"We continued to see modest demand improvements throughout the month of June, building upon May's demand increases," stated Gregory Anderson , executive vice president, chief financial officer and principal accounting officer of Allegiant Travel Company . "Gross bookings for the month of June averaged more than $4 million per day, bringing the average daily gross bookings for the second quarter to over $2.5 million . June's bookings exceeded our expectations, thus the average daily cash burn for the second quarter was $900 thousand , down from our previous forecast of $1.75 million . However, within the last two weeks, several states have reported increases in the number of people with the virus, which has negatively impacted bookings and tempered expectations into the third quarter. Therefore, utilizing the average daily bookings from the second quarter of $2.5 million , we now expect daily cash burn will be approximately $750 thousand during the third quarter. We recognize the situation is fluid, and that demand could be impacted by additional shutdowns and required quarantines in our markets. As a result, we remain focused on finding ways to eliminate costs and preserve cash. We continue to keep our finger on the pulse and will leverage the flexibility of our model to pull back capacity to match demand levels in the coming months."
"During the month of June we operated 70 percent of our schedule while increasing load factor by nearly 10 points from May to 57.3 percent," stated Drew Wells , vice president of revenue. "Capacity was down 17.5 percent for the month of June as compared with 2019, but peak day available seat miles actually grew 3.5 percent from prior year. Allegiant travelers represented roughly 6 percent of all travelers going through a TSA checkpoint in the month, and that trend continued into the Fourth of July weekend. We expect to operate roughly 75 percent of our schedule into the third quarter but will make any necessary adjustments as dictated by demand trends."
Scheduled Service
| |||
Change
| |||
Passengers
|
867,207
|
1,594,128
|
(45.6%)
|
Revenue passenger miles (000)
|
745,608
|
1,355,240
|
(45.0%)
|
Available seat miles (000)
|
1,301,559
|
1,576,993
|
(17.5%)
|
Load factor
|
57.3%
|
85.9%
|
(28.6 pts)
|
Departures
|
8,940
|
11,176
|
(20.0%)
|
Average stage length (miles)
|
846
|
828
|
2.2%
|
2nd Quarter 2020
|
2nd Quarter 2019
|
Change
| |
Passengers
|
1,266,077
|
4,131,855
|
(69.4%)
|
Revenue passenger miles (000)
|
1,107,534
|
3,603,076
|
(69.3%)
|
Available seat miles (000)
|
2,174,683
|
4,311,182
|
(49.6%)
|
Load factor
|
50.9%
|
83.6%
|
(32.7 pts)
|
Departures
|
14,683
|
29,567
|
(50.3%)
|
Average stage length (miles)
|
855
|
853
|
0.2%
|
Total System*
| |||
Change
| |||
Passengers
|
868,927
|
1,606,651
|
(45.9%)
|
Available seat miles (000)
|
1,315,304
|
1,618,098
|
(18.7%)
|
Departures
|
9,105
|
11,478
|
(20.7%)
|
Average stage length (miles)
|
839
|
827
|
1.5%
|
2nd Quarter 2020
|
2nd Quarter 2019
|
Change
| |
Passengers
|
1,273,258
|
4,169,536
|
(69.5%)
|
Available seat miles (000)
|
2,220,755
|
4,447,066
|
(50.1%)
|
Departures
|
15,089
|
30,547
|
(50.6%)
|
Average stage length (miles)
|
850
|
853
|
(0.4%)
|
*Total system includes scheduled service and fixed fee contract. System revenue passenger miles and
system load factor are not useful statistics as system available seat miles include both ASMs flown by fixed fee flying as well as non-revenue producing repositioning flights used for operational needs. Fixed fee flying is better measured through dollar contribution versus operational statistics. | |||
Preliminary Fuel Results
| |
$ per gallon
| |
$1.17
| |
$ per gallon
| |
2nd quarter 2020 estimated average fuel cost per gallon – system
|
$1.08
|
Allegiant Travel Company
Recommended for you...
