Allegiant posts 27% drop in earnings in 35th consecutive profitable quarter

Following everyone else in the industry, Allegiant reported falling profits on rising revenues as it posted a 27.9% decline in profits to USD9.5 million on a 17% increase in operating revenues to USD191.5 million. Net as a percent of total operating revenue dropped three points to 5%.

Its EBITDA margin, still healthy at 14.4%, was down 2.9 points while its operating margin was down 3.2 points to 8.7%.

CEO Maurice Gallagher reported revenues continuing to perform well on most metrics in the quarter, which were up 15% or more year on year.

Allegiant will be one of the bidders for the slots being made available from the US Airways-Delta slot swap but has not expressed interest at this stage in the Washington National slots.