Fourth quarter 2023 GAAP diluted loss
per share of $(0.13)
Fourth
quarter 2023 diluted earnings per share, excluding
special charges of $0.11(1)(6)(7)
Fourth
quarter 2023 airline only diluted earnings per share,
excluding special charges of $0.86(1)(8)
Full-year 2023 GAAP diluted earnings per share
of $6.29
Full-year 2023
diluted earnings per share, excluding special charges of
$7.31(1)(6)(7)
Full-year
2023 airline only diluted earnings per share, excluding special
charges of $8.82(1)(8)
Sunseeker Resort officially opened
December 15, 2023
LAS
VEGAS, Feb. 5, 2024 /PRNewswire/ -- Allegiant
Travel Company (NASDAQ: ALGT) today reported the following
financial results for the fourth quarter and full-year 2023, as
well as comparisons to the prior year:
Consolidated
|
Three Months Ended
December 31,
|
|
Percent
Change
|
(unaudited) (in
millions, except per share amounts)
|
2023
|
|
2022
|
|
YoY
|
Total operating
revenue
|
$
611.0
|
|
$
611.5
|
|
(0.1) %
|
Total operating
expense
|
600.4
|
|
522.4
|
|
14.9 %
|
Operating
income
|
10.6
|
|
89.2
|
|
(88.1) %
|
Income (loss) before
income taxes
|
(1.8)
|
|
65.9
|
|
NM
|
Net income
(loss)
|
(2.0)
|
|
52.5
|
|
NM
|
Diluted earnings (loss)
per share
|
(0.13)
|
|
2.87
|
|
NM
|
Sunseeker special
charges, net of recoveries (6)
|
(11.0)
|
|
(1.0)
|
|
NM
|
Airline special charges
(6)
|
19.9
|
|
0.1
|
|
NM
|
Net income, excluding
special charges net of
recoveries(1)(5)(7)
|
2.4
|
|
54.1
|
|
(95.6) %
|
Diluted earnings per
share excluding special charges net of
recoveries(1)(5)(7)
|
0.11
|
|
2.95
|
|
(96.3) %
|
Airline
only
|
Three Months Ended
December 31,
|
|
Percent
Change(2)
|
(unaudited) (in
millions, except per share amounts)
|
2023
|
|
2022
|
|
YoY
|
Airline operating
revenue
|
$
608.1
|
|
$
611.5
|
|
(0.6) %
|
Airline operating
expense (1)
|
587.5
|
|
519.5
|
|
13.1 %
|
Airline operating
income
|
20.6
|
|
92.1
|
|
(77.6) %
|
Airline income before
income taxes (1)
|
6.2
|
|
70.5
|
|
(91.2) %
|
Airline net income
(1)(4)
|
3.2
|
|
55.6
|
|
(94.2) %
|
Airline special charges
(6)
|
19.9
|
|
0.1
|
|
NM
|
Airline net income,
excluding special charges (1)(3)(8)
|
15.9
|
|
55.6
|
|
(71.4) %
|
Airline operating
margin, excluding special charges
(1)(8)
|
6.6 %
|
|
15.1 %
|
|
(8.5)
|
Airline diluted
earnings per share, excluding special charges
(1)(3)(8)
|
0.86
|
|
3.04
|
|
(71.7) %
|
Consolidated
|
Twelve Months Ended
December 31,
|
Percent
Change
|
(unaudited) (in
millions, except per share amounts)
|
2023
|
|
2022
|
|
YoY
|
Total operating
revenue
|
$
2,509.9
|
|
$
2,301.8
|
|
9.0 %
|
Total operating
expense
|
2,288.9
|
|
2,210.2
|
|
3.6 %
|
Operating
income
|
221.0
|
|
91.6
|
|
141.3 %
|
Income before income
taxes
|
159.1
|
|
5.0
|
|
NM
|
Net income
|
117.6
|
|
2.5
|
|
NM
|
Diluted earnings per
share
|
6.29
|
|
0.14
|
|
NM
|
Sunseeker special
charges, net of recoveries (6)
|
(6.4)
|
|
34.0
|
|
NM
|
Airline special charges
(6)
|
35.1
|
|
0.6
|
|
NM
|
Net income, excluding
special charges net of
recoveries(1)(5)(7)
|
136.6
|
|
33.2
|
|
311.4 %
|
Diluted earnings per
share excluding special charges net of
recoveries(1)(5)(7)
|
7.31
|
|
1.81
|
|
303.9 %
|
Airline
only
|
Twelve Months Ended
December 31,
|
|
Percent
Change(2)
|
(unaudited) (in
millions, except per share amounts)
|
2023
|
|
2022
|
|
YoY
|
Airline operating
revenue
|
$
2,507.0
|
|
$
2,301.8
|
|
8.9 %
|
Airline operating
expense (1)
|
2,255.5
|
|
2,164.9
|
|
4.2 %
|
Airline operating
income
|
251.5
|
|
137.0
|
|
83.6 %
|
Airline income before
income taxes (1)
|
188.1
|
|
58.0
|
|
224.3 %
|
Airline net income
(1)(4)
|
140.5
|
|
44.6
|
|
215.0 %
|
Airline special charges
(6)
|
35.1
|
|
0.6
|
|
NM
|
Airline net income,
excluding special charges (1)(3)(8)
|
164.7
|
|
45.0
|
|
266.0 %
|
Airline operating
margin, excluding special charges
(1)(8)
|
11.4 %
|
|
6.0 %
|
|
5.4
|
Airline diluted
earnings per share, excluding special charges
(1)(3)(8)
|
8.82
|
|
2.46
|
|
258.5 %
|
|
|
|
(1)
|
Denotes a non-GAAP
financial measure. Refer to the Non-GAAP Presentation section
within this document for further information and for calculation of
per share figures.
|
(2)
|
Except Airline
operating margin, excluding special charges, which is percentage
point change.
|
(3)
|
Utilizing an annual
airline-only, excluding special charge effective tax rate of 26.2%
for 2023 and 23.2% for 2022 and fourth quarter effective tax rates
of 39.1% for 2023 and 21.3% for 2022.
|
(4)
|
Utilizing an annual
airline-only effective tax rate of 25.3% for 2023 and 23.1% for
2022 and fourth quarter effective tax rates of 48.7% for 2023 and
21.1% for 2022.
|
(5)
|
Utilizing an annual
consolidated, excluding special charge effective tax rate of 27.2%
for 2023 and 16.2% for 2022 and fourth quarter effective tax rates
of 65.8% for 2023 and 16.9% for 2022.
|
(6)
|
In 2023 and 2022, we
recognized as special charges the full amount of estimated property
damage to Sunseeker Resort due to weather and other insured events
less the amount of recognized insurance recoveries through the end
of the applicable period. In 2023 we also recognized aircraft
accelerated depreciation as special charges related to our revised
fleet plan. We sometimes refer to these amounts as "specials" in
this earnings release.
|
(7)
|
Adjusted to exclude
the impacts of property damage to Sunseeker Resort, net of
recoveries, and aircraft accelerated depreciation charges resulting
from our revised fleet plan.
|
(8)
|
Adjusted to exclude
aircraft accelerated depreciation charges related to our revised
fleet plan.
|
NM
|
Not
meaningful
|
*
|
Note that amounts
may not recalculate due to rounding
|
|
|
|
"I am pleased to report 2023 diluted earnings per share,
excluding special charges, of $7.31,"
stated Maurice J. Gallagher, Jr., chairman and CEO of
Allegiant Travel Company. "At the onset of 2023 we committed to
delivering a reliable operation, and Team Allegiant more than
delivered. Not only did we end the year with a controllable
completion of 99.8 percent, we delivered an airline-only operating
margin, excluding specials, of more than 11 percent. Our unique,
low-utilization business model, focusing on an out and back
structure, continues to stand the test of time. As mentioned last
quarter, Allegiant is a PLFC, profitable leisure-focused carrier.
