Allegiant Raises 1Q Profit Outlook as Strong Demand Offsets Higher Fuel Costs

Dow Jones
03/17
 

By Connor Hart

 

Allegiant Travel said demand has outperformed expectations in the first quarter, prompting the airline to forecast record revenue for the period.

The airline also said Tuesday that fuel prices have risen significantly since the beginning of the quarter due to geopolitical factors.

The company now expects fuel costs of about $3 a gallon for the quarter, compared with a prior expectation of about $2.60 a gallon. It said strong revenue trends should more than offset these costs for the time being, though.

Allegiant now expects adjusted earnings of $3.25 to $3.75 a share for the quarter, up from a prior outlook of $2.50 to $3.50 a share. System capacity is projected to be down approximately 5.5% from last year.

Looking further ahead, the airline said it cannot yet estimate the impact fuel costs will have on its full-year outlook, given the recent volatility in prices.

Allegiant shares were up 4% to $77.63 in premarket trading.

 

Write to Connor Hart at connor.hart@wsj.com

 

(END) Dow Jones Newswires

March 17, 2026 09:18 ET (13:18 GMT)

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