Allegiant Air and the Transport Workers Union of America, AFL-CIO Local 577 announced they have reached a tentative agreement on all remaining open issues for the successor to the parties’ first collective bargaining agreement.
The parties’ first collective bargaining agreement became amendable on December 21, 2022, and Allegiant and the TWU were able to secure the new five-year tentative agreement after just over 10 months of bargaining by building on their strong positive working relationship.
The Tentative Agreement covering Allegiant’s nearly 1,900 flight attendants includes significant increases to wages and deadhead pay, and includes improvements to retirement benefits, sick accrual, bonus flight hour calculations, vacation pay, annual vacation allocation and flex time. Additionally, there are meaningful quality of life improvements in scheduling, hours of service and leave of absence, and the parties have agreed to introduce a minimum day pay and the ability for flight attendants to earn commission from sales of buy on board items.
The deal still requires a ratification vote by the union’s full membership, which is expected to open later this month.
Packages Include: Nonstop Airfare, Seat Selection, Checked Bag, Carry-on, Priority Boarding, Hotel Stay at 3+ Star Hotel, & Game Day Seats at Allegiant Stadium:
Allegiant Air will be taking all five gates at the new terminal at Sarasota-Bradenton International Airport (SRQ). The expansion is currently under construction.
Allegiant Travel Company (Allegiant Air) has formally unveiled a special addition to its fleet: a vibrant, one-of-a-kind Insomniac-themed livery designed for Electronic Dance Music (EDM) fans and beyond. The aircraft was painted earlier this year.
The new livery, displayed on the fuselage and tail of an Airbus A320 (N198NV), evokes a festive vibe, created in the spirit of the world’s largest dance music festival, Electric Daisy Carnival (EDC), to add an extra layer of excitement for all passengers to enjoy.
Allegiant, the official airline of Live Nation, teamed up with Insomniac to combine signature brand elements in the stunning design, celebrating a strategic partnership that empowers the airline’s customers to truly live the Nonstop Life. The livery arrives as demand for live events is at an all-time high. More customers across Allegiant’s network say that concerts and festivals spur their leisure travel planning.
Designers added a colorful splash of pink, purple and orange to Allegiant’s flowing ribbon encircling the fuselage and sunburst tail. Emblazoned on the sides of the plane are Insomniac and EDC’s internationally-recognized emblems, along with Insomniac’s logo painted on the engine cowlings – symbolizing the incredible power of its fan base.
Insomniac, celebrating its 30th anniversary this year, is the world’s leading live experience creator. Founded in 1993, Insomniac produces 10,000 concerts, club nights and festivals for seven million attendees annually across the globe. The company’s premier annual event, Electric Daisy Carnival Las Vegas, is the world’s largest dance music festival and attracts more than 525,000 fans over three days each May.
The Insomniac-themed livery joins Allegiant’s all-Airbus fleet, carrying scheduled passengers to destinations across the airline’s network.
Allegiant Air Airbus A320-214 WL N190NV (msn 6669) BOS (Fred Freketic). Image: 960463.
