Cover Page
Cover Page - $ / shares | 6 Months Ended | ||
Jun. 30, 2021 | Jul. 16, 2021 | Dec. 31, 2020 | |
Document and Entity Information [Abstract] | |||
Document Type | 10-Q | ||
Document Quarterly Report | true | ||
Document Period End Date | Jun. 30, 2021 | ||
Document Transition Report | false | ||
Entity File Number | 001-33166 | ||
Entity Registrant Name | Allegiant Travel Co | ||
Entity Incorporation, State or Country Code | NV | ||
Entity Tax Identification Number | 20-4745737 | ||
Entity Address, Address Line One | 1201 North Town Center Drive | ||
Entity Address, City or Town | Las Vegas, | ||
Entity Address, State or Province | NV | ||
Entity Address, Postal Zip Code | 89144 | ||
City Area Code | 702 | ||
Local Phone Number | 851-7300 | ||
Title of 12(b) Security | Common stock, par value $0.001 | ||
Trading Symbol | ALGT | ||
Security Exchange Name | NASDAQ | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
Entity Shell Company | true | ||
Entity Common Stock, Shares Outstanding | 17,986,507 | ||
Current Fiscal Year End Date | --12-31 | ||
Amendment Flag | false | ||
Entity Central Index Key | 0001362468 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | Q2 | ||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | $ 0.001 |
Consolidated Balance Sheets (Cu
Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
CURRENT ASSETS | ||
Cash and cash equivalents | $ 418,448 | $ 152,764 |
Restricted cash | 32,942 | 17,555 |
Short-term investments | 767,410 | 532,477 |
Accounts receivable | 175,388 | 192,215 |
Expendable parts, supplies and fuel, net | 30,194 | 24,006 |
Prepaid expenses and other current assets | 32,537 | 24,616 |
TOTAL CURRENT ASSETS | 1,456,919 | 943,633 |
Property and equipment, net | 2,116,618 | 2,050,311 |
Deferred major maintenance, net | 145,296 | 127,463 |
Operating lease right-of-use assets, net | 128,537 | 115,911 |
Deposits and other assets | 27,336 | 21,607 |
TOTAL ASSETS: | 3,874,706 | 3,258,925 |
CURRENT LIABILITIES | ||
Accounts payable | 57,143 | 34,197 |
Accrued liabilities | 182,914 | 116,093 |
Current operating lease liabilities | 16,940 | 14,313 |
Air traffic liability | 436,728 | 307,508 |
Current maturities of long-term debt and finance lease obligations, net of related costs | 144,382 | 217,234 |
TOTAL CURRENT LIABILITIES | 838,107 | 689,345 |
Long-term debt and finance lease obligations, net of current maturities and related costs | 1,441,083 | 1,441,777 |
Deferred income taxes | 310,700 | 301,763 |
Noncurrent operating lease liabilities | 114,761 | 102,289 |
Other noncurrent liabilities | 22,921 | 24,388 |
TOTAL LIABILITIES: | 2,727,572 | 2,559,562 |
SHAREHOLDERS' EQUITY | ||
Common stock, par value $0.001 | 25 | 23 |
Treasury shares | (642,177) | (646,008) |
Additional paid in capital | 671,893 | 329,753 |
Accumulated other comprehensive loss, net | (125) | (27) |
Retained earnings | 1,117,518 | 1,015,622 |
TOTAL EQUITY: | 1,147,134 | 699,363 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY: | $ 3,874,706 | $ 3,258,925 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
OPERATING REVENUES: | ||||
Passenger | $ 443,747 | $ 116,520 | $ 700,441 | $ 495,431 |
Third party products | 23,001 | 8,443 | 36,622 | 24,419 |
Fixed fee contracts | 5,134 | 3,237 | 12,827 | 12,156 |
Other | 551 | 5,147 | 1,667 | 10,522 |
Total operating revenues | 472,433 | 133,347 | 751,557 | 542,528 |
OPERATING EXPENSES: | ||||
Salary and benefits | 121,906 | 94,790 | 239,856 | 207,436 |
Aircraft fuel | 109,456 | 27,358 | 192,305 | 116,171 |
Station operations | 57,210 | 27,405 | 100,303 | 68,405 |
Depreciation and amortization | 44,522 | 43,296 | 87,696 | 86,995 |
Maintenance and repairs | 22,597 | 13,032 | 45,968 | 34,827 |
Sales and marketing | 17,632 | 8,909 | 29,241 | 27,364 |
Aircraft lease rental | 5,117 | 1,427 | 9,837 | 2,389 |
Other | 15,501 | 23,752 | 33,276 | 50,468 |
Payroll Support Programs grant recognition | 61,213 | (74,539) | 152,971 | 74,539 |
Special charges | 854 | 81,169 | 2,592 | 247,267 |
Total operating expenses | 333,582 | 246,599 | 588,103 | 766,783 |
OPERATING INCOME (LOSS) | 138,851 | (113,252) | 163,454 | (224,255) |
OTHER (INCOME) EXPENSES: | ||||
Interest expense | 16,720 | 14,053 | 33,508 | 32,206 |
Capitalized interest | 0 | 0 | 0 | (4,067) |
Interest income | (500) | (1,417) | (963) | (3,728) |
Loss on debt extinguishment | 71 | 0 | 71 | 1,222 |
Special charges | 0 | 19,830 | 0 | 26,632 |
Other, net | (11) | 698 | (404) | 623 |
