Allegiant Travel Company (ALGT)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 159,051 | 4,953 | 196,620 | -361,067 | 301,247 |
| Revenue | US$ in thousands | 2,509,860 | 2,301,830 | 1,707,910 | 990,073 | 1,840,960 |
| Pretax margin | 6.34% | 0.22% | 11.51% | -36.47% | 16.36% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $159,051K ÷ $2,509,860K
= 6.34%
The pretax margin of Allegiant Travel has fluctuated significantly over the past five years. In 2023, the company's pretax margin stood at 6.34%, showing an improvement compared to the previous year's mere 0.22%. However, this current margin still falls short of the 11.51% reported in 2021 and the notably low -36.47% in 2020. The peak pretax margin over this period was recorded in 2019 at 16.36%.
The inconsistency in the pretax margin could indicate varying levels of operational efficiency and profitability for Allegiant Travel over the years. It is crucial for the company to analyze the factors contributing to these fluctuations to maintain financial stability and strive for sustainable growth in the future.
Peer comparison
Dec 31, 2023