Allegiant Travel Company (Allegiant Air) today reported the following financial results for the first quarter 2023, as well as comparisons to the prior year:
Consolidated
Three Months Ended March 31,
Percent Change
(unaudited) (in millions, except per share amounts)
2023
2022
YoY
Total operating revenue
$ 649.7
$ 500.1
29.9 %
Total operating expense
554.9
492.9
12.6 %
Operating income
94.8
7.2
1,216.7 %
Income (loss) before income taxes
74.4
(10.6)
801.9 %
Net income (loss)
56.1
(7.9)
810.1 %
Diluted earnings (loss) per share
3.09
(0.44)
802.3 %
Sunseeker special charges, net of recovery
(1.6)
—
N/A
Diluted earnings per share excluding recovery of Sunseeker special charges(1)(4)
3.04
(0.44)
790.9 %
Airline only
Three Months Ended March 31,
Percent Change(2)
(unaudited) (in millions, except per share amounts)
2023
2022
YoY
Airline operating revenue (1)
$ 649.7
$ 500.1
29.9 %
Airline operating expense (1)
552.1
489.9
12.7 %
Airline operating income(1)
97.6
10.2
856.9 %
Airline income (loss) before income taxes (1)
78.9
(5.6)
1,508.9 %
Airline net income (loss) (1)(3)
59.9
(4.3)
1,493.0 %
Airline operating margin
15.0 %
2.0 %
13.0 %
Airline diluted earnings (loss) per share(1)
3.30
(0.24)
1,475.0 %
(1)
Denotes a non-GAAP financial measure. Refer to the Non-GAAP Presentation section within this document for further information and for calculation of per share figures
(2)
Except Airline Operating Margin, which is percentage point change
(3)
Utilizing an effective tax rate of 24.0% for 2023 and 23.6% for 2022
(4)
Adjusted to exclude insurance recoveries from property damage to Sunseeker Resort
“I am happy to report we delivered strong financial results during the first quarter with diluted earnings per share of $3.09,” stated John Redmond, CEO of Allegiant Travel Company. “The team worked tirelessly to ensure operational integrity, and our controllable completion of 99.9 percent for the quarter is a testament to their efforts. Running a safe, reliable operation is a critical component to our success, and I could not be prouder of the team’s performance.
“Demand remained strong throughout the quarter resulting in total operating revenue of $650 million, a 30 percent increase year-over-year. Notably, we see continued momentum in total ancillary per passenger, finishing the quarter at $75.19 per passenger, the highest quarterly result in our history. The Allways rewards credit card helped elevate this number with record new cardholder acquisitions and increased cardholder spend during the quarter. Enhanced technology, an expanded roll-out of Allegiant Extra in the fleet, and the opening of Sunseeker Resort later this year should act as tailwinds for this number in the coming years.
“Turning to our 2023 outlook, we have updated guidance and estimate a full-year, airline-only earnings per share of roughly $11. The increase is driven by a reduction in our estimated fuel cost per gallon offset slightly by a two-and-a-half point reduction in full-year capacity. The industry continues to experience challenges from supply chain delays to ATC constraints that present the most stress during peak, high demand periods. We are positioning our forward plan to achieve a full-year, controllable completion of at least 99.5 percent. And we will continue to monitor and respond as we see appropriate to achieve our goal. Despite the tweaks to capacity, booking data continues to reflect a strong demand environment, particularly during peak summer travel periods. We are closely monitoring macro-economic trends, but we have not observed a change in booking behavior or peak leisure demand.
“Finally, we remain on track to open Sunseeker Resort in mid-October. Although we are still working through insurance claims related to Hurricane Ian, we have better line of sight regarding completion and final budget. Given inflationary pressures and supply chain issues, we expect the final capital expenditure budget to be $695 million, which is inclusive of Aileron Golf Club. In early April, we unveiled the 20 original, world-class food and beverage offerings, which will be available on site. The team continues to attract high-quality group business with over $12 million in contracted future bookings. As we enter the final stages of construction, we could not be happier with how the property is progressing.”