Total other expenses | 16,280 | 33,164 | 32,212 | 52,888 |
INCOME (LOSS) BEFORE INCOME TAXES | 122,571 | (146,416) | 131,242 | (277,143) |
INCOME TAX PROVISION (BENEFIT) | 27,544 | (53,313) | 29,346 | (151,030) |
Net Income (Loss) Attributable to Parent | $ 95,027 | $ (93,103) | $ 101,896 | $ (126,113) |
Earnings (loss) per share to common shareholders: | ||||
Basic | $ 5.49 | $ (5.85) | $ 6.04 | $ (7.93) |
Diluted | $ 5.49 | $ (5.85) | $ 6.04 | $ (7.93) |
Shares used for computation: | ||||
Basic | 17,064 | 15,902 | 16,618 | 15,927 |
Diluted | 15,927 | |||
Diluted | 17,073 | 15,902 | 16,632 | 15,927 |
Cash dividends declared per share: | $ 0 | $ 0 | $ 0 | $ 0.70 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Net Income (Loss) Attributable to Parent | $ 95,027 | $ (93,103) | $ 101,896 | $ (126,113) |
Other comprehensive income (loss): | ||||
Change in available for sale securities, net of tax | (126) | 1,057 | (98) | 324 |
Foreign currency translation adjustments | 0 | (8) | 0 | 3 |
Total other comprehensive income (loss) | (126) | 1,049 | (98) | 327 |
TOTAL COMPREHENSIVE INCOME (LOSS) | $ 94,901 | $ (92,054) | $ 101,798 | $ (125,786) |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity Statement - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Common StockStock Offering | Additional Paid-in Capital | AOCI Attributable to Parent | Retained Earnings | Treasury Stock | Parent |
Common Stock, Shares, Outstanding | 16,303 | |||||||
Stockholders' Equity Attributable to Parent | $ 883,551 | $ 289,933 | $ 98 | $ 1,211,076 | $ (617,579) | |||
Common stock, par value $0.001 | $ 23 | |||||||
StockIssuedDuringPeriodSharesStockOptionsSARsExercised | 113 | |||||||
APIC, Share-based Payment Arrangement, Increase for Cost Recognition | 19,743 | $ 19,743 | ||||||
Proceeds from issuance of common stock | 0 | |||||||
Treasury Stock, Shares, Acquired | 217 | |||||||
Treasury Stock, Value, Acquired, Cost Method | (33,773) | (33,773) | ||||||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 3,234 | 3,234 | ||||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 41 | |||||||
Payments of Dividends | $ 11,361 | (11,361) | (11,361) | |||||
Other Comprehensive Income (Loss), Net of Tax | 327 | 327 | 327 | |||||
Adjustments to Additional Paid in Capital, Warrant Issued | 952 | 952 | ||||||
Net income (loss) | (126,113) | (126,113) | ||||||
Common Stock, Shares, Outstanding | 16,199 | |||||||
Stockholders' Equity Attributable to Parent | 809,902 | 295,267 | (624) | 1,166,588 | (651,352) | |||
Common stock, par value $0.001 | $ 23 | |||||||
APIC, Share-based Payment Arrangement, Increase for Cost Recognition | 14,409 | 14,409 | ||||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 41 | |||||||
Payments of Dividends | 117 | 117 | ||||||
Other Comprehensive Income (Loss), Net of Tax | 1,049 | 1,049 | 1,049 | |||||
Adjustments to Additional Paid in Capital, Warrant Issued | 952 | 952 | ||||||
Net income (loss) | (93,103) | (93,103) | ||||||
Common Stock, Shares, Outstanding | 16,240 | |||||||
Stockholders' Equity Attributable to Parent | 736,560 | 310,628 | 425 | 1,073,602 | (648,118) | |||
Common stock, par value $0.001 | $ 23 | |||||||
Common Stock, Shares, Outstanding | 16,405 | |||||||
Stockholders' Equity Attributable to Parent | 699,363 | 329,753 | (27) | 1,015,622 | (646,008) | |||
Common stock, par value $0.001 | $ 23 | $ 23 | ||||||
StockIssuedDuringPeriodSharesStockOptionsSARsExercised | 12 | |||||||
APIC, Share-based Payment Arrangement, Increase for Cost Recognition | $ 6,898 | $ 6,898 | ||||||
Proceeds from issuance of common stock | 335,137 | 2 | 1,553 | 335,137 | 335,139 | |||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 3,831 | $ 3,831 | ||||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 16 | |||||||
Payments of Dividends | $ 0 | |||||||
Other Comprehensive Income (Loss), Net of Tax | (98) | (98) | (98) | |||||
Adjustments to Additional Paid in Capital, Warrant Issued | $ 105 | 105 | ||||||
Net income (loss) | 101,896 | 101,896 | ||||||
Common Stock, Shares, Outstanding | 16,416 | |||||||
Stockholders' Equity Attributable to Parent | 709,654 | 333,147 | 1 | 1,022,491 | (646,008) | |||
Common stock, par value $0.001 | $ 23 | |||||||
StockIssuedDuringPeriodSharesStockOptionsSARsExercised | 1 | |||||||
APIC, Share-based Payment Arrangement, Increase for Cost Recognition | $ 3,504 | $ 3,504 | ||||||