While the team and I are proud of what we accomplished this past
year, we still have work to do to restore margins to historical
levels. We are focused on returning to our long-term financial
targets as we head into 2024.
"We have spent the past few years outlining our ambitious plans
to position ourselves as an integrated travel company. We hit a
major milestone in our company history by officially opening
Sunseeker Resort to the public on December
15. The sprawling waterfront resort, boasting 785 hotel
rooms and 20 wholly owned food and beverage outlets has been more
than four years in the making. The resort provides a world class
leisure destination to offer to our customers. It will take some
time for the property to ramp to financial maturity. We are
encouraged by early bookings and expect to be EBITDA positive
during 2024.
"During 2023 we continued to distinguish ourselves by further
promoting the power of our brand. The Allegiant credit card has
grown to just shy of 500 thousand members. We received $120 million in total compensation related to the
program. This number is expected to continue to grow in 2024. The
Allways Rewards program enrolled 2.1 million new members in 2023.
These members fly significantly more than non-members on itinerary
values that far exceed non-members. Integrating Sunseeker into
these programs will provide additional value for our customers,
further expanding our brand efforts."
"I am proud of the progress we made throughout 2023 to
rightfully resume our place near the top of the industry both
operationally as well as financially," stated Gregory Anderson, president of Allegiant Travel
Company. "We completed 2023 with the second best controllable
completion in the industry. This operational excellence helped
drive out nearly $100 million in
irregular operations costs from the business, resulting in near
industry leading margins. I'm sure you noticed the recent airline
rankings in the Wall Street Journal. We moved up two spots to
number three out of nine major US airlines. This improvement speaks
volumes about our efforts to provide a 'best-in-class' product for
our customers. These successes are a direct result of the efforts
of our team members throughout the network.
"Although we are proud of our performance in 2023, 2024 will
continue our focus on restoring peak-period utilization, thereby
bolstering our financial performance through increased margins. In
the coming months we expect to induct our first Boeing MAX
aircraft. We have tempered capacity growth to roughly five percent
to ensure a smooth integration. The addition of this aircraft will
improve operational reliability, enhance the customer experience,
and deliver improved economics.
"In 2024, our focus will be on optimization. With continued
focus on a number of long-term initiatives, we expect to see
planned improvements throughout the business. I remain confident we
will continue our operational excellence, a necessity for
continued financial success. Our team members' efforts and
dedication are the reasons for our 2023 industry leading
performance. Team Allegiant remains the best in the industry."
Fourth Quarter 2023 Results and Highlights
- Total operating revenue of $611.0M, roughly flat over the prior year
- Total fixed fee contracts revenue of $24.9M, up 9.7% year-over-year
- Operating income, excluding
specials,(1)(3)(4) of $19.5M, yielding an operating margin of 3.2%
- Airline-only operating income, excluding
specials,(1)(5) of $40.5M, yielding an airline-only operating margin
of 6.6%
- Income before income tax, excluding
specials,(1)(3)(4) of $7.0M, yielding a pre-tax margin of 1.2%
- Airline-only income before income tax, excluding
specials,(1)(5) of $26.1M, yielding a pre-tax margin of 4.3%
- Consolidated EBITDA, excluding
specials,(1)(3)(4) of $77.8M, yielding an EBITDA margin of 12.7%
- Airline-only EBITDA, excluding
specials,(1)(5) of $96.8M a 15.9% margin
- Airline-only operating CASM, excluding fuel and special
charges,(5) of 8.50 ¢, up 10.8% year-over-year
- Includes $19.7M in incremental
cost related to accrual of pilot retention bonuses
- Excludes $19.9M in aircraft
accelerated depreciation related to the early retirement of 21
airframes to be retired between 2023 through 2025
- Opened Sunseeker Resort at Charlotte Harbor on
December 15
- Ranked number 3 amongst major US carriers in the Wall
Street Journal's "The Best and Worst Airlines of 2023"
- Issued the company's second annual ESG report, which
includes five company-wide targets, including an emissions
intensity reduction goal
Full-Year 2023 Results and Highlights
- Total operating revenue of $2.5B, up 9.0% year over year, on a total
system capacity increase of 1.9%
- Full-year TRASM(2) was 13.38 cents, a record annual TRASM, up 7.0%
year-over-year on scheduled service capacity increases of 1.7%
- Average total fare was $142.15,
up 5.6% year-over-year, including total average ancillary revenue
of $72.90, up 7.6% from 2022
- Income before income tax (4) of $187.7M, excluding special charges, yielding a
7.5% pre-tax margin
- Airline-only income before income tax, excluding
specials,(1)(5) of $223.3M, yielding a pre-tax margin of 8.9%
- Added 2.1 million Allegiant Allways Rewards® members
throughout 2023, with more than 17 million total members at year
end, a 13 percent increase over year-end 2022
- Airline-only Operating CASM, excluding fuel and special
charges,(5) of 8.12
cents, up 10.8% as compared with full-year 2022
- $119.6 million in total
cobrand credit card remuneration received from Bank of America,
up 18% from the prior year
- Grew cardholders by 16 percent over year-end 2022
|
|
(1)
|
Denotes a non-GAAP
financial measure. Refer to the Non-GAAP Presentation section
within this document for further information and for calculation of
per share figures.
|
(2)
|
TRASM represents
total passenger revenue per scheduled service available seat
mile.
|
(3)
|
In 2023 and 2022, we
recognized as special charges the full amount of estimated property
damage to Sunseeker Resort due to weather and other insured events
less the amount of recognized insurance recoveries through the end
of the applicable period. In 2023 we also recognized aircraft
accelerated depreciation as special charges related to our revised
fleet plan.
|
(4)
|
Adjusted to exclude
the impacts of property damage to Sunseeker Resort, net of
recoveries, and aircraft accelerated depreciation charges resulting
from our revised fleet plan.
|
(5)
|
Adjusted to exclude
aircraft accelerated depreciation charges related to our revised
fleet plan.