First Quarter 2023 Results
Income before income tax of $74.4 million, yielding a pre-tax margin of 11.5 percent
Airline-only income before income tax(1) of $78.9 million, yielding a pre-tax margin of 12.1 percent
Operating income of $94.8 million, yielding an operating margin of 14.6 percent
Airline-only operating income(1) of $97.6 million, yielding an airline-only operating margin of 15.0 percent
Consolidated EBITDA(1) of $149.5 million, yielding an EBITDA margin of 23.0 percent
Airline-only EBITDA(1) of $152.2 million, a 23.4 percent margin
Total operating revenue was $649.7 million, up 29.9 percent over prior year
Total fixed fee contracts revenue of $14.1 million, the highest first-quarter total in company history
TRASM of 13.89 cents, up 28.8 percent year-over-year
Load factor of 85.8 percent, a 6.9 point improvement year-over-year, among the highest in the industry
Total average fare of $154.12, up 17.5 percent year-over-year, the highest quarterly average fare in company history
Total average ancillary fare of $75.19, up 10.7 percent as compared to 2022 driven by overall strength in core products and promising early results related to the Allegiant Extra rollout
Acquired over 46 thousand new Allways rewards credit card holders during the quarter, the highest quarterly acquisition in program history
Received $28 million in remuneration during the quarter
Airline-only Operating CASM, excluding fuel, of 7.75 cents, up 9.8 percent year-over-year
Allegiant recently named to the Forbes’ America’s Best Midsize Employers for 2023, Newsweek’s America’s Greatest Workplaces for Diversity 2023, and Fortune’s America’s Most Innovative Companies 2023 lists
(1)
Denotes a non-GAAP financial measure. Refer to the Non-GAAP Presentation section within this document for further information and for calculation of per share figures
Balance Sheet, Cash and Liquidity
Total available liquidity at March 31, 2023 of $1.5 billion, which includes $1.1 billion in cash and investments, and $412.2 million in undrawn revolving credit facilities and PDP facilities
Repurchased 118 thousand shares during the first quarter at an average share price of $100.33
$215.4 million in cash from operations during first quarter 2023, the highest first quarter in company history
Total debt at March 31, 2023 was $2.1 billion
Net debt at March 31, 2023 was $1.0 billion
Debt principal payments of $51.5 million during the first quarter
Air traffic liability at March 31, 2023 was $479.5 million
Airline Capital Expenditures
First quarter capital expenditures of $92 million, which includes $56 million for aircraft purchases and inductions, pre-delivery deposits, and other related costs, and $36 million in other airline capital expenditures
First quarter deferred heavy maintenance spend was $15 million
Sunseeker Resort Charlotte Harbor
Total capital expenditures(1) as of March 31, 2023 were $571 million
First quarter capital expenditures(1) were $82 million
Previously recorded special charges were reduced by $1.6 million for approved insurance net recoveries related to outstanding insurance claims at Sunseeker Resort
(1)
Total capital expenditures is inclusive of Sunseeker Resort and Aileron Golf Club. This number excludes capitalized interest and operating expenses. This number also excludes impairments related to COVID and insurance events
Guidance, subject to revision
Full-year 2023 guidance
Previous
Current
System ASMs – year over year change
2 to 6%
0 to 3%
Scheduled service ASMs – year over year change
2 to 6%
0 to 3%
Fuel cost per gallon
$ 3.60
$ 3.00
Available seat miles (ASMs)/gallon
~84
~84
Depreciation expense (millions)
$230 to $240
$230 to $240
Interest expense (millions)
$150 to $160
$150 to $160
Capitalized interest (1) (millions)
($40) to ($50)
($35) to ($45)
Interest income (millions)
$30 – $40
$35 to $45
Earnings per share – airline only(2)
$5.00 – $9.00
$9.00 – $13.00
Loss per share – Sunseeker (3)
N/A
~($1.25)
Airline CAPEX
Aircraft, engines, induction costs, and pre-delivery deposits (millions)(4)
$550 to $570
$550 to $570
Capitalized deferred heavy maintenance (millions)
$50 to $60
$50 to $60
Other airline capital expenditures (millions)
$130 to $150
$130 to $150
Recurring principal payments (millions)
$175 to $185
$175 to $185
Sunseeker Resort Charlotte Harbor Project (millions)
Total projected capital expenditures (5)
$618
$695
Capital expenditures funded or expected to be funded by Allegiant
$345
Project debt incurred through March 31, 2023
$350
(1)
Includes capitalized interest related to Sunseeker as well as on pre-delivery deposits on new aircraft
(2)
Earnings per share calculation is airline only. It includes accruals for increases in pilot and flight attendant compensation beginning in May. Actual results will differ based on economic terms agreed upon and the timing of the collective bargaining agreements. These differences may be material
(3)
Excludes recoveries to be received related to business interruption insurance claim
(4)
Excludes capitalized interest related to pre-delivery deposits on new aircraft
(5)
Total projected capital expenditures does not reflect the impairment or special charges related to COVID or insurance claims. Previous budget of $618 million did not include expenditures related to Aileron Golf Club. Excludes amounts to remediate physical damage to the property resulting from Hurricane Ian, or other subsequent insurance events
Aircraft Fleet Plan by End of Period
Aircraft – (seats per AC)
1Q23
2Q23
3Q23
YE23
A319 (156 seats)
35
35
35
35
A320 (177 seats)
19
19
19
19
A320 (180-186 seats)
70
72
73
73
Total
124
126
127
127
The table above is provided based on the company’s current plans and is subject to change. The numbers exclude aircraft expected to be delivered before the end of 2023 for revenue service beginning in 2024
Top Copyright Photo: Allegiant Air Airbus A320-214 WL N190NV (msn 6669) BOS (Fred Freketic). Image: 960463.
