Allegiant Travel Company (ALGT)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 220,981 | 91,646 | 263,075 | -280,985 | 363,950 |
| Revenue | US$ in thousands | 2,509,860 | 2,301,830 | 1,707,910 | 990,073 | 1,840,960 |
| Operating profit margin | 8.80% | 3.98% | 15.40% | -28.38% | 19.77% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $220,981K ÷ $2,509,860K
= 8.80%
Allegiant Travel's operating profit margin has shown fluctuating trends over the past five years. The margin increased significantly from -43.78% in 2020 to 19.77% in 2019, indicating a strong recovery and improvement in profitability. However, in 2022 and 2021, the operating profit margin decreased to 5.49% and 4.39%, respectively, suggesting a decline in profitability compared to the previous year.
In 2023, Allegiant Travel managed to further improve its operating profit margin to 9.95%, which shows a positive trend towards increased profitability. It is essential for the company to continue monitoring and managing its operating expenses effectively to sustain and enhance its profitability in the future.
Peer comparison
Dec 31, 2023