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Allegiant reported Q1 EPS of $3.77 and revenues of $732.4M, both above estimates.
ALGT lifted passenger revenue 8.9% Y/Y; load factor rose to 84.4% despite 5.9% lower capacity.
ALGT expects to close the Sun Country acquisition as early as mid-May, pending shareholder approvals.
Allegiant Travel Company (ALGT - Free Report) reported impressive first-quarter 2026 results, wherein both earnings and revenues beat the Zacks Consensus Estimate.
Quarterly earnings of $3.77 per share outpaced the Zacks Consensus Estimate of $3.40 and increased year over year. Revenues for the first quarter of 2026 were $732.4 million, surpassing the Zacks Consensus Estimate of $711.9 million and rising 4.8% year over year. Passenger revenues, which accounted for the bulk (91.7%) of the top line, grew 8.9% on a year-over-year basis.
Allegiant Travel Company Price, Consensus and EPS Surprise
Air traffic (measured in revenue passenger miles) for scheduled services fell 1.4% year over year in the quarter under review. Capacity (measured in available seat miles or ASMs) fell 5.9% from the year-ago number. The load factor (percentage of seats filled by passengers) increased to 84.4% from 80.5% in the reported quarter.
Airline operating costs per available seat miles, excluding fuel, rose 7.1% year over year to 8.64 cents. The average fuel cost per gallon (scheduled) increased 15.2% year over year to $3.03. Total scheduled service passenger revenues per available seat mile rose to 14.31 cents from 12.29 cents a year ago.
Gregory Anderson, chief executive officer of Allegiant, stated, "First-quarter demand was exceptional, particularly during peak periods, driving more than a 16 percent year-over-year increase in TRASM, with total yields up over 20 percent year-over-year. That performance allowed us to set an all-time quarterly record despite a 5.9 percent year-over-year reduction in capacity. We are pleased to see our commercial initiatives taking hold and contributing to our results, including an 8.9 percent increase in co-brand remuneration compared to the prior year.”
Anderson further added, “As we move into the second quarter, leisure demand remains healthy despite geopolitical dynamics that have impacted the broader economy. We have proactively reduced capacity during off-peak times and shortened average stage lengths as we navigate the higher fuel environment. We now expect second-quarter capacity to be down 6.5 percent year-over-year. With regulatory approvals now behind us, and pending shareholder approvals, we expect to close on the acquisition of Sun Country by as early as mid-May.”
ALGT’s Liquidity
As of March 31, 2026, Allegiant’s total unrestricted cash and investments were $933.5 million compared with $838.5 million at the prior-quarter end. Long-term debt and finance lease obligations (net of current maturities and related costs) totaled $1.67 billion compared with $1.68 billion at the end of the prior quarter.
Allegiant’s Guidance for Q2
For the second quarter of 2026, ASM (for scheduled service) is expected to decrease 6.5% on a year-over-year basis. Total system ASM is projected to fall 6.5% on a year-over-year basis.
The bottom line, on an adjusted basis, is expected to range from a loss of a penny to breakeven. Second-quarter adjusted operating margin is expected to lie between 0% and 2%. The fuel cost per gallon is suggested to be $4.35. Interest expense is expected to be around $35 million.
Delta Air Lines (DAL - Free Report) reported first-quarter 2026 earnings (excluding $1.08 from non-recurring items) of 64 cents per share, which beat the Zacks Consensus Estimate of 61 cents. Earnings increased 39.1% on a year-over-year basis due to high labor costs. Adjusted revenues in the March-end quarter were $14.2 billion, beating the Zacks Consensus Estimate of $14 billion and increasing on a year-over-year basis.
United Airlines Holdings, Inc. (UAL - Free Report) reported solid first-quarter 2026 results wherein the company’s earnings and revenues beat the Zacks Consensus Estimate as well as improved on a year-over-year basis.
UAL's first-quarter 2026 adjusted earnings per share (EPS) (excluding 95 cents from non-recurring items) of $1.19 surpassed the Zacks Consensus Estimate of $1.08 and increased 30.8% on a year-over-year basis. The reported figure lies within the guided range of $1.00-$1.50.
Operating revenues of $14.6 billion outpaced the Zacks Consensus Estimate of $14.3 billion and increased 10.5% year over year. Passenger revenues (which accounted for 90.1% of the top line) increased 11% year over year to $13.1 billion. UAL flights transported 42,486 passengers in the first quarter, up 4.1% year over year.
Cargo revenues fell 1.6% year over year to $422 million. Revenues from other sources rose 10.5% year over year to $1.02 billion.
J.B. Hunt Transport Services (JBHT - Free Report) posted first-quarter 2026 earnings per share of $1.49, up 27% from $1.17 a year ago. The result topped the Zacks Consensus Estimate by $0.04, a 2.8% surprise.
Operating revenues totaled $3.06 billion, rising 4.6% year over year. Revenues beat the consensus mark of $2.94 billion, resulting in a 3.9% surprise, as demand proved resilient across several service offerings, led by Intermodal volume growth and higher revenue per load in select highway-related businesses.