Proceeds from issuance of common stock | 2 | 1,553 | 335,137 | 335,139 | ||||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 3,831 | $ 3,831 | ||||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 16 | |||||||
Other Comprehensive Income (Loss), Net of Tax | (126) | (126) | (126) | |||||
Adjustments to Additional Paid in Capital, Warrant Issued | $ 105 | 105 | ||||||
Net income (loss) | 95,027 | $ 95,027 | ||||||
Common Stock, Shares, Outstanding | 17,986 | |||||||
Stockholders' Equity Attributable to Parent | 1,147,134 | $ 671,893 | $ (125) | $ 1,117,518 | $ (642,177) | |||
Common stock, par value $0.001 | $ 25 | $ 25 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity Parentheticals - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Stockholders' Equity [Abstract] | ||||
Common Stock, Dividends, Per Share, Declared | $ 0 | $ 0 | $ 0 | $ 0.70 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Statement of Cash Flows [Abstract] | |||||
Depreciation and amortization | $ 44,522 | $ 43,296 | $ 87,696 | $ 86,995 | |
Special charges | 2,592 | 263,497 | |||
Other adjustments | 18,184 | 81,630 | |||
Air traffic liability | 129,220 | 104,785 | |||
Deferred Payroll Support Programs grant recognition | 49,210 | 62,814 | |||
Other - net | 16,175 | (196,942) | |||
Net cash provided by operating activities | 404,973 | 276,666 | |||
Cash flows from investing activities: | |||||
Purchase of investment securities | (673,722) | (296,979) | |||
Proceeds from maturities of investment securities | 436,364 | 258,751 | |||
Purchase of property and equipment | (134,484) | (170,673) | |||
Proceeds from sale-leaseback transactions | 0 | 48,000 | |||
Other investing activities | 2,443 | 2,303 | |||
Net cash used in investing activities | (369,399) | (158,598) | |||
Cash flows from financing activities: | |||||
Cash dividends paid to shareholders | 0 | (11,361) | |||
Proceeds from the issuance of debt and finance lease obligations | 106,657 | 175,712 | |||
Repurchase of common stock | 0 | (33,773) | |||
Principal payments on debt and finance lease obligations | (199,627) | (98,171) | |||
Debt issuance costs | $ (606) | $ (2,852) | |||
Proceeds from issuance of common stock | 335,137 | 0 | |||
Other financing activities | $ 3,936 | $ 3,234 | |||
Net cash provided by financing activities | 245,497 | 32,789 | |||
NET CHANGE IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH | 281,071 | 150,857 | |||
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AT BEGINNING OF PERIOD | 170,319 | 136,785 | $ 136,785 | ||
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH AT END OF PERIOD | 451,390 | 287,642 | 451,390 | 287,642 | 170,319 |
CASH PAYMENTS (RECEIPTS) FOR: | |||||
Interest paid, net of amount capitalized | 26,379 | 26,065 | |||
Income tax payments (refunds) | 4,873 | (45,321) | |||
Right-of-use (ROU) assets acquired | 23,157 | 86,012 | |||
Flight equipment acquired under finance leases | 13,833 | 0 | |||
Purchases of property and equipment in accrued liabilities | 5,088 | 22,106 | $ 16,900 | ||
Net Income (Loss) Attributable to Parent | $ 95,027 | $ (93,103) | $ 101,896 | $ (126,113) |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited consolidated financial statements include the accounts of Allegiant Travel Company (the “Company”) and its majority-owned operating subsidiaries. The Company's investments in unconsolidated affiliates, which are 50 percent or less owned, are accounted for under the equity or cost method, and are insignificant to the consolidated financial statements. All intercompany balances and transactions have been eliminated. These unaudited consolidated financial statements reflect all normal recurring adjustments which management believes are necessary to present fairly the financial position, results of operations, and cash flows of the Company for the respective periods presented. Certain information and footnote disclosures normally included in the annual consolidated financial statements prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") have been omitted pursuant to the rules and regulations of the Securities and Exchange Commission for Form 10-Q. These unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements of the Company and notes thereto included in the annual report of the Company on Form 10-K for the year ended December 31, 2020 and filed with the Securities and Exchange Commission. