Allegiant reports ‘modest, yet consistent’ improvements in 3rd quarter
Allegiant Air’s parent company posted another quarterly loss Wednesday amid the still-raging coronavirus pandemic but cited “modest, yet consistent” improvements.
Las Vegas-based Allegiant Travel Co. reported a $29.1 million loss for the three months ended Sept. 30, compared with a $43.9 million profit during the same period last year.
It generated $201 million in revenue during the third quarter, down 54 percent year over year.
Chairman and CEO Maurice “Maury” Gallagher said in a news release that gross bookings have climbed from an average of just over $2 million per day in the third quarter to more than $3 million per day so far in the fourth.
“Even though we’re pleased with recent progress, we remain cautious,” he added, noting the airline had to make “tough decisions” the past few months, including reducing its workforce.
Allegiant is known for flying from small, underserved cities to warm-weather vacation spots, usually without competition on its routes.
The deep-discount carrier had booked 17 straight profitable years before the coronavirus outbreak upended daily life across the U.S. in March with sweeping business closures and stay-at-home orders, devastating the tourism industry and Las Vegas’ casino-heavy economy.
Allegiant reported a $33 million loss in the first quarter amid a steep write-off of its nonairline businesses, and a $93 million loss in the second quarter, which Gallagher called “the most turbulent” stretch in industry history.
Contact Eli Segall at esegall@reviewjournal.com or 702-383-0342. Follow @eli_segall on Twitter.