Allegiant Travel Company (ALGT)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | -308,450 | 159,051 | 4,953 | 196,620 | -361,067 |
| Revenue | US$ in thousands | 2,512,590 | 2,509,860 | 2,301,830 | 1,707,910 | 990,073 |
| Pretax margin | -12.28% | 6.34% | 0.22% | 11.51% | -36.47% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $-308,450K ÷ $2,512,590K
= -12.28%
The pretax margin of Allegiant Travel Company has shown fluctuations over the past five years. In December 31, 2020, the company experienced a negative pretax margin of -36.47%, indicating that its pre-tax profit was significantly lower than its total revenue. This improved significantly by December 31, 2021, with a positive pretax margin of 11.51%, signaling better profitability as a percentage of revenue.
However, by December 31, 2022, the pretax margin declined to 0.22%, which may indicate challenges in maintaining profitability or managing costs effectively. The following year, on December 31, 2023, there was a moderate improvement with a pretax margin of 6.34%, showing some recovery in profitability.
Finally, by December 31, 2024, the pretax margin decreased again to -12.28%, suggesting a return to a loss-making position for the company. Overall, the trend in pretax margin for Allegiant Travel Company indicates variability in profitability levels and potential challenges in sustaining consistent positive margins.
Peer comparison
Dec 31, 2024