Here are 1-3 brief analogies for Allegiant Travel (ALGT):

• Spirit Airlines for vacation packages
• Costco Travel that owns its own airline

• Scheduled Air Transportation: Provides low-cost, non-stop passenger air travel, primarily connecting smaller cities to popular leisure destinations.
• Vacation Packages: Offers bundled travel services, including airfare, hotel accommodations, rental cars, and attraction tickets, for complete leisure trips.
• Resort Operations: Manages and operates the Sunseeker Resort, a comprehensive leisure destination offering lodging, dining, and entertainment.

Allegiant Travel (ALGT) sells primarily to individuals rather than other companies. As an ultra-low-cost airline and travel package provider, its major customers fall into the following categories:

1. Leisure Travelers: This is Allegiant's core customer base. These individuals are typically planning vacations, weekend getaways, or family visits, often to popular leisure destinations like Orlando, Las Vegas, Phoenix, or various cities in Florida and California. They are often price-sensitive but also seek convenience and value, which Allegiant aims to provide through direct flights and bundled travel packages (air, hotel, car).

2. Travelers from Underserved and Smaller Markets: Allegiant strategically operates out of smaller, non-hub airports that often have limited direct flight options from major airlines to popular leisure destinations. Customers in these markets value the direct, non-stop service Allegiant provides, which saves them time and often money compared to connecting flights through larger hubs.

3. Value-Conscious Travelers: Allegiant's ultra-low-cost model, characterized by unbundled services where customers pay only for what they need, appeals to individuals who prioritize the lowest possible fare. These travelers are often willing to forgo traditional airline amenities for a significantly lower price point.

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Gregory C. Anderson Chief Executive Officer and President

Gregory C. Anderson was promoted to Chief Executive Officer in September 2024, and has served as President since August 2022. He was Allegiant's Chief Financial Officer from April 2019 until January 2023 and Executive Vice President from April 2019 to August 2022. Previously, he held roles as Principal Accounting Officer from 2015 to January 2021 and Senior Vice President, Treasury from 2017 to 2019. Mr. Anderson joined Allegiant's accounting department in 2010. Prior to joining Allegiant, he worked in corporate accounting for U.S. Airways from May 2009 to January 2010 and in public accounting for Ernst & Young. He is a certified public accountant.

Robert J. Neal Senior Vice President, Chief Financial Officer

Robert J. Neal was appointed Senior Vice President and Chief Financial Officer in January 2023, succeeding Greg Anderson in the CFO role. He oversees various finance areas including treasury and corporate finance, fleet planning, accounting, tax, financial planning and analysis, procurement, and investor relations. Mr. Neal has led numerous capital raise initiatives and is recognized as an expert in the used aircraft market. He has served in progressive roles with Allegiant since 2007.

Maurice J. Gallagher, Jr. Executive Chairman of the Board

Maurice J. Gallagher, Jr. is the founder of Allegiant Travel Company and has been actively involved in its management since becoming the majority owner and joining the board in 2001. He served as CEO from 2003 until September 2024 and was designated Chairman of the Board in 2006. Prior to Allegiant, Mr. Gallagher co-founded and invested in WestAir, which operated from 1978 to 1992, and ValuJet Airlines, Inc. (the predecessor of AirTran Airways, later acquired by Southwest Airlines), serving as an officer and director of ValuJet from 1993 to 1997. He also founded and held leadership positions in several non-aviation businesses, including Mpower Communications Corp., a telecommunications company that went public in 1998, and companies in adaptive learning fields.

Drew A. Wells Senior Vice President, Chief Commercial Officer

Drew A. Wells was promoted to Chief Commercial Officer in September 2024. He previously served as Senior Vice President, Revenue. Mr. Wells has been with Allegiant for over ten years, working on finance and fleet teams before joining the revenue team. He has been a key architect in network planning, leading revenue and network teams to support profitable growth.

Tyler J. Hollingsworth Senior Vice President, Chief Operating Officer

Tyler J. Hollingsworth was appointed interim Chief Operating Officer in 2025. In this role, he is responsible for supervising and managing the airline’s day-to-day operations and collaborating with the leadership team on strategic goals. Mr. Hollingsworth began his career as a pilot for Allegiant in 2010, flying until 2014, before transitioning to management as Director of Training.

