Allegiant reports 12.6% passenger growth in August

LAS VEGAS - Allegiant Travel Company (NASDAQ:ALGT), currently trading at $60.76 and showing a strong 51.8% return over the past year according to InvestingPro data, reported a 12.6% year-over-year increase in scheduled service passengers for August 2025, with 1,495,501 passengers compared to 1,327,765 in August 2024, according to a press release issued Wednesday.

The airline’s revenue passenger miles grew 12.1% to 1.32 billion, while available seat miles increased 14.6% to 1.59 billion. Load factor decreased slightly to 82.6% from 84.5% a year earlier. Scheduled service departures rose 15.9% to 10,600. With revenue of $2.58 billion in the last twelve months and an EBITDA of $301.8 million, the company maintains a "Fair" financial health score according to InvestingPro analysis.

For its total system, which includes both scheduled service and fixed fee contracts, Allegiant carried 1,512,121 passengers in August, up 12.5% from the previous year. System-wide available seat miles increased 14.4% to 1.65 billion, with departures up 15.8% to 11,067.

The company’s estimated average fuel cost per gallon for August was $2.55.

"As we have progressed through the third quarter, demand has remained solid with trends outperforming our initial expectations," said Drew Wells, Chief Commercial Officer of Allegiant Travel Company, in the statement. This aligns with InvestingPro’s analysis, which indicates net income is expected to grow this year, with analysts projecting a return to profitability. Get detailed insights and 8 additional ProTips with an InvestingPro subscription, including exclusive Fair Value analysis and comprehensive Pro Research Reports covering 1,400+ top stocks.

Robert Neal, Chief Financial Officer, noted that third-quarter fuel costs are expected to align with previous guidance of $2.55 per gallon, while non-fuel costs have "trended better than expected." The company now anticipates finishing the third quarter "at the better end" of its previously guided ranges for operating margin and earnings per share.

Allegiant, based in Las Vegas, operates an all-nonstop fleet serving communities across the United States with a focus on connecting travelers from small-to-medium cities to vacation destinations.

In other recent news, Allegiant Travel Company reported strong earnings for the second quarter of 2025, with earnings per share (EPS) coming in at $1.23, significantly exceeding the forecasted $0.77. This represents a 59.74% surprise, alongside a slight revenue beat. Additionally, Allegiant completed a $200 million sale of its Sunseeker Resort assets to affiliates of Blackstone Real Estate Group, with plans to use the proceeds to reduce corporate debt and for general corporate purposes. In terms of network expansion, Allegiant announced the addition of Atlantic City, New Jersey, to its network with four new nonstop routes to Florida destinations starting in late 2025. Meanwhile, Allegiant pilots, represented by the International Brotherhood of Teamsters Local 2118, are preparing a Vote of No Confidence against management, citing concerns over financial performance and business decisions. On the analyst front, Raymond James raised its price target for Allegiant Travel to $8.50 from $7.00, citing early signs of market stabilization. These developments highlight various strategic and operational activities at Allegiant Travel Company.

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