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Allegiant Q1 Earnings & Revenues Surpass Estimates, Improve Y/Y
Key Takeaways
Allegiant Travel Company (ALGT - Free Report) reported impressive first-quarter 2026 results, wherein both earnings and revenues beat the Zacks Consensus Estimate.
Quarterly earnings of $3.77 per share outpaced the Zacks Consensus Estimate of $3.40 and increased year over year. Revenues for the first quarter of 2026 were $732.4 million, surpassing the Zacks Consensus Estimate of $711.9 million and rising 4.8% year over year. Passenger revenues, which accounted for the bulk (91.7%) of the top line, grew 8.9% on a year-over-year basis.
Allegiant Travel Company Price, Consensus and EPS Surprise
Allegiant Travel Company price-consensus-eps-surprise-chart | Allegiant Travel Company Quote
Air traffic (measured in revenue passenger miles) for scheduled services fell 1.4% year over year in the quarter under review. Capacity (measured in available seat miles or ASMs) fell 5.9% from the year-ago number. The load factor (percentage of seats filled by passengers) increased to 84.4% from 80.5% in the reported quarter.
Airline operating costs per available seat miles, excluding fuel, rose 7.1% year over year to 8.64 cents. The average fuel cost per gallon (scheduled) increased 15.2% year over year to $3.03. Total scheduled service passenger revenues per available seat mile rose to 14.31 cents from 12.29 cents a year ago.
Gregory Anderson, chief executive officer of Allegiant, stated, "First-quarter demand was exceptional, particularly during peak periods, driving more than a 16 percent year-over-year increase in TRASM, with total yields up over 20 percent year-over-year. That performance allowed us to set an all-time quarterly record despite a 5.9 percent year-over-year reduction in capacity. We are pleased to see our commercial initiatives taking hold and contributing to our results, including an 8.9 percent increase in co-brand remuneration compared to the prior year.”
Anderson further added, “As we move into the second quarter, leisure demand remains healthy despite geopolitical dynamics that have impacted the broader economy. We have proactively reduced capacity during off-peak times and shortened average stage lengths as we navigate the higher fuel environment. We now expect second-quarter capacity to be down 6.5 percent year-over-year. With regulatory approvals now behind us, and pending shareholder approvals, we expect to close on the acquisition of Sun Country by as early as mid-May.”
ALGT’s Liquidity
As of March 31, 2026, Allegiant’s total unrestricted cash and investments were $933.5 million compared with $838.5 million at the prior-quarter end. Long-term debt and finance lease obligations (net of current maturities and related costs) totaled $1.67 billion compared with $1.68 billion at the end of the prior quarter.
Allegiant’s Guidance for Q2
For the second quarter of 2026, ASM (for scheduled service) is expected to decrease 6.5% on a year-over-year basis. Total system ASM is projected to fall 6.5% on a year-over-year basis.
The bottom line, on an adjusted basis, is expected to range from a loss of a penny to breakeven. Second-quarter adjusted operating margin is expected to lie between 0% and 2%. The fuel cost per gallon is suggested to be $4.35. Interest expense is expected to be around $35 million.
Currently, Allegiant carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Q1 Performances of Other Transportation Companies
Delta Air Lines (DAL - Free Report) reported first-quarter 2026 earnings (excluding $1.08 from non-recurring items) of 64 cents per share, which beat the Zacks Consensus Estimate of 61 cents. Earnings increased 39.1% on a year-over-year basis due to high labor costs. Adjusted revenues in the March-end quarter were $14.2 billion, beating the Zacks Consensus Estimate of $14 billion and increasing on a year-over-year basis.
United Airlines Holdings, Inc. (UAL - Free Report) reported solid first-quarter 2026 results wherein the company’s earnings and revenues beat the Zacks Consensus Estimate as well as improved on a year-over-year basis.
UAL's first-quarter 2026 adjusted earnings per share (EPS) (excluding 95 cents from non-recurring items) of $1.19 surpassed the Zacks Consensus Estimate of $1.08 and increased 30.8% on a year-over-year basis. The reported figure lies within the guided range of $1.00-$1.50.
Operating revenues of $14.6 billion outpaced the Zacks Consensus Estimate of $14.3 billion and increased 10.5% year over year. Passenger revenues (which accounted for 90.1% of the top line) increased 11% year over year to $13.1 billion. UAL flights transported 42,486 passengers in the first quarter, up 4.1% year over year.
Cargo revenues fell 1.6% year over year to $422 million. Revenues from other sources rose 10.5% year over year to $1.02 billion.
J.B. Hunt Transport Services (JBHT - Free Report) posted first-quarter 2026 earnings per share of $1.49, up 27% from $1.17 a year ago. The result topped the Zacks Consensus Estimate by $0.04, a 2.8% surprise.
Operating revenues totaled $3.06 billion, rising 4.6% year over year. Revenues beat the consensus mark of $2.94 billion, resulting in a 3.9% surprise, as demand proved resilient across several service offerings, led by Intermodal volume growth and higher revenue per load in select highway-related businesses.