|
|
|
Balance Sheet, Cash and Liquidity
- Total available liquidity at December 31, 2023 was $1.1B, which included $870.7M in cash and investments, and $275M in undrawn revolving credit facilities and
PDP facilities
- $42.6M in cash from
operations during the fourth quarter 2023
- Total debt at December 31, 2023
was $2.3B
- Net debt at December 31, 2023 was
$1.4B
- Debt principal payments of $187.9M during the fourth quarter
- Includes $150M prepayment of 8.5%
senior secured notes during the quarter
- Full-year principal payments of $480.9M, including a total of $210.0M in prepayments related to 2024
maturities
- Returned $11.1M in dividends
during the fourth quarter
- Full-year dividend payments of $22.1M
- Scheduled payment of quarterly dividend in the amount of
$0.60 per share on March 1, 2024 to shareholders of record on
February 15, 2024
- Repurchased 192 thousand shares during the fourth
quarter at an average share price of $65.27
- Air traffic liability at December
31, 2023 was $353.5M
Airline Capital Expenditures
- Fourth quarter capital expenditures of $143.1M, which included $119.6M for aircraft purchases and inductions,
pre-delivery deposits, and other related costs, and $23.5M in other airline capital expenditures
- Fourth quarter deferred heavy maintenance spend was
$16.8M
Sunseeker Resort Charlotte Harbor
- Total Sunseeker fixed assets as of December 31, 2023 were $614.9M
- Fourth quarter capital expenditures, excluding capitalized
interest(1), were $52.7M
- Recorded recoveries, net of special charges, of $11.0M during fourth quarter 2023, which includes
$18.9M of insurance recoveries and
$7.9M of additional losses related to
estimated property damages at Sunseeker Resort resulting from
various weather events, including Hurricane Idalia
|
|
(1)
|
Fourth quarter
capital expenditures are inclusive of Sunseeker Resort, Aileron
Golf Club, remediation work related to weather and insurance
events, and accrued expenditures not yet paid. Capitalized
interest, operating expenses, and estimated losses related to
insurance events have been excluded from this
figure.
|
Guidance, subject to
revision
|
|
|
|
|
|
First quarter
2024 airline-only guidance
|
|
|
|
|
|
|
|
System ASMs - year over
year change
|
|
|
~1.0%
|
Scheduled service
ASMs - year over year change
|
|
|
~1.0%
|
|
|
|
|
Fuel cost per
gallon
|
|
|
$
2.85
|
Operating
margin
|
|
|
8.0% to
10.0%
|
Earnings per share,
airline only
|
|
|
$1.00 -
$2.00
|
|
|
|
|
|
|
|
|
First quarter
2024 consolidated guidance
|
|
|
|
|
|
|
|
Earnings per share,
consolidated
|
|
|
$0.50 -
$1.50
|
|
|
|
|
Full-year 2024
airline-only guidance
|
|
|
|
|
|
|
|
System ASMs - year over
year change
|
|
|
2.0% to 6.0%
|
Scheduled service
ASMs - year over year change
|
|
|
2.0% to 6.0%
|
|
|
|
|
Interest expense
(millions)
|
|
|
$140 to $150
|
Capitalized interest
(1) (millions)
|
|
|
($25) to
($35)
|
Interest income
(millions)
|
|
|
$35 to $45
|
|
|
|
|
Airline full-year
CAPEX
|
|
|
|
Aircraft, engines,
induction costs, and pre-delivery deposits
(millions)(2)
|
|
|
$535 to $555
|
Capitalized deferred
heavy maintenance (millions)
|
|
|
$80 to $90
|
Other airline capital
expenditures (millions)
|
|
|
$155 to $165
|
|
|
|
|
Recurring principal
payments (millions)
|
|
|
$150 to $160
|
|
|
|
|
|
(1)
|
Includes
capitalized interest related to pre-delivery deposits on new
aircraft.
|
(2)
|
Excludes
capitalized interest related to pre-delivery deposits on new
aircraft.
|
Full-year 2024
Sunseeker guidance
|
|
|
|
|
|
|
|
EBITDA
(millions)
|
|
|
Up to $15
|
Depreciation expense
(millions)
|
|
|
~$25
|
Interest expense
(millions)
|
|
|
~$20
|
|
|
|
|
Occupancy
rate
|
|
|
~60%
|
Average daily
rate
|
|
|
~$350
|
|
|
|
|
Sunseeker
full-year CAPEX
|
|
|
|
Sunseeker capital
expenditures (millions)
|
|
|
~$10
|
|
|
|
|
Aircraft Fleet Plan
by End of Period
|
|
Aircraft - (seats per AC)
|
YE23
|
YE24
|
737-8200 (190
seats)
|
—
|
10
|
A319 (156
seats)
|
34
|
34
|
A320 (177
seats)
|
19
|
11
|
A320 (180-186
seats)
|
73
|
75
|
Total
|
126
|
130
|
|
The table above is
provided based on the company's current plans and is subject to
change. The numbers exclude aircraft expected to be delivered
during 2024 but will not be placed into revenue service until
2025.
|
|
The above plan is
management's best estimate and differs from our contractual
obligations.
|
|
Allegiant Travel Company will host a conference call with
analysts at 3:00 p.m. ET Monday, February 5,
2024 to discuss its fourth quarter and full-year 2023
financial results. A live broadcast of the conference call will be
available via the Company's Investor Relations website homepage at
http://ir.allegiantair.com. The webcast will also be archived in
the "Events & Presentations" section of the website.
Allegiant Travel Company
Las Vegas-based Allegiant
(NASDAQ: ALGT) is an integrated travel company with an airline at
its heart, focused on connecting customers with the people, places
and experiences that matter most. Since 1999, Allegiant Air has
linked travelers in underserved cities to world-class vacation
destinations with all-nonstop flights and industry-low average
fares. Today, Allegiant serves communities across the nation, with
base airfares less than half the cost of the average domestic round
trip ticket. For more information, visit us at Allegiant.com. Media
information, including photos, is available at
http://gofly.us/iiFa303wrtF.
Media Inquiries:
mediarelations@allegiantair.com
Investor Inquiries:
ir@allegiantair.com
Under the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995, statements in this press release
that are not historical facts are forward-looking statements. These
forward-looking statements are only estimates or predictions based
on our management's beliefs and assumptions and on information
currently available to our management. Forward-looking statements
include our statements regarding future airline and Sunseeker
Resort operations, revenue, expenses and earnings, available seat
mile growth, expected capital expenditures, the cost of fuel, the
timing of aircraft acquisitions and retirements, the number of
contracted aircraft to be placed in service in the future, our
ability to consummate announced aircraft transactions, as well as
other information concerning future results of operations, business
strategies, financing plans, industry environment and potential
growth opportunities. Forward-looking statements include all
statements that are not historical facts and can be identified by
the use of forward-looking terminology such as the words "believe,"
"expect," "guidance," "anticipate," "intend," "plan," "estimate",
"project", "hope" or similar expressions.
Forward-looking statements involve risks, uncertainties
and assumptions. Actual results may differ materially from those
expressed in the forward-looking statements. Important risk factors
that could cause our results to differ materially from those
expressed in the forward-looking statements generally may be found
in our periodic reports filed with the Securities and Exchange
Commission at www.sec.gov. These risk factors include, without
limitation, an accident involving, or problems with, our aircraft,
public perception of our safety, our reliance on our automated
systems, our reliance on Boeing and other third parties to deliver
aircraft under contract to us on a timely basis, risk of breach of
security of personal data, volatility of fuel costs, labor issues
and costs, the ability to obtain regulatory approvals as needed ,
the effect of economic conditions on leisure travel, debt covenants
and balances, the impact of government regulations on the airline
industry, the ability to finance aircraft to be acquired, the
ability to obtain necessary government approvals to implement the
announced alliance with Viva Aerobus and to otherwise prepare to
offer international service, terrorist attacks, risks inherent to
airlines, our competitive environment, our reliance on third
parties who provide facilities or services to us, the impact of the
possible loss of key personnel, economic and other conditions in
markets in which we operate, the ability to successfully operate
Sunseeker Resort, increases in maintenance costs, cyclical and
seasonal fluctuations in our operating results, and the perceived
acceptability of our environmental, social and governance
efforts.