Allegiant Travel Company has announced the launch of its Accelerate Pilot Pathway, a new program for university students who want to become pilots at a major airline.
Allegiant is partnering with universities that have a Part 141 flight training program – including Purdue University, Kent State University, and Western Michigan University – to offer the Accelerate Pilot Pathway to students who are sophomores, juniors and seniors. Cadets who enroll in the program will be assigned an Allegiant mentor to guide them through their educational journey.
Photo: Allegiant Air.
The aviation industry is experiencing a flight crew staffing shortage at a time when demand for air travel is at a historic high. By providing mentorship, conditional employment as a first officer for Allegiant, and assistance with regulatory credentials, Allegiant hopes the Accelerate Pilot Pathway will streamline the process new pilots face when transitioning from flight school to a major commercial carrier.
“We are thrilled to launch the Accelerate Pilot Pathway program and partner with universities across the country,” said Tyler Hollingsworth, Allegiant’s vice president of flight crew services. “This program provides an excellent opportunity for talented and motivated students to pursue their dream of becoming a first officer with a major airline without the need to fly for a regional carrier. We look forward to welcoming our future first officers and supporting them through their training and career with Allegiant.”
Upon entering their senior year, students may be hired on as a cadet and provided a conditional job offer as an Allegiant first officer. Cadets will enjoy Allegiant employee benefits such as pass travel on Allegiant flights, participation in visits to Allegiant’s headquarters in Las Vegas and access to Allegiant’s training centers. Once a cadet reaches their required hours of flight training, Allegiant will sponsor their attendance in an Airline Transport Pilot Certification course, and upon completion, will join Allegiant as a first officer.
The program kicked off at Purdue University earlier this month, and Allegiant has already begun recruiting future first officers from the university’s aviation program. Partnerships with other universities with established flight training programs are being currently being forged, and will grow through the summer.
Allegiant Air unveiled a special addition to its fleet this week: a one-of-a-kind livery designed by – and for – the airline’s employees.
N197NV
The new design, displayed on the tail and fuselage of an Airbus A320 (N197NV), is one of only six Allegiant aircraft featuring a special livery.
It is not often that Allegiant alters its famous sunburst livery, CEO John Redmond told a crowd of employees during a ceremony at Punta Gorda Airport in Florida Tuesday. But the company wanted to honor employees in a very public and permanent way.
“We wanted to find a way to show the world that our employees are the lifeblood of Allegiant,” Redmond said. “This new livery is more than just a coat of paint, it’s a symbol of the collective strength and resilience of being Allegiant Proud. We hope it serves as a reminder of the incredible things our employees can accomplish when we work together.”
The livery is not only dedicated to Allegiant employees; the design was inspired by them. Employees were asked to submit words describing what they loved about Allegiant. Dozens of their choices, including “bold,” “amazing,” “limitless” and more, adorn the aircraft’s fuselage, surrounding Allegiant’s motto of “Together we fly.”
The aircraft will be based in Punta Gorda, a community that endured the full force of Hurricane Ian when it hit Southwest Florida in September.
Charlotte County, where Punta Gorda is located, is an important region in Allegiant’s network. Millions of passengers have flown Allegiant since the airline started service at Punta Gorda in 2009. Last year, over 1.8 million passengers traveled to and from the area via the airline. Nearby, Allegiant is building Sunseeker Charlotte Harbor, its first resort hotel. It is scheduled to open later this year.
Allegiant Air Airbus A320-214 N289NV (msn 4574) AZA (Jarrod Wilkening). Image: 957851.