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities, at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from these estimates. Recent Accounting Pronouncements On December 18, 2019, the FASB issued ASU No. 2019-12, Simplifying the Accounting for Income Taxes. The standard simplifies the accounting and disclosure requirements for income taxes by clarifying existing guidance to improve consistency in application of Accounting Standards Codification ("ASC") 740. The standard also removes the requirement to calculate income tax expense for the stand-alone financial statements of wholly-owned subsidiaries. The standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2020, with early adoption permitted in any interim period within that year. The Company adopted this accounting standard prospectively as of January 1, 2021, and it did not have a significant impact on the Company's consolidated financial statements. |
COVID-19 (Notes)
COVID-19 (Notes) | 6 Months Ended |
Jun. 30, 2021 | |
Unusual or Infrequent Items, or Both [Abstract] | |
Unusual or Infrequent Items, or Both, Disclosure [Text Block] | Impact of the COVID-19 Pandemic The rapid spread of COVID-19 and the related government restrictions, social distancing measures, and consumer fears have impacted flight loads, resulted in unprecedented cancellations of bookings and substantially reduced demand for new bookings throughout the airline industry. Starting in March 2020, the Company experienced a severe reduction in air travel, which continued through the first quarter of 2021. Demand in the foreseeable future will continue to be affected by fluctuations in COVID-19 cases, variants, hospitalizations, deaths, treatment efficacy and the availability of vaccines. The Company is continuously reevaluating flight schedules and adjusting capacity based on demand trends. On December 27, 2020, the Consolidated Appropriations Act, 2021 (the "Payroll Support Program Extension") was signed into law. This Payroll Support Program Extension provides an additional $15.0 billion in support to the airline industry. On January 15, 2021, the Company through its airline operating subsidiary Allegiant Air, LLC entered into a Payroll Support Program Extension Agreement (the “PSP2”) with the Treasury and received $91.8 million under the Payroll Support Program Extension. The funds were used exclusively for wages, salaries and benefits. In April 2021, the Company received $13.8 million in additional funds related to the PSP2 which included a loan of $1.7 million. In consideration for these additional funds, the Company issued additional warrants ( the "PSP2 Warrants") to the Treasury to acquire 924 shares of common stock at a price of $179.23 per share (based on the price of the Company's common stock on the Nasdaq Global Select Market on December 24, 2020). In April 2021, the Company through its airline operating subsidiary Allegiant Air, LLC entered into a Payroll Support Program 3 Agreement (the "PSP3") with the Treasury under section 7301 of the American Rescue Plan Act of 2021. The Company received a total of $98.4 million in second quarter 2021. The funds must be used exclusively for wages, salaries and benefits. Based on the Company's assumptions about the future impact of COVID-19 on travel demand, which could be materially different due to the inherent uncertainties of the current operating environment, the Company expects to meet its cash obligations as well as remain in compliance with the debt covenants in its existing financing agreements for the next 12 months based on its current level of unrestricted cash and short-term investments, its anticipated access to liquidity and tax refunds, and projected cash flows from operations. Special Charges The table below summarizes special charges recorded during the three and six months ended June 30, 2021, and 2020. Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2021 2020 2021 2020 Operating $ 854 $ 81,169 $ 2,592 $ 247,267 Non-operating — 19,830 — 26,632 Total special charges $ 854 $ 100,999 $ 2,592 $ 273,899 Additional detail for the $2.6 million of total special charges for the six months ended June 30, 2021 appears below: • $2.1 million resulting from the accelerated retirements of four airframes and six engines • $0.5 million impairment loss on a building in Chesterfield, Missouri associated with the Allegiant Nonstop family entertainment line of business. Additional detail for the $273.9 million of total special charges (operating and non-operating) for the six months ended June 30, 2020 appears below: • $168.4 million in impairment charges primarily in our