Allegiant Travel earnings down 17 percent for 3rd quarter

An Allegiant Air jet takes off from McCarran International Airport on Friday, Aug. 26, 2011.

The parent company of Las Vegas-based Allegiant Air, a discount carrier that connects small cities to resort destinations, reported earnings today for the third quarter ending Sept. 30.

Company: Allegiant Travel Co. (NASDAQ:ALGT)

Revenue: $265 million (up 16 percent from the same period last year).

Earnings: $14.2 million in profit (down 17 percent from the same period last year).

Earnings per share: 80 cents (down 12 percent from the same period last year).

Allegiant, with small base fares and lots of add-on fees, said its average total fare last quarter was $129.95, down 0.8 percent from a year earlier.

Within that, however, the average fare for ancillary air-related charges grew 2 percent to $39.79, in part because of a $5 fee to print a boarding pass at the airport ticket counter. The fee took effect Sept. 1.

Operating costs grew at a faster pace than revenue, rising 18 percent to $236.2 million. The company spent almost $95 million on aircraft fuel — its largest expense — up 6.4 percent from a year earlier. Sales and marketing expenses also rose sharply, climbing 73 percent to $7.8 million.

Overall, Allegiant flew 1.9 million passengers last quarter, up 13.6 percent year-over-year.

It was its 47th consecutive profitable quarter.

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