Allegiant Travel Company (ALGT)

Pretax margin

		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
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	159,051	226,695	200,452	89,965	4,980	-45,724	60,669	177,382	196,619	142,255	47,316	-221,671	-361,067	-243,199	-141,562	96,643	301,288	275,105	232,591	203,845
Revenue (ttm)	US$ in thousands	2,509,858	2,510,405	2,505,371	2,451,408	2,301,830	2,187,165	2,086,309	1,928,895	1,707,910	1,457,587	1,199,102	860,016	990,073	1,204,585	1,440,110	1,798,522	1,840,963	1,792,004	1,748,604	1,693,625
Pretax margin		6.34%	9.03%	8.00%	3.67%	0.22%	-2.09%	2.91%	9.20%	11.51%	9.76%	3.95%	-25.78%	-36.47%	-20.19%	-9.83%	5.37%	16.37%	15.35%	13.30%	12.04%

December 31, 2023 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $159,051K ÷ $2,509,858K
= 6.34%

Allegiant Travel's pretax margin experienced fluctuations over the past eight quarters. In Q4 2023, the pretax margin was 6.34%, showing a decline from the previous quarter's 9.03%. Although Q3 and Q2 2023 reported relatively high pretax margins of 9.03% and 8.00% respectively, Q1 2023 saw a dip to 3.67%. In comparison, the pretax margin was remarkably low in Q4 2022 at 0.22%, which marked a significant improvement from the negative pretax margin reported in Q3 2022. Furthermore, Q1 2022 and Q2 2022 exhibited strong pretax margins of 9.20% and 2.91% respectively.

Overall, Allegiant Travel's pretax margin has been volatile, with fluctuations reflecting changes in the company's profitability performance. It is crucial for the company to closely monitor and manage its operational efficiency and cost structure to sustain and improve its pretax margin in the future quarters.