non-airline subsidiaries • $58.6 million resulting from the accelerated retirement of seven airframes and five engines, loss on sale leaseback transaction of four aircraft, and write-offs of other aircraft related assets • $19.7 million for additional salary and benefits expense in relation to the elimination of positions as well as other non-recurring compensation expense associated with the acceleration of certain existing stock awards • $19.8 million accrual on termination of the loan agreement with Sixth Street Partners (formerly TSSP) intended to finance the development of Sunseeker Resorts Charlotte Harbor, which was paid in the second half of 2020 • $5.0 million related to suspension of construction at Sunseeker • $2.4 million write-down on various non-aircraft assets and other various expenses |
Restructuring and Related Activities Disclosure [Text Block] | Special Charges The table below summarizes special charges recorded during the three and six months ended June 30, 2021, and 2020. Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2021 2020 2021 2020 Operating $ 854 $ 81,169 $ 2,592 $ 247,267 Non-operating — 19,830 — 26,632 Total special charges $ 854 $ 100,999 $ 2,592 $ 273,899 Additional detail for the $2.6 million of total special charges for the six months ended June 30, 2021 appears below: • $2.1 million resulting from the accelerated retirements of four airframes and six engines • $0.5 million impairment loss on a building in Chesterfield, Missouri associated with the Allegiant Nonstop family entertainment line of business. Additional detail for the $273.9 million of total special charges (operating and non-operating) for the six months ended June 30, 2020 appears below: • $168.4 million in impairment charges primarily in our non-airline subsidiaries • $58.6 million resulting from the accelerated retirement of seven airframes and five engines, loss on sale leaseback transaction of four aircraft, and write-offs of other aircraft related assets • $19.7 million for additional salary and benefits expense in relation to the elimination of positions as well as other non-recurring compensation expense associated with the acceleration of certain existing stock awards • $19.8 million accrual on termination of the loan agreement with Sixth Street Partners (formerly TSSP) intended to finance the development of Sunseeker Resorts Charlotte Harbor, which was paid in the second half of 2020 • $5.0 million related to suspension of construction at Sunseeker • $2.4 million write-down on various non-aircraft assets and other various expenses |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2021 | |
Revenue Recognition [Abstract] | |
Revenue from Contract with Customer [Text Block] | Revenue Recognition Passenger Revenue Passenger revenue is the most significant category in the Company's reported operating revenues, as outlined below: Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2021 2020 2021 2020 Scheduled service $ 225,613 $ 48,680 $ 357,540 $ 245,941 Ancillary air-related charges 213,445 65,294 334,518 242,258 Co-brand redemptions 4,689 2,546 8,383 7,232 Total passenger revenue $ 443,747 $ 116,520 $ 700,441 $ 495,431 Sales of passenger tickets not yet flown are recorded in air traffic liability. Passenger revenue is recognized when transportation is provided or when ticket voucher breakage occurs, to the extent different from estimated breakage. As of June 30, 2021, approximately 69.8 percent of the air traffic liability balance was related to forward bookings, with the remaining 30.2 percent related to credit vouchers for future travel. The normal contract term of passenger tickets is 12 months and revenue associated with future travel will principally be recognized within this time frame. $150.4 million of the $307.5 million that was recorded in the air traffic liability balance as of December 31, 2020 was recognized into passenger revenue during the six months ended June 30, 2021. In 2020, the Company announced that credits issued for canceled travel beginning in January 2020 would have an extended expiration date of two years from the original booking date. This policy continued for bookings through June 30, 2021. This change has been considered in estimating the future breakage rate, which represents the value of credit vouchers that are not expected to be redeemed prior to their contractual expiration date. Estimates of revenue to be recognized from air traffic liability for credit