Allegiant Travel Company (ALGT)

Days of inventory on hand (DOH)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Inventory turnover		—	34.21	34.13	31.71	—	—	—	26.28	—	25.63	30.13	31.99	—	38.34	33.43	36.80	—	45.91	47.91	44.40
DOH	days	—	10.67	10.69	11.51	—	—	—	13.89	—	14.24	12.12	11.41	—	9.52	10.92	9.92	—	7.95	7.62	8.22

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ —
= —

The days of inventory on hand (DOH) ratio for Allegiant Travel Company fluctuated over the period analyzed. In March 2020, Allegiant had 8.22 days of inventory on hand, indicating that it took approximately 8.22 days to sell its inventory. The metric improved slightly to 7.62 days by June 2020, suggesting better inventory management.

There was a slight increase in DOH to 7.95 days by September 2020. Notably, the company did not report inventory data for December 2020. In the subsequent quarters up to March 2021, DOH increased significantly to 9.92 days and further to 10.92 days by June 2021, implying a longer time to sell inventory.

By September 2021, there was a slight improvement as DOH decreased to 9.52 days. However, Allegiant experienced a notable increase in DOH to 11.41 days by March 2022, and a further increase to 12.12 days by June 2022, indicating potential challenges in managing inventory levels efficiently.

The trend continued with a significant spike in DOH to 14.24 days by September 2022, reaching the highest level in the analyzed period. Subsequently, DOH decreased to 13.89 days by March 2023. Unfortunately, no data was available for the following quarters up to December 2023.

In March 2024, the DOH ratio decreased to 11.51 days, suggesting an improvement in inventory management compared to the previous period. By June and September 2024, DOH further decreased to 10.69 days and 10.67 days, respectively.

Overall, the DOH ratio for Allegiant Travel Company showed fluctuations over the period, with periods of both improvement and challenges in managing inventory levels efficiently. It is crucial for the company to effectively monitor and adjust its inventory policies to ensure optimal inventory turnover and profitability.