Any forward-looking statements are based on information
available to us today and we undertake no obligation to update
publicly any forward-looking statements, whether as a result of
future events, new information or otherwise.
Detailed financial information follows:
Allegiant Travel
Company
|
Consolidated
Statements of Income
|
(in thousands,
except per share amounts)
|
(Unaudited)
|
|
|
Three Months Ended
December 31,
|
|
Percent
Change
|
|
2023
|
|
2022
|
|
YoY
|
OPERATING
REVENUES:
|
|
|
|
|
|
Passenger
|
$
556,123
|
|
$
564,721
|
|
(1.5) %
|
Third party
products
|
26,693
|
|
23,560
|
|
13.3
|
Fixed fee
contracts
|
24,949
|
|
22,751
|
|
9.7
|
Other
|
3,237
|
|
517
|
|
526.1
|
Total operating
revenues
|
611,002
|
|
611,549
|
|
(0.1)
|
OPERATING
EXPENSES:
|
|
|
|
|
|
Aircraft
fuel
|
175,853
|
|
185,203
|
|
(5.0)
|
Salaries and
benefits
|
188,005
|
|
141,386
|
|
33.0
|
Station
operations
|
63,696
|
|
56,214
|
|
13.3
|
Depreciation and
amortization
|
58,700
|
|
51,924
|
|
13.0
|
Maintenance and
repairs
|
28,249
|
|
26,694
|
|
5.8
|
Sales and
marketing
|
29,351
|
|
25,216
|
|
16.4
|
Aircraft lease
rentals
|
5,976
|
|
6,132
|
|
(2.5)
|
Other
|
41,743
|
|
30,395
|
|
37.3
|
Special charges, net
of recoveries
|
8,817
|
|
(814)
|
|
NM
|
Total operating
expenses
|
600,390
|
|
522,350
|
|
14.9
|
OPERATING
INCOME
|
10,612
|
|
89,199
|
|
(88.1)
|
OTHER (INCOME)
EXPENSES:
|
|
|
|
|
|
Interest
expense
|
40,479
|
|
37,181
|
|
8.9
|
Interest
income
|
(12,197)
|
|
(8,560)
|
|
42.5
|
Capitalized
interest
|
(16,183)
|
|
(5,046)
|
|
220.7
|
Other, net
|
306
|
|
(226)
|
|
NM
|
Total other
expenses
|
12,405
|
|
23,349
|
|
(46.9)
|
INCOME (LOSS) BEFORE
INCOME TAXES
|
(1,793)
|
|
65,850
|
|
NM
|
INCOME TAX
PROVISION
|
163
|
|
13,376
|
|
(98.8)
|
NET INCOME
(LOSS)
|
$
(1,956)
|
|
$
52,474
|
|
NM
|
Earnings (loss) per
share to common shareholders:
|
|
|
|
|
|
Basic
|
($0.13)
|
|
$2.87
|
|
(104.5)
|
Diluted
|
($0.13)
|
|
$2.87
|
|
(104.5)
|
Weighted average shares
outstanding used in computing earnings per share attributable to
common shareholders(1):
|
|
|
|
|
|
Basic
|
17,915
|
|
17,880
|
|
0.2
|
Diluted
|
17,915
|
|
17,910
|
|
—
|
|
|
|
(1)
|
The Company's
unvested restricted stock awards are considered participating
securities as they receive non-forfeitable rights to cash dividends
at the same rate as common stock. The basic and diluted earnings
per share calculations for the periods presented reflect the
two-class method mandated by ASC Topic 260, "Earnings Per Share."
The two-class method adjusts both the net income and the shares
used in the calculation. Application of the two-class method did
not have a significant impact on the basic and diluted earnings per
share for the periods presented.
|
NM
|
|
Not
meaningful
|
Allegiant Travel
Company
|
Airline Operating
Statistics
|
(Unaudited)
|
|
|
Three Months Ended
December 31,
|
|
Percent
Change(1)
|
|
2023
|
|
2022
|
|
YoY
|
AIRLINE OPERATING
STATISTICS
|
|
|
|
|
|
Total system
statistics:
|
|
|
|
|
|
Passengers
|
4,145,771
|
|
3,962,466
|
|
4.6 %
|
Available seat miles
(ASMs) (thousands)
|
4,607,174
|
|
4,358,220
|
|
5.7
|
Airline operating
expense per ASM (CASM) (cents)
|
12.75 ¢
|
|
11.92 ¢
|
|
7.0
|
Fuel expense per ASM
(cents)
|
3.82 ¢
|
|
4.25 ¢
|
|
(10.1)
|
Airline operating
CASM, excluding fuel (cents)
|
8.94 ¢
|
|
7.67 ¢
|
|
16.6
|
Departures
|
29,733
|
|
28,005
|
|
6.2
|
Block hours
|
69,737
|
|
66,389
|
|
5.0
|
Average stage length
(miles)
|
876
|
|
881
|
|
(0.6)
|
Average number of
operating aircraft during period
|
126.7
|
|
118.6
|
|
6.8
|
Average block hours
per aircraft per day
|
6.0
|
|
6.1
|
|
(1.6)
|
Full-time equivalent
employees at end of period
|
5,643
|
|
5,306
|
|
6.4
|
Fuel gallons consumed
(thousands)
|
54,726
|
|
51,536
|
|
6.2
|
ASMs per gallon of
fuel
|
84.2
|
|
84.6
|
|
(0.5)
|
Average fuel cost per
gallon
|
$
3.21
|
|
$
3.59
|
|
(10.6)
|
Scheduled service
statistics:
|
|
|
|
|
|
Passengers
|
4,067,855
|
|
3,893,870
|
|
4.5
|
Revenue passenger
miles (RPMs) (thousands)
|
3,691,343
|
|
3,578,134
|
|
3.2
|
Available seat miles
(ASMs) (thousands)
|
4,429,826
|
|
4,192,352
|
|
5.7
|
Load factor
|
83.3 %
|
|
85.3 %
|
|
(2.0)
|
Departures
|
28,244
|
|
26,591
|
|
6.2
|
Block hours
|
66,845
|
|
63,648
|
|
5.0
|
Average seats per
departure
|
176.6
|
|
176.0
|
|
0.3
|
Yield (cents)
(2)
|
7.74 ¢
|
|
8.50 ¢
|
|
(8.9)
|
Total passenger
revenue per ASM (TRASM) (cents)(3)
|
13.16 ¢
|
|
14.03 ¢
|
|
(6.2)
|
Average fare -
scheduled service(4)
|
$
70.22
|
|
$
78.14
|
|
(10.1)
|
Average fare -
air-related charges(4)
|
$
66.50
|
|
$
66.89
|
|
(0.6)
|
Average fare - third
party products
|
$
6.56
|
|
$
6.05
|
|
8.4
|
Average fare -
total
|
$
143.27
|
|
$
151.08
|
|
(5.2)
|
Average stage length
(miles)
|
887
|
|
893
|
|
(0.7)
|
Fuel gallons consumed
(thousands)
|
52,530
|
|
49,533
|
|
6.1
|
Average fuel cost per
gallon
|
$
3.20
|
|
$
3.58
|
|
(10.6)
|
Percent of sales
through website during period
|
97.5 %
|
|
95.7 %
|
|
1.8
|
Other
data:
|
|
|
|
|
|
Rental car days
sold
|
296,227
|
|
286,129
|
|
3.5
|
Hotel room nights
sold
|
56,290
|
|
60,520
|
|
(7.0)
|
|
|
(1)
|
Except load factor
and percent of sales through website, which is percentage point
change.