vouchers may be subject to variability and differ from historical experience due to the change in contract duration and uncertainty regarding demand for future air travel. Effective July 1, 2021, vouchers issued have an expiration date of one year from the original booking date. Co-brand redemptions In relation to the travel component of the co-branded credit card contract with Bank of America, the Company has a performance obligation to provide cardholders with points to be used for future travel award redemptions. Therefore, consideration received from Bank of America related to the travel component is deferred based on its relative selling price and is recognized into passenger revenue when the points are redeemed and the transportation is provided. The following table presents the activity of the co-brand point liability for the periods indicated: Six Months Ended June 30, (in thousands) 2021 2020 Balance at January 1 $ 21,841 $ 15,613 Points awarded (deferral of revenue) 10,696 10,962 Points redeemed (recognition of revenue) (8,383) (7,232) Balance at June 30 $ 24,154 $ 19,343 |
Property and Equipment
Property and Equipment | 6 Months Ended |
Jun. 30, 2021 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure | Property and Equipment The following table summarizes the Company's property and equipment as of the dates indicated: (in thousands) June 30, 2021 December 31, 2020 Flight equipment, including pre-delivery deposits $ 2,429,482 $ 2,331,499 Computer hardware and software 154,248 149,727 Land and buildings/leasehold improvements (1) 87,116 87,030 Other property and equipment 82,613 80,601 Total property and equipment 2,753,459 2,648,857 Less accumulated depreciation and amortization (636,841) (598,546) Property and equipment, net $ 2,116,618 $ 2,050,311 (1) Balance includes a building currently held for sale in Chesterfield, Missouri with a carrying value of $4.3 million Accrued capital expenditures as of June 30, 2021 and December 31, 2020 were $5.1 million and $16.9 million, respectively. |
Long-Term Debt
Long-Term Debt | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt The following table summarizes the Company's Long-term debt and finance lease obligations as of the dates indicated: (in thousands) June 30, 2021 December 31, 2020 Fixed-rate debt and finance lease obligations due through 2030 $ 621,750 $ 525,240 Variable-rate debt due through 2029 963,715 1,133,771 Total long-term debt and finance lease obligations, net of related costs 1,585,465 1,659,011 Less current maturities, net of related costs 144,382 217,234 Long-term debt and finance lease obligations, net of current maturities and related costs $ 1,441,083 $ 1,441,777 Weighted average fixed-interest rate on debt 5.7% 5.7% Weighted average variable-interest rate on debt 2.5% 2.4% Maturities of long-term debt and finance lease obligations for the remainder of 2021 and for the next four years and thereafter, in the aggregate, are: remaining in 2021 - $75.8 million; 2022 - $131.9 million; 2023 - $132.5 million; 2024 - $802.3 million; 2025 - $85.4 million; and $357.6 million thereafter. Senior Secured Revolving Credit Facility In March 2021, the Company entered into a new revolving credit facility under which it is entitled to borrow up to $50.0 million. The facility has a term of 24 months and the borrowing ability is based on the value of the Airbus A320 series aircraft placed into the collateral pool. The notes for amounts borrowed under the facility bear interest at a floating rate based on LIBOR and are due in March 2023. As of June 30, 2021, no aircraft collateral had been added to the collateral pool and the facility was undrawn. |
Income Taxes (Notes)
Income Taxes (Notes) | 6 Months Ended |
Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | Income Taxes The Company recorded an effective tax rate of 22.5 percent and 36.4 percent for the three months ended June 30, 2021 and 2020, respectively. The effective tax rate for the three months ended June 30, 2021 differed from the statutory Federal income tax rate of 21.0 percent primarily due to state income taxes and the impact of ASU 2016-09 related to share-based payments. The effective tax rate for the three months ended June 30, 2020 differed from the statutory federal income tax rate of 21.0 percent primarily due to the tax accounting impact of the CARES Act which allowed the Company to carryback the 2020 net operating loss at the 35.0 percent rate applicable in