Allegiant Air has announced eight new nonstop routes to some of the nation’s premier vacation destinations.
The routes, launching during this year’s summer and fall travel seasons, will connect communities across the country to some of the most popular leisure hot spots, including Portland, Las Vegas, Myrtle Beach, Austin, Phoenix, Asheville, Chicago and Los Angeles.
Allegiant Air crew member (Allegiant Air)
The new route to Denver International Airport (DEN):
Allentown, Penn. via Lehigh Valley International Airport (ABE) – beginning June 15, 2023with one-way fares as low as $59.*
The new seasonal route to Portland International Airport (PDX):
Appleton, WI. via Appleton International Airport (ATW) – beginning June 15, 2023 with one-way fares as low as $69.*
The new seasonal route to Austin-Bergstrom International Airport (AUS):
Omaha, Neb. via Omaha Airport (OMA) – beginning June 15, 2023 with one-way fares as low as $49.*
The new route to Phoenix Sky Harbor International Airport (PHX):
Asheville, North Carolina via Asheville Regional Airport (AVL) – beginning May 26, 2023with one-way fares as low as $69.*
The new seasonal route to Myrtle Beach International Airport (MYR)
Akron, Ohio via Akron-Canton Airport (CAK) – beginning June 1, 2023 with one-way fares as low as $39.*
The new route to Harry Reid International Airport (LAS):
Lexington, Ky. via Blue Grass Airport (LEX) – beginning June 15, 2023 with one-way fares as low as $69.*
The new route to Chicago Midway International Airport (MDW):
Provo, Utah via Provo Airport (PVU) – beginning June 16, 2023 with one-way fares as low as $59.*
The new seasonal route to Los Angeles International Airport (LAX):
Sioux Falls, S.D. via Sioux Falls Regional Airport (FSD) – beginning June 14, 2023 with one-way fares as low as $59.*
The new nonstop routes will operate twice weekly.
Top Copyright Photo: Allegiant Air Airbus A320-214 N289NV (msn 4574) AZA (Jarrod Wilkening). Image: 957851.
Allegiant Travel Company (Allegiant Air) reported the following financial results for the fourth quarter and full-year 2022, as well as comparisons to prior years:
Consolidated
Three Months Ended December 31,
Percent Change
(unaudited) (in millions, except per share amounts)
2022
2021
2019
YoY
Yo3Y
Total operating expense
522.4
463.6
368.4
12.7
41.8
Operating income
89.2
33.3
92.7
167.6
(3.7)
Income before income taxes
65.9
15.1
78.6
334.7
(16.3)
Net income
52.5
10.7
60.5
390.3
(13.3)
Diluted earnings per share
2.87
0.59
3.72
386.4
(22.8)
Twelve Months Ended December 31,
Percent Change
(unaudited) (in millions, except per share amounts)
2022
2021
2019
YoY
Yo3Y
Total operating revenue
$ 2,301.8
$ 1,707.9
$ 1,841.0
34.8 %
25.0 %
Total operating expense
2,210.2
1,444.8
1,477.0
53.0
49.6
Operating income
91.6
263.1
364.0
(65.2)
(74.8)
Income before income taxes
5.0
196.6
301.2
(97.5)
(98.4)
Net income
2.5
151.9
232.1
(98.4)
(98.9)
Diluted earnings per share
0.14
8.68
14.26
(98.4)
(99.0)
Sunseeker special charges
34.0
—
—
NM
NM
Diluted earnings per share excluding Sunseeker special charges (2) (3)
$ 1.65
$ 8.68
$ 14.26
(81.0)
(88.4)
(1)
Recognition bonus awarded despite not meeting internal profit-sharing targets
(2)
Denotes a non-GAAP financial measure. Refer to the Non-GAAP Presentation section within this document for further information and for calculation of per share figures
(3)
Adjusted to exclude estimated loss from property damage to Sunseeker Resort related to Hurricane Ian and two subsequent insurance events that occurred during the quarter, offset by insurance recoveries recorded to date. The amount of the losses will continue to be offset in future periods by amounts to be recovered under the company’s insurance policies. In 2023, we expect to receive insurance proceeds approximating the losses accrued to date
“We finished the quarter with an earnings per share, excluding employee recognition bonus and Sunseeker special charges of $3.17,” stated John Redmond, CEO of Allegiant Travel Company. “Despite an uptick in weather cancellations late in the quarter, our total operating revenue was up 32.6 percent year over three-year, more than five points above the mid-point of our guidance. The demand environment continues to surpass expectations. Fourth quarter TRASM(1) was 14.03 cents, the highest quarterly TRASM(1) in company history, on scheduled service growth of 11.9 percent. This revenue strength coupled with better than expected cost performance and a more favorable fuel environment resulted in an adjusted(2) operating margin of nearly 16 percent for the quarter.
