The parent company of Las Vegas-based Allegiant Air, an ultra-low-cost carrier that flies from small, underserved cities to warm-weather tourist spots, reported earnings today for the quarter ending Sept. 30.
Company: Allegiant Travel Co. (NASDAQ:ALGT)
Revenue: $300 million (up 13.2 percent from the same period last year).
Earnings: $44.5 million in profit (up 213.4 percent from the same period last year).
Earnings per share: $2.62 (up 227.5 percent from the same period last year).
Profits soared amid higher revenue and a steep drop in jet-fuel expenses. Allegiant paid an average of $1.82 per gallon last quarter, down 41 percent from a year earlier; it spent $68.3 million total in the third quarter on aircraft fuel, down 28 percent year-over-year.
At the same time, passengers’ ticket prices fell. Allegiant offers cheap base fares with a large menu of add-on fees, and its average total fare last quarter was $120.59, down 7 percent from a year earlier.