billion, including $400 million of net debt. This represents an implied value of $18.89 per Sun Country share, a 19.8% premium over its January 9 closing price.
The acquisition is expected to generate $140 million in annual synergies within approximately three years post-close and be accretive to EPS in the first full year post-closing.
The combined company will serve 22 million passengers annually across nearly 175 communities, leveraging complementary networks and flexible capacity models.
The transaction is expected to close in the second half of 2026, pending regulatory and shareholder approvals. Greg Anderson will continue as CEO of the combined entity, and Jude Bricker will join the board.

Jan 12, 2026, 1:30 PM

Transcript

Allegiant Travel Company to Acquire Sun Country

ALGT

M&A

Guidance Update

Board Change

Allegiant Travel Company announced a definitive agreement to acquire Sun Country in a cash and stock transaction, valuing Sun Country at approximately $1.5 billion, including $400 million of net debt, or a fully diluted equity value of $1.1 billion.
The deal implies a total merger consideration of $18.89 per Sun Country share, representing a 19.8% premium over its January 9 closing price. Sun Country shareholders will receive 0.1557 shares of Allegiant stock plus $4.10 in cash per share and will own approximately 33% of the combined company.
The acquisition is expected to generate $140 million in annual synergies (net of disynergies) within approximately three years post-close and be accretive to Allegiant's EPS in the first full year post-closing (2027).
The combined company will continue under the Allegiant name, headquartered in Las Vegas, with Greg Anderson as CEO and Robert Neal as President and CFO; Jude Bricker will join the board and advise. The transaction is expected to close in the second half of 2026.