“Due to a challenging operating environment at the onset of 2022, we committed to focusing on operational integrity and ensuring safe, reliable travel for our customers. We took action to more appropriately schedule the airline to meet the challenges of this environment. By doing this, we increased our controllable completion by over two points during the last six months of 2022 as compared with the first half of the year. This equated to more than $70 million in irregular operations savings during the back-half of the year, when factoring in lost revenue, passenger compensation, and other costs related to the cancellations. As we head into 2023, we are continuing to take a more conservative approach to growth. We anticipate growing capacity roughly four percent, with much of that happening in the fourth quarter. This slow and concerted growth profile should drive irregular operations costs out of the business and prioritize operational reliability, helping to deliver an estimated $7 in earnings per share during 2023.
“2023 will be transformational for the company. We will begin taking delivery of our Boeing MAX 737 fleet during the fourth quarter, with deliveries picking up in earnest, early 2024. The operating efficiency and reliability of this aircraft will help bolster profits for many years to come. Additionally, significant progress has been made towards the completion of Sunseeker Resort at Charlotte Harbor. After delays caused by Hurricane Ian, we have fully resumed construction activities at the property with most of the remediation related to the hurricane behind us. We continue to expect the property will open late 2023.
“To further support these strategic initiatives, we recently announced several senior leadership changes within the organization. These changes will bring vast experience to the respective roles. I am confident these leaders will contribute to the successful execution of these initiatives. Allegiant has prided itself over the years with having a standout management team, and these changes further support that notion.
“Lastly, I would like to thank our team members throughout the network for their efforts this past year. 2022 was fraught with challenges. Despite these challenges, our team members consistently put forth their best efforts to ensure our customers made it safely to their destinations. We truly have the best in the business. I’m excited for what is on the horizon in 2023.”
(1)
Total passenger revenue per available seat mile
(2)
Adjusted operating margin excludes the 2022 employee recognition bonus and Sunseeker special charges
Fourth Quarter 2022 Results
Income before income tax (1)(2)(3) of $73.8 million, excluding 2022 employee recognition bonus and Sunseeker special charges, yielding a pre-tax margin of 12.1 percent
Sunseeker special charges include $18 million of recorded insurance recoveries offset by $17 million in additional losses related to Hurricane Ian and subsequent insurance events during the fourth quarter
Operating income, excluding 2022 recognition bonus and Sunseeker special charges (1)(2)(3), of $97.1 million, yielding an operating margin of 15.9 percent
Consolidated EBITDA, excluding recognition bonus and Sunseeker special charges (1)(2)(3),of $149.3 million, yielding an EBITDA margin of 24.4 percent
Total operating revenue was $611.5 million, up 32.6% percent year over three-year
TRASM of 14.03 cents, the highest quarterly TRASM in company history, up 21.3 percent year over three-year on scheduled service capacity increases of 11.9 percent
Load factor of 85.3 percent, a 3.2 percentage point increase from the fourth quarter of 2019
December load factor of 84.7 percent, the highest December since 2014
Total average fare of $151.08, up 22.6 percent from the fourth quarter of 2019
Total average ancillary of $72.94, up 25.9 percent from 2019, driven predominantly by strength in bundled ancillary and the Allways Allegiant World Mastercard
Acquired over 35 thousand new Allways Allegiant World Mastercard holders during the quarter
Operating CASM, excluding fuel, 2022 employee recognition bonus, and Sunseeker special charges (1)(2)(3), of 7.56 cents, up 12.2 percent when compared with the fourth quarter of 2019
Full-Year 2022 Results