|
(2)
|
Defined as scheduled
service revenue divided by revenue passenger miles.
|
(3)
|
Various components
of this measurement do not have a direct correlation to ASMs. These
figures are provided on a per ASM basis to facilitate comparison
with airlines reporting revenues on a per ASM basis.
|
(4)
|
Reflects division of
passenger revenue between scheduled service and air-related charges
in Company's booking path.
|
|
|
Allegiant Travel
Company
|
Consolidated
Statements of Income
|
(in thousands,
except per share amounts)
|
(Unaudited)
|
|
|
Twelve Months Ended
December 31,
|
|
Percent
Change
|
|
2023
|
|
2022
|
|
YoY
|
OPERATING
REVENUES:
|
|
|
|
|
|
Passenger
|
$
2,324,397
|
|
$
2,137,762
|
|
8.7 %
|
Third party
products
|
112,579
|
|
100,959
|
|
11.5
|
Fixed fee
contracts
|
68,548
|
|
60,937
|
|
12.5
|
Other
|
4,333
|
|
2,171
|
|
99.6
|
Total
operating revenues
|
2,509,857
|
|
2,301,829
|
|
9.0
|
OPERATING
EXPENSES:
|
|
|
|
|
|
Aircraft
fuel
|
695,871
|
|
814,803
|
|
(14.6)
|
Salaries and
benefits
|
687,803
|
|
552,413
|
|
24.5
|
Station
operations
|
256,560
|
|
255,168
|
|
0.5
|
Depreciation and
amortization
|
223,130
|
|
197,542
|
|
13.0
|
Maintenance and
repairs
|
123,802
|
|
117,814
|
|
5.1
|
Sales and
marketing
|
114,616
|
|
100,678
|
|
13.8
|
Aircraft lease
rentals
|
24,948
|
|
23,621
|
|
5.6
|
Other
|
133,501
|
|
113,532
|
|
17.6
|
Special charges, net
of recoveries
|
28,645
|
|
34,612
|
|
(17.2)
|
Total
operating expenses
|
2,288,876
|
|
2,210,183
|
|
3.6
|
OPERATING
INCOME
|
220,981
|
|
91,646
|
|
141.1
|
OTHER (INCOME)
EXPENSES:
|
|
|
|
|
|
Interest
expense
|
153,186
|
|
115,711
|
|
32.4
|
Interest
income
|
(46,615)
|
|
(16,469)
|
|
183.0
|
Capitalized
interest
|
(45,132)
|
|
(12,640)
|
|
257.1
|
Other, net
|
491
|
|
91
|
|
439.6
|
Total
other expenses
|
61,930
|
|
86,693
|
|
(28.6)
|
INCOME BEFORE INCOME
TAXES
|
159,051
|
|
4,953
|
|
NM
|
INCOME TAX
PROVISION
|
41,455
|
|
2,460
|
|
NM
|
NET INCOME
|
$
117,596
|
|
$
2,493
|
|
NM
|
Earnings per share to
common shareholders:
|
|
|
|
|
|
Basic
|
$6.32
|
|
$0.14
|
|
NM
|
Diluted
|
$6.29
|
|
$0.14
|
|
NM
|
Weighted average shares
outstanding used in computing earnings per share attributable to
common shareholders(1):
|
|
|
|
|
|
Basic
|
17,945
|
|
17,959
|
|
(0.1)
|
Diluted
|
18,019
|
|
18,034
|
|
(0.1)
|
|
|
|
(1)
|
The Company's
unvested restricted stock awards are considered participating
securities as they receive non-forfeitable rights to cash dividends
at the same rate as common stock. The basic and diluted earnings
per share calculations for the periods presented reflect the
two-class method mandated by ASC Topic 260, "Earnings Per
Share." The two-class method adjusts both the net income and the
shares used in the calculation. Application of the two-class method
did not have a significant impact on the basic and diluted earnings
per share for the periods presented.
|
NM
|
|
Not
meaningful
|
|
|
|
Allegiant Travel
Company
|
Airline Operating
Statistics
|
(Unaudited)
|
|
|
Twelve Months Ended
December 31,
|
|
Percent
Change(1)
|
|
2023
|
|
2022
|
|
YoY
|
AIRLINE OPERATING
STATISTICS
|
|
|
|
|
|
Total system
statistics:
|
|
|
|
|
|
Passengers
|
17,342,236
|
|
16,796,544
|
|
3.2 %
|
Available seat miles
(ASMs) (thousands)
|
18,772,110
|
|
18,419,045
|
|
1.9
|
Airline operating
expense per ASM (CASM)(cents)
|
12.02 ¢
|
|
11.75 ¢
|
|
2.3
|
Fuel expense per ASM
(cents)
|
3.71 ¢
|
|
4.42 ¢
|
|
(16.1)
|
Airline operating
CASM, excluding fuel (cents)
|
8.31 ¢
|
|
7.33 ¢
|
|
13.4
|
Departures
|
120,525
|
|
118,069
|
|
2.1
|
Block hours
|
285,453
|
|
278,792
|
|
2.4
|
Average stage length
(miles)
|
882
|
|
884
|
|
(0.2)
|
Average number of
operating aircraft during period
|
125.2
|
|
114.2
|
|
9.6
|
Average block hours
per aircraft per day
|
6.2
|
|
6.7
|
|
(7.5)
|
Full-time equivalent
employees at end of period
|
5,643
|
|
5,306
|
|
6.4
|
Fuel gallons consumed
(thousands)
|
224,996
|
|
218,606
|
|
2.9
|
ASMs per gallon of
fuel
|
83.4
|
|
84.3
|
|
(1.1)
|
Average fuel cost per
gallon
|
$
3.09
|
|
$
3.73
|
|
(17.2)
|
Scheduled service
statistics:
|
|
|
|
|
|
Passengers
|
17,143,870
|
|
16,630,138
|
|
3.1
|
Revenue passenger
miles (RPMs) (thousands)
|
15,639,329
|
|
15,224,346
|
|
2.7
|
Available seat miles
(ASMs) (thousands)
|
18,208,820
|
|
17,909,190
|
|
1.7
|
Load factor
|
85.9 %
|
|
85.0 %
|
|
0.9
|
Departures
|
116,044
|
|
114,066
|
|
1.7
|
Block hours
|
276,313
|
|
270,516
|
|
2.1
|
Average seats per
departure
|
176.3
|
|
175.7
|
|
0.3
|
Yield (cents)
(2)
|
7.59 ¢
|
|
7.31 ¢
|
|
3.8
|
Total passenger
revenue per ASM (TRASM) (cents)(3)
|
13.38 ¢
|
|
12.50 ¢
|
|
7.0
|
Average fare -
scheduled service(4)
|
$
69.25
|
|
$
66.88
|
|
3.5
|
Average fare -
air-related charges(4)
|
$
66.33
|
|
$
61.67
|
|
7.6
|
Average fare - third
party products
|
$
6.57
|
|
$
6.07
|
|
8.2
|
Average fare -
total
|
$
142.15
|
|
$
134.62
|
|
5.6
|
Average stage length
(miles)
|
888
|
|
890
|
|
(0.2)
|
Fuel gallons consumed
(thousands)
|
218,129
|
|
212,466
|
|
2.7
|
Average fuel cost per
gallon
|
$
3.09
|
|
$
3.72
|
|
(16.9)
|
Percent of sales
through website during period
|
95.8 %
|
|
96.0 %
|
|
(0.2)
|
Other
data:
|
|
|
|
|
|
Rental car days
sold
|
1,377,710
|
|
1,447,708
|
|
(4.8)
|
Hotel room nights
sold
|
249,933
|
|
282,854
|
|
(11.6)
|
|
|
(1)
|
Except load factor
and percent of sales through website, which is percentage point
change.
