Allegiant Travel Company Q3 2026 Earnings Recap

Allegiant shares rose 7.4% after earnings, with investors likely responding to the company maintaining full-year adjusted EPS guidance above $6 despite sharply higher fuel costs and forecasting record fourth-quarter TRASM. Third-quarter adjusted operating margin also expanded year over year despite a capacity reduction and higher fuel expense.

Key Takeaways

• Third-quarter consolidated revenue grew 19% year over year while capacity fell nearly 6%; fuel cost per gallon was up 55%.
• Consolidated adjusted operating margin expanded 340 basis points year over year.
• Management expects fourth-quarter TRASM to reach a company record, while planning for fuel at about $4.75 per gallon.
• Allegiant maintained its 2026 full-year adjusted EPS guidance of greater than $6.
• Co-brand remuneration rose nearly 24% year over year, and the company remains confident in more than $140 million of annual run-rate Sun Country synergies by 2029.