Income before income tax (1)(2)(3) of $74.0 million, excluding 2022 recognition bonus and Sunseeker special charges, yielding a 3.2 percent pre-tax margin
Total operating revenue of $2.3 billion, up 25.0 percent year over three-year, on a total system capacity increase of 13.9 percent
Full-year TRASM was 12.50 cents, up 10.8 percent year over three-year on scheduled services capacity increases of 15.2 percent
Acquired over 150 thousand new Allegiant World Mastercard® holders during the year, with over 410 thousand active cardholders at year end
Full-year total remuneration of over $100 million
Added over 2 million Allegiant Allways Rewards® members throughout 2022, with more than 15 million total members at year end
Operating CASM, excluding fuel, 2022 employee recognition bonus, and Sunseeker special charges (1)(2)(3), of 7.20 cents, up 11.1 percent as compared with full-year 2019
Published the company’s inaugural sustainability report
(1)
Recognition bonus awarded despite not meeting internal profit-sharing targets
(2)
Denotes a non-GAAP financial measure. Refer to the Non-GAAP Presentation section within this document for further information and for calculation of per share figures
(3)
Adjusted to exclude estimated loss from property damage to Sunseeker Resort related to Hurricane Ian and two subsequent insurance events that occurred during the quarter, offset by insurance recoveries recorded to date. The amount of the losses will continue to be offset in future periods by amounts to be recovered under the company’s insurance policies. In 2023, we expect to receive insurance proceeds approximating the losses accrued to date
Balance Sheet, Cash and Liquidity
Total available liquidity at December 31, 2022 of $1.4 billion, which includes $1.0 billion in cash and investments, and $395 million in undrawn revolving credit facilities and PDP facilities
Board of directors increased share repurchase authority to up to $100 million total
Repurchased 378 thousand shares during the fourth quarter at an average share price of $78.94
$303.1 million in cash from operations during 2022
Total debt at December 31, 2022 was $2.1 billion
Net debt at December 31, 2022 was $1.1 billion
Debt principal payments of $165.7 million during 2022, which excludes $535.9 million related to refinancing the Term Loan B in August of 2022
Air traffic liability at December 31, 2022 was $379.5 million
Airline Capital Expenditures
Fourth quarter capital expenditures of $51 million, which includes $22 million for aircraft purchases and inductions, pre-delivery deposits, and other related costs, and $29 million in other airline capital expenditures
Fourth quarter deferred heavy maintenance spend was $23 million
Full-year 2022 capital expenditures are $283 million, which includes $164 million for aircraft purchases and inductions, pre-delivery deposits, and other related costs, and $119 million in other airline capital expenditures
Full-year 2022 deferred heavy maintenance spend was $55 million
Sunseeker Resort Charlotte Harbor
Total project spend excluding capitalized interest as of December 31, 2022 was $467 millionwith $279 million funded by debt and the remaining $188 million funded by Allegiant
Fourth quarter capital expenditures were $44 million relating to Sunseeker Resort Charlotte Harbor, $8 million related to capitalized interest and $8 million related to other Sunseeker capital expenditures
Recorded an additional $17 million special charge during the quarter related to estimated property damages at Sunseeker Resort resulting from Hurricane Ian and two subsequent events that occurred on the property during the fourth quarter
The special charge was offset by $18 million in insurance recoveries recorded
Aircraft Fleet Plan by End of Period
Aircraft – (seats per AC)
YE22
1Q23
2Q23
3Q23
YE23
A319 (156 seats)
35
35
35
35
35
A320 (177 seats)
21
19
19
19
19
A320 (180-186 seats)
65
70
72
73
73
Total
121
124
126
127
127
The table above is provided based on the company’s current plans and is subject to change. The numbers exclude aircraft expected to be delivered during 2023 for revenue service beginning in 2024
Top Copyright Photo: Allegiant Air Airbus A319-111 N338NV (msn 2378) LAS (Jay Selman). Image: 404257.