|
(2)
|
Defined as scheduled
service revenue divided by revenue passenger miles.
|
(3)
|
Various components
of this measurement do not have a direct correlation to ASMs. These
figures are provided on a per ASM basis to facilitate comparison
with airlines reporting revenues on a per ASM basis.
|
(4)
|
Reflects division of
passenger revenue between scheduled service and air-related charges
in Company's booking path.
|
|
|
Summary Balance
Sheet
|
|
Unaudited
(millions)
|
December 31,
2023
(unaudited)
|
|
December 31,
2022
|
|
Percent
Change
|
Unrestricted cash and
investments
|
|
|
|
|
|
Cash and cash
equivalents
|
$
143.3
|
|
$
230.0
|
|
(37.7) %
|
Short-term
investments
|
671.4
|
|
725.1
|
|
(7.4)
|
Long-term
investments
|
56.0
|
|
63.3
|
|
(11.5)
|
Total unrestricted
cash and investments
|
870.7
|
|
1,018.4
|
|
(14.5)
|
Debt
|
|
|
|
|
|
Current maturities of
long-term debt and finance lease obligations, net of related
costs
|
439.9
|
|
152.9
|
|
187.7
|
Long-term debt and
finance lease obligations, net of current maturities and related
costs
|
1,819.7
|
|
1,944.1
|
|
(6.4)
|
Total debt
|
2,259.6
|
|
2,097.0
|
|
7.8
|
Debt, net of
unrestricted cash and investments
|
1,388.9
|
|
1,078.6
|
|
28.8
|
Total Allegiant Travel
Company shareholders' equity
|
1,328.6
|
|
1,220.7
|
|
8.8
|
|
|
|
|
|
|
EPS Calculation
The following table sets forth the computation of net income per
share, on a basic and diluted basis, for the periods indicated
(share count and dollar amounts other than per-share amounts in
table are in thousands):
|
Three Months
Ended
December 31,
|
|
Twelve Months
Ended
December 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Basic:
|
|
|
|
|
|
|
|
Net income
(loss)
|
$
(1,956)
|
|
$
52,474
|
|
$
117,596
|
|
$
2,493
|
Less income allocated
to participating securities
|
(348)
|
|
(1,125)
|
|
(4,188)
|
|
(32)
|
Net income (loss)
attributable to common stock
|
$
(2,304)
|
|
$
51,349
|
|
$
113,408
|
|
$
2,461
|
Earnings (loss) per
share, basic
|
$
(0.13)
|
|
$
2.87
|
|
$
6.32
|
|
$
0.14
|
Weighted-average shares
outstanding
|
17,915
|
|
17,880
|
|
17,945
|
|
17,959
|
Diluted:
|
|
|
|
|
|
|
|
Net income
(loss)
|
$
(1,956)
|
|
$
52,474
|
|
$
117,596
|
|
$
2,493
|
Less income allocated
to participating securities
|
(348)
|
|
(1,123)
|
|
(4,175)
|
|
(32)
|
Net income (loss)
attributable to common stock
|
$
(2,304)
|
|
$
51,351
|
|
$
113,421
|
|
$
2,461
|
Earnings (loss) per
share, diluted
|
$
(0.13)
|
|
$
2.87
|
|
$
6.29
|
|
$
0.14
|
Weighted-average shares
outstanding (1)
|
17,915
|
|
17,880
|
|
17,945
|
|
17,959
|
Dilutive effect of
stock options and restricted stock
|
—
|
|
61
|
|
249
|
|
132
|
Adjusted
weighted-average shares outstanding under treasury stock
method
|
17,915
|
|
17,941
|
|
18,194
|
|
18,091
|
Participating
securities excluded under two-class method
|
—
|
|
(31)
|
|
(175)
|
|
(57)
|
Adjusted
weighted-average shares outstanding under two-class
method
|
17,915
|
|
17,910
|
|
18,019
|
|
18,034
|
|
|
(1)
|
Dilutive effect of
common stock equivalents excluded from the diluted per share
calculation is not material.
|
Appendix A
Non-GAAP
Presentation
Three and Twelve Months Ended December 31, 2023
(Unaudited)
Airline operating expense, airline income before income taxes,
airline net income, and airline diluted earnings per share all
eliminate the effects of non-airline activity as such activity is
not reflective of airline operating performance. We also present
these airline-only metrics excluding special charges related to
aircraft accelerated depreciation on early retirement of certain
airframes. Management believes the exclusion of these special
charges enhances comparability of financial information between
periods. Airline earnings before interest, taxes, depreciation and
amortization ("Airline EBITDA") eliminates the effects of
non-airline operating activity and other items. As such, all of
these are non-GAAP financial measures. We believe the presentation
of these measures is relevant and useful for investors because it
allows them to better gauge the performance of the airline and to
compare our results to other airlines.
We also present both operating expense and CASM excluding
aircraft fuel expense as fuel price volatility impacts the
comparability of year over year financial performance. We believe
the adjustment for fuel expense allows investors to better
understand our non-fuel costs and related performance.
We present consolidated operating income, EBITDA, and diluted
earnings per share excluding Sunseeker special charges, net of
recoveries, and airline special charges, to exclude the impact of
losses and insurance recoveries incurred primarily as the result of
hurricanes and other insured events at Sunseeker and to exclude
aircraft accelerated depreciation on early retirements of certain
airframes. Management believes these measures enhance comparability
of financial information between periods.
Consolidated EBITDA, Consolidated EBITDA excluding special
charges, and Airline EBITDA excluding special charges, as presented
in this press release, are supplemental measures of our performance
that are not required by, or presented in accordance with,
accounting principles generally accepted in the United States ("GAAP"). These are not
measurements of our financial performance under GAAP and should not
be considered in isolation or as an alternative to net income or
any other performance measures derived in accordance with GAAP or
as an alternative to cash flows from operating activities as a
measure of our liquidity.
We define "EBITDA" as earnings before interest, taxes,
depreciation and amortization. We also adjust EBITDA within this
release to exclude non-airline activity and special charges. We
caution investors that amounts presented in accordance with this
definition may not be comparable to similar measures disclosed by
other issuers, because not all issuers and analysts calculate
EBITDA in the same manner.
We use EBITDA and Airline EBITDA to evaluate our operating
performance and liquidity, and these are among the primary measures
used by management for planning and forecasting of future periods.