earlier years. While the Company expects its effective tax rate to be fairly consistent in the near term, it will vary depending on recurring items such as the amount of income earned in each state and the state tax rate applicable to such income. Discrete items during interim periods may also affect the Company's tax rates. The Company recorded an effective tax rate of 22.4 percent and 54.5 percent for the six months ended June 30, 2021 and 2020, respectively. The effective tax rate for the six months ended June 30, 2021 differed from the statutory Federal income tax rate of 21.0 percent primarily due to state income taxes and the impact of ASU 2016-09 related to share-based payments. The 54.5 percent effective tax rate for the six months ended June 30, 2020 differed from the statutory federal income tax rate of 21.0 percent primarily due to the tax accounting impact of the CARES Act which included a $39.6 million discrete federal income tax benefit related to the full utilization of 2018 and 2019 net operating losses as well as the ability to carryback the 2020 net operating loss at a 35.0 percent rate applicable in earlier years. |
Leases (Notes)
Leases (Notes) | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Lessee, Leases [Policy Text Block] | Leases The Company evaluates all operating leases and they are measured on the balance sheet with a lease liability and right-of-use asset (“ROU”) at inception. ROU assets represent the Company’s right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make scheduled lease payments. Airport terminal leases mostly include variable lease payments outside of those based on a fixed index, and are therefore not recorded as ROU assets. The following table summarizes the Company's total assets and liabilities related to leases as of the dates indicated: (in thousands) Classification on the Balance Sheet June 30, 2021 December 31, 2020 Assets Operating lease assets (1) Operating lease right-of-use assets $ 128,537 $ 115,911 Finance lease assets (2) Property and equipment, net 239,019 133,175 Total lease assets $ 367,556 $ 249,086 Liabilities Current Operating (1) Current operating lease liabilities $ 16,940 $ 14,313 Finance (2) Current maturities of long-term debt and finance lease obligations 13,835 9,767 Noncurrent Operating (1) Noncurrent operating lease liabilities 114,761 102,289 Finance (2) Long-term debt and finance lease obligations 225,039 117,060 Total lease liabilities $ 370,575 $ 243,429 (1) Represents assets and liabilities of 16 aircraft, office equipment, certain airport and terminal facilities, and other assets under operating leases (2) The June 30, 2021 number represents assets and liabilities of ten aircraft under finance leases Sale-Leaseback Transaction During the six months ended June 30, 2021, the Company entered into a sale-leaseback transaction involving three aircraft and generating $105.0 million of proceeds. The lease was classified as a finance lease and as a result, the transaction did not qualify as a sale. The aircraft were not removed from property and equipment in the Company's balance sheet and the Company recorded a financial liability in the amount of $105.0 million. The proceeds from this transaction are treated as cash inflows from finance lease obligations and reported in financing activities on the statement of cash flows. |
Sale Leaseback Transactions [Text Block] | Sale-Leaseback Transaction During the six months ended June 30, 2021, the Company entered into a sale-leaseback transaction involving three aircraft and generating $105.0 million of proceeds. The lease was classified as a finance lease and as a result, the transaction did not qualify as a sale. The aircraft were not removed from property and equipment in the Company's balance sheet and the Company recorded a financial liability in the amount of $105.0 million. The proceeds from this transaction are treated as cash inflows from finance lease obligations and reported in financing activities on the statement of cash flows. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value, Measurement Inputs, Disclosure | Fair Value Measurements The Company utilizes the market approach to measure the fair value of its financial assets. