Allegiant Travel Company (ALGT)

Current ratio

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Total current assets	US$ in thousands	1,001,130	1,143,490	1,208,500	1,300,100	1,274,270	1,197,550	1,402,440	1,410,490	1,338,410	1,320,760	1,456,920	999,688	943,633	951,203	937,487	730,797	562,221	525,427	780,247	633,946
Total current liabilities	US$ in thousands	1,212,310	1,049,700	1,067,510	1,117,260	869,831	910,089	918,236	888,216	663,045	692,774	838,107	742,340	689,345	776,894	859,037	743,904	612,584	549,253	607,153	595,033
Current ratio		0.83	1.09	1.13	1.16	1.46	1.32	1.53	1.59	2.02	1.91	1.74	1.35	1.37	1.22	1.09	0.98	0.92	0.96	1.29	1.07

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,001,130K ÷ $1,212,310K
= 0.83

Allegiant Travel's current ratio has shown fluctuations over the past 8 quarters. The current ratio measures the company's ability to meet its short-term financial obligations with its current assets.

In Q4 2023, the current ratio stood at 0.83, indicating that Allegiant Travel may have difficulty covering its short-term liabilities with its current assets. This is a significant decrease compared to the previous quarter, Q3 2023, where the current ratio was 1.09.

Looking at the trend over the past year, there has been a general downward trend in the current ratio from Q1 2022 to Q4 2023. In Q1 2022, the current ratio was 1.59, showing a gradual decline in the company's ability to cover its short-term obligations with its current assets.

It is important for Allegiant Travel to closely monitor its current ratio and take appropriate measures to improve it, such as increasing current assets or reducing current liabilities, to ensure financial stability and liquidity in the short term.