The emergence and expansion of new ultra-low-cost carriers (ULCCs) such as Breeze Airways and Avelo Airlines. These airlines are directly targeting similar underserved leisure routes from smaller airports, which is Allegiant's core market. This intensified competition could erode Allegiant's market share and pricing power, especially given that some of these new entrants utilize newer, potentially more fuel-efficient aircraft.

Allegiant Travel Company (ALGT) is poised for future revenue growth over the next 2-3 years, driven by several strategic initiatives and an anticipated improvement in the broader travel market. Key drivers include expanded airline operations, enhanced ancillary revenue streams, fleet modernization, a recovering leisure travel demand, and the resolution of the Sunseeker Resort's financial drag.

1. Capacity Growth and Increased Aircraft Utilization: Allegiant plans a significant increase in its airline capacity, expecting a 17% rise in 2025. This growth is anticipated to be accretive to earnings, leveraging existing infrastructure for efficient expansion and resulting in a sizable reduction in unit costs. The company aims to achieve this through higher aircraft utilization, particularly during peak leisure demand periods, targeting 2019 utilization levels in 2025. Allegiant has also identified over 1,400 potential new domestic routes, predominantly in underserved communities, signaling considerable opportunities for network expansion.

2. Ancillary Revenue Growth and Enhanced Commercial Offerings: A significant portion of Allegiant's revenue growth is expected to come from its high-margin ancillary services and new commercial initiatives. The company anticipates driving incremental revenue through enhanced Navitaire capabilities and expanding its "Allegiant Extra" premium product, which is projected to be deployed on 70% of its fleet by early 2026, up from 50% at the start of 2025. Furthermore, remuneration from the Allegiant credit card program is expected to continue its growth trajectory, building on the $140 million anticipated in 2025. Ancillary offerings have historically been a substantial revenue source, growing from $5.87 per passenger in 2004 to $75.83 per passenger in 2024.

3. Fleet Modernization: Allegiant's strategy includes the integration of new Boeing aircraft into its fleet. The company plans to take delivery of nine MAX aircraft throughout 2025, which are expected to offer greater earnings potential compared to the older A320 aircraft they will replace. This fleet modernization is a crucial catalyst for enhancing operating margins and overall profitability.

4. Improving Leisure Travel Demand: A robust demand environment and an overall recovery in leisure travel are expected to contribute to future revenue growth. Commentary from the company and analysts points to better-than-expected unit revenue performance and an uptick in bookings, especially observed in the latter half of 2024 and continuing into 2025. An improving macroeconomic backdrop, particularly in the fourth quarter of 2025, is anticipated to provide further upside.

5. Resolution of Sunseeker Resort Issues: The Sunseeker Resort, while contributing some revenue (e.g., $31 million in Q1 2025), has been a significant drag on Allegiant's earnings. The company announced the pending sale of the resort in July 2025, with plans to close the sale in early September 2025. Removing this underperforming asset is expected to eliminate its earnings drag, allowing Allegiant to refocus on its core airline business and leading to materially higher earnings in 2026. This strategic divestiture is expected to improve the company's financial position and free up capital.

Share Repurchases

• The Board of Directors authorized a new share repurchase program of $100 million, with this authority increased in January 2023.
• Allegiant repurchased shares worth $11.1 million in the first quarter of 2025.
• In 2024, the company repurchased shares totaling $6 million.

Share Issuance

• As of December 31, 2024, a maximum of 173,964 shares of restricted stock remained for future issuance under the 2022 Long-Term Incentive Plan.
• Allegiant is requesting stockholder approval to amend the 2022 Long-Term Incentive Plan to increase the number of shares available for issuance.

Outbound Investments

• Allegiant Travel Company announced the sale of its Sunseeker Resort Charlotte Harbor for $200 million, with the transaction anticipated to close during the third quarter of 2025.
• The proceeds from the Sunseeker Resort sale are intended to be allocated towards debt repayment.

Capital Expenditures

• First quarter 2025 capital expenditures amounted to $83.1 million, primarily comprising $64.8 million for aircraft-related expenditures and $18.3 million for other airline capital expenditures.
• For the full year 2025, projected airline capital expenditures include $260 million to $280 million for aircraft-related capital and $95 million to $115 million for other airline capital expenditures.
• The company's focus on fleet modernization involves purchasing 50 new Boeing 737 MAX aircraft, with deliveries scheduled from 2023 to 2025, and includes options for an additional 50 aircraft, alongside the retirement of older planes.