We believe these presentations of EBITDA are relevant and useful
for investors because they allow investors to view results in a
manner similar to the method used by management and make it easier
to compare our results with other companies that have different
financing and capital structures. EBITDA has important limitations
as an analytical tool. These limitations include the following:
- EBITDA does not reflect our capital expenditures, future
requirements for capital expenditures or contractual commitments to
purchase capital equipment;
- EBITDA does not reflect interest expense or the cash
requirements necessary to service principal or interest payments on
our debt;
- although depreciation and amortization are non-cash charges,
the assets that we currently depreciate and amortize will likely
have to be replaced in the future, and EBITDA does not reflect the
cash required to fund such replacements; and
- other companies in our industry may calculate EBITDA
differently than we do, limiting its usefulness as a comparative
measure.
Presented below is a quantitative reconciliation of these
adjusted numbers to the most directly comparable GAAP financial
performance measure, which we believe is net income.
The SEC has adopted rules (Regulation G) regulating the use of
non-GAAP financial measures. Because of our use of non-GAAP
financial measures in this press release to supplement our
consolidated financial statements presented on a GAAP basis,
Regulation G requires us to include in this press release a
presentation of the most directly comparable GAAP measure, which is
operating revenue, operating expenses, operating income, income
before income taxes, net income, and net income per share and a
reconciliation of the non-GAAP measures to the most comparable GAAP
measure. Our utilization of non-GAAP measurements is not meant to
be considered in isolation or as a substitute for operating
expenses, income before income taxes, net income, earnings per
share, or other measures of financial performance prepared in
accordance with GAAP. Our use of these non-GAAP measures may not be
comparable to similarly titled measures employed by other companies
in the airline and travel industry. The reconciliation of each of
these measures to the most comparable GAAP measure for the periods
is indicated below.
Reconciliation of
Non-GAAP Financial Measures
|
|
|
Three Months Ended
December 31,
|
|
Twelve Months Ended
December 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Reconciliation of
net income and earnings per share excluding special charges net of
recoveries (millions except share and per share
amounts)
|
|
|
|
|
|
|
|
Income (loss) before
income taxes as reported (GAAP)
|
$
(1.8)
|
|
$
65.9
|
|
$
159.1
|
|
$
5.0
|
Special charges, net of
recoveries(5)
|
8.8
|
|
(0.8)
|
|
28.6
|
|
34.6
|
Income before income
taxes excluding special charges net of
recoveries(1)
|
7.0
|
|
65.1
|
|
187.7
|
|
39.6
|
Income tax expense as
reported (GAAP)
|
0.2
|
|
13.4
|
|
41.5
|
|
2.5
|
Income tax expense
excluding special charges net of
recoveries(1)(4)
|
4.6
|
|
11.0
|
|
51.1
|
|
6.4
|
Net income excluding
special charges net of recoveries(1)
|
2.4
|
|
54.1
|
|
136.6
|
|
33.2
|
Net (income) allocated
to participating securities excluding special charges net of
recoveries(1)
|
(0.3)
|
|
(1.2)
|
|
(4.8)
|
|
(0.4)
|
Net income attributable
to common stock excluding special charges net of
recoveries(1)
|
2.1
|
|
52.9
|
|
131.8
|
|
32.8
|
|
|
|
|
|
|
|
|
Diluted shares used for
computation (GAAP) (thousands)
|
17,915
|
|
17,910
|
|
18,019
|
|
18,034
|
Diluted shares used for
computation - excluding special charges net of recoveries
(thousands)(1)
|
17,929
|
|
17,910
|
|
18,019
|
|
18,034
|
|
|
|
|
|
|
|
|
Diluted earnings (loss)
per share as reported (GAAP)
|
$
(0.13)
|
|
$
2.87
|
|
$
6.29
|
|
$
0.14
|
Diluted earnings per
share excluding special charges net of
recoveries(1)
|
$
0.11
|
|
$
2.95
|
|
$
7.31
|
|
$
1.81
|
|
Three Months Ended
December 31,
|
|
Twelve Months Ended
December 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Reconciliation of
airline operating expense, operating income, and income before
income taxes excluding special charges (millions)
|
|
|
|
|
|
|
|
Operating expense as
reported (GAAP)
|
$
600.4
|
|
$
522.4
|
|
$
2,288.9
|
|
$
2,210.2
|
Non-airline operating
expense(1)
|
12.8
|
|
2.9
|
|
33.4
|
|
45.3
|
Airline operating
expense(1)
|
587.6
|
|
519.5
|
|
2,255.5
|
|
2,164.9
|
Airline special
charges(1)(5)
|
19.9
|
|
0.1
|
|
35.1
|
|
0.6
|
Airline operating
expense, excluding special charges(1)(7)
|
$
567.7
|
|
$
519.4
|
|
$
2,220.4
|
|
$
2,164.3
|
|
|
|
|
|
|
|
|
Operating income as
reported (GAAP)
|
$
10.6
|
|
$
89.2
|
|
$
221.0
|
|
$
91.6
|
Non-airline operating
loss
|
10.0
|
|
2.9
|
|
30.5
|
|
45.3
|
Airline special
charges(1)(5)
|
19.9
|
|
0.1
|
|
35.1
|
|
0.6
|
Airline operating
income, excluding special charges(1)(7)
|
$
40.5
|
|
$
92.2
|
|
$
286.6
|
|
$
137.5
|
Airline operating
margin, excluding special charges(7)
|
6.6 %
|
|
15.1 %
|
|
11.4 %
|
|
6.0 %
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes as reported (GAAP)
|
$
(1.8)
|
|
$
65.9
|
|
$
159.1
|
|
$
5.0
|
Non-airline loss before
income taxes(1)
|
8.0
|
|
4.7
|
|
29.1
|
|
53.0
|
Airline special
charges(1)(5)
|
19.9
|
|
0.1
|
|
35.1
|
|
0.6
|
Airline income before
income taxes, excluding special charges(1)(7)
|
$
26.1
|
|
$
70.7
|
|
$
223.3
|
|
$
58.6
|
|
Three Months Ended
December 31,
|
|
Twelve Months Ended
December 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Reconciliation of
airline net income excluding special charges and airline earnings
per share excluding special charges (millions except share and per
share amounts)
|
|
|
|
|
|
|
|
Income (loss) before
income taxes as reported (GAAP)
|
$
(1.8)
|
|
$
65.9
|
|
$
159.1
|
|
$
5.0
|
Non-airline loss before
income taxes(1)
|
8.0
|
|
4.6
|
|
29.0
|
|
53.0
|
Airline income before
income taxes(1)
|
6.2
|
|
70.5
|
|
188.1
|
|
58.0
|
Airline special
charges(1)(5)
|
19.9
|
|
0.1
|
|
35.1
|
|
0.6
|
Airline income before
income taxes, excluding special charges(1)(7)
|
26.1
|
|
70.6
|
|
223.2
|
|
58.6
|
|
|
|
|
|
|
|
|
Income tax expense
(benefit) as reported (GAAP)
|
0.2
|
|
13.4
|
|
41.5
|
|
2.5
|
Airline income tax
expense, excluding special charges(1)(2)
|
10.2
|
|
15.0
|
|
58.5
|
|
13.6
|
Airline net income,
excluding special charges(1)
|
15.9
|
|
55.6
|
|
164.7
|
|
45.0
|
|
|
|
|
|
|
|
|
Airline net (income)
allocated to participating securities excluding special
charges(1)
|
(0.5)
|
|
(1.2)
|
|
(5.8)
|
|
(0.6)
|
Airline net income
attributable to common stock excluding special
charges(1)
|
15.4
|
|
54.4
|
|
158.9
|
|
44.4
|
|
|
|
|
|
|
|
|
Diluted shares used for
computation (GAAP) (thousands)
|
17,915
|
|
17,910
|
|
18,019
|
|
18,034
|
Diluted shares used for
computation - airline only excluding special charges
(thousands)(1)
|
17,929
|
|
17,910
|
|
18,019
|
|
18,034
|
|
|
|
|
|
|
|
|
Diluted earnings (loss)
per share as reported (GAAP)
|
$
(0.13)
|
|
$
2.87
|
|
$
6.29
|
|
$
0.14
|
Diluted airline
earnings per share excluding special
charges(1)
|
$
0.86
|
|
$
3.04
|
|
$
8.82
|
|
$
2.46
|
|
Three Months Ended
December 31,
|
|
Twelve Months Ended
December 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Reconciliation of
airline operating CASM excluding fuel and special charges
(millions)
|
|
|
|
|
|
|
|
Consolidated operating
expense (GAAP)
|
$
600.4
|
|
$
522.4
|
|
$
2,288.9
|
|
$
2,210.2
|
Less fuel
expense
|
175.9
|
|
185.2
|
|
695.9
|
|
814.8
|
Less non-airline
operating expense(1)
|
12.8
|
|
2.9
|
|
33.4
|
|
45.3
|
Less airline special
charges(1)(5)
|
19.9
|
|
0.1
|
|
35.1
|
|
0.6
|
Total airline operating
expense less fuel and airline special
charges(1)(7)
|
$
391.8
|
|
$
334.2
|
|
$
1,524.5
|
|
$
1,349.5
|
|
|
|
|
|
|
|
|
System available seat
miles (millions)
|
4,607.2
|
|
4,358.2
|
|
18,772.1
|
|
18,419.0
|
Cost per available seat
mile (cents)
|
13.03
|
|
11.99
|
|
12.19
|
|
12.00
|
Cost per available seat
mile excluding non-airline expense (cents)
|
12.75
|
|
11.92
|
|
12.02
|
|
11.75
|
Cost per available seat
mile excluding fuel, non-airline expense, and airline special
charges (cents)
|
8.50
|
|
7.67
|
|
8.12
|
|
7.33
|
|
Three Months Ended
December 31,
|
|
Twelve Months Ended
December 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Reconciliation of
operating income excluding special charges
(millions)
|
|
|
|
|
|
|
|
Operating income as
reported (GAAP)
|
$
10.6
|
|
$
89.2
|
|
$
221.0
|
|
$
91.6
|
Sunseeker special
charges, net of recoveries(5)
|
(11.0)
|
|
(1.0)
|
|
(6.4)
|
|
34.0
|
Airline special
charges(5)
|
19.9
|
|
0.1
|
|
35.1
|
|
0.6
|
Operating income,
excluding special charges(1)(6)
|
$
19.5
|
|
$
88.3
|
|
$
249.7
|
|
$
126.2
|
|
Three Months Ended
December 31,
|
|
Twelve Months Ended
December 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Reconciliation of
Airline net income (millions)
|
|
|
|
|
|
|
|
Income (loss) before
income taxes as reported (GAAP)
|
$
(1.8)
|
|
$
65.9
|
|
$
159.1
|
|
$
5.0
|
Non-airline loss before
income taxes(1)
|
8.0
|
|
4.6
|
|
29.0
|
|
53.0
|
Airline income before
income taxes(1)
|
$
6.2
|
|
$
70.5
|
|
$
188.1
|
|
$
58.0
|
Airline only income
taxes(1)(3)
|
3.0
|
|
14.9
|
|
47.6
|
|
13.4
|
Airline net
income(1)
|
$
3.2
|
|
$
55.6
|
|
$
140.5
|
|
$
44.6
|
|
Three Months Ended
December 31,
|
|
Twelve Months Ended
December 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Consolidated EBITDA
and Consolidated EBITDA, excluding special
charges(millions)
|
|
|
|
|
|
|
|
Net income (loss) as
reported (GAAP)
|
$
(2.0)
|
|
$
52.5
|
|
$
117.6
|
|
$
2.5
|
Interest expense,
net
|
12.1
|
|
23.6
|
|
61.4
|
|
86.6
|
Income tax
expense
|
0.2
|
|
13.4
|
|
41.5
|
|
2.5
|
Depreciation and
amortization(7)
|
58.7
|
|
51.9
|
|
223.1
|
|
197.5
|
Consolidated
EBITDA(1)
|
$
69.0
|
|
$
141.4
|
|
$
443.6
|
|
$
289.1
|
Special charges, net of
recoveries(3)
|
8.8
|
|
(0.8)
|
|
28.6
|
|
34.6
|
Consolidated EBITDA,
excluding special charges(1)(6)
|
$
77.8
|
|
$
140.6
|
|
$
472.2
|
|
$
323.7
|
|
|
|
|
|
|
|
|
Airline EBITDA,
excluding special charges (millions)
|
|
|
|
|
|
|
|
Income (loss) before
taxes as reported (GAAP)
|
$
(1.8)
|
|
$
65.9
|
|
$
159.1
|
|
$
5.0
|
Non-airline loss before
taxes(1)
|
8.0
|
|
4.6
|
|
29.0
|
|
53.0
|
Airline special
charges(1)(7)
|
19.9
|
|
0.1
|
|
35.1
|
|
0.6
|
Airline income before
taxes, excluding special charges(1)(2)
|
$
26.1
|
|
$
70.6
|
|
$
223.2
|
|
$
58.6
|
Airline interest
expense, net(1)
|
14.0
|
|
21.8
|
|
62.8
|
|
78.9
|
Airline depreciation
and amortization(1)(7)
|
56.7
|
|
51.9
|
|
220.9
|
|
197.4
|
Airline EBITDA,
excluding special charges(1)(7)
|
$
96.8
|
|
$
144.3
|
|
$
506.9
|
|
$
334.9
|
|
|
(1)
|
Denotes non-GAAP
figure.
|
(2)
|
Utilizing an annual
airline-only, excluding special charge effective tax rate of 26.2%
for 2023 and 23.2% for 2022 and fourth quarter effective tax rates
of 39.1% for 2023 and 21.3% for 2022.
|
(3)
|
Utilizing an annual
airline-only effective tax rate of 25.3% for 2023 and 23.1% for
2022 and fourth quarter effective tax rates of 48.7% for 2023 and
21.1% for 2022.
|
(4)
|
Utilizing an annual
consolidated, excluding special charge effective tax rate of 27.2%
for 2023 and 16.2% for 2022 and fourth quarter effective tax rates
of 65.8% for 2023 and 16.9% for 2022.
|
(5)
|
In 2023 and 2022, we
recognized as special charges the full amount of estimated property
damage to Sunseeker Resort due to weather and other insured events
less the amount of recognized insurance recoveries through the end
of the applicable period. In 2023 we also recognized aircraft
accelerated depreciation as special charges related to our revised
fleet plan.
|
(6)
|
Adjusted to exclude
the impacts of property damage to Sunseeker Resort, net of
recoveries, and aircraft accelerated depreciation charges resulting
from our revised fleet plan.
|
(7)
|
Adjusted to exclude
aircraft accelerated depreciation charges related to our revised
fleet plan.
|
*
|
Note that amounts may not recalculate due to
rounding
|
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SOURCE Allegiant Travel Company