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets. The assets classified as Level 2 primarily utilize quoted market prices or alternative pricing sources including transactions involving identical or comparable assets and models utilizing market observable inputs for valuation of these securities. No changes in valuation techniques or inputs occurred during the six months ended June 30, 2021. Financial instruments measured at fair value on a recurring basis: June 30, 2021 December 31, 2020 (in thousands) Total Level 1 Level 2 Total Level 1 Level 2 Cash equivalents Money market funds $ 157,320 $ 157,320 $ — $ 5,340 $ 5,340 $ — Municipal debt securities 78,996 — 78,996 34,338 — 34,338 Commercial Paper 66,292 — 66,292 48,908 — 48,908 Federal agency debt securities — — — 51,400 — 51,400 Total cash equivalents 302,608 157,320 145,288 139,986 5,340 134,646 Short-term Commercial paper 345,809 — 345,809 229,821 — 229,821 Corporate debt securities 217,631 — 217,631 166,768 — 166,768 Municipal debt securities 178,870 — 178,870 87,290 — 87,290 Federal agency debt securities 25,100 — 25,100 48,598 — 48,598 Total short-term 767,410 — 767,410 532,477 — 532,477 Total financial instruments $ 1,070,018 $ 157,320 $ 912,698 $ 672,463 $ 5,340 $ 667,123 None of the Company's debt is publicly held and as a result, the Company has determined the estimated fair value of these notes to be Level 3. Certain inputs used to determine fair value are unobservable and, therefore, could be sensitive to changes in inputs. The Company utilizes the discounted cash flow method to estimate the fair value of Level 3 debt. Carrying value and estimated fair value of long-term debt, including current maturities and without reduction for related costs, are as follows: June 30, 2021 December 31, 2020 (in thousands) Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value Hierarchy Level Non-publicly held debt $ 1,366,042 $ 1,170,576 $ 1,555,637 $ 1,191,008 3 Due to their short-term nature, the carrying amounts of cash, cash equivalents, restricted cash, accounts receivable and accounts payable approximate fair value. |
Earnings per Share
Earnings per Share | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings per Share | Earnings (Loss) per Share Basic and diluted earnings (loss) per share are computed pursuant to the two-class method. Under this method, the Company attributes net income (loss) to two classes: common stock and unvested restricted stock. Unvested restricted stock awards granted to employees under the Company’s Long-Term Incentive Plan are considered participating securities as they receive non-forfeitable rights to cash dividends at the same rate as common stock. Diluted net income per share is calculated using the more dilutive of the two methods. Under both methods, the exercise of employee stock options is assumed using the treasury stock method. The assumption of vesting of restricted stock, however, differs: 1. Assume vesting of restricted stock using the treasury stock method. 2. Assume unvested restricted stock awards are not vested, and allocate earnings to common shares and unvested restricted stock awards using the two-class method. For the three and six months ended June 30, 2021, the second method was used because it was more dilutive than the first method. The following table sets forth the computation of net income (loss) per share, on a basic and diluted basis, for the periods indicated (share count and dollar amounts other than per-share amounts in the table are in thousands): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Basic: Net income (loss) $ 95,027 $ (93,103) $ 101,896 $ (126,113) Less income allocated to participating securities (1,285) — (1,451) (236) Net income (loss) attributable to common stock $ 93,742 $ (93,103) $ 100,445 $ (126,349) Earnings (loss) per share, basic $ 5.49 $ (5.85) $ 6.04 $ (7.93) Weighted-average shares outstanding 17,064 15,902 16,618 15,927 Diluted: Net income (loss) $ 95,027 $ (93,103) $ 101,896 $ (126,113) Less income allocated to participating securities (1,284) — (1,449) (236) Net income (loss) attributable to common stock $ 93,743 $ (93,103) $ 100,447 $ (126,349) Earnings (loss) per share, diluted $ 5.49 $ (5.85) $ 6.04 $ (7.93) Weighted-average shares outstanding 17,064 15,902 16,618 15,927 Dilutive effect of stock options and restricted stock 123 — 128 — Adjusted weighted-average shares outstanding under treasury stock method 17,187 15,902 16,746 15,927 Participating securities excluded under two-class method (114) — (114) — Adjusted weighted-average shares outstanding under two-class method 17,073 15,902 16,632 15,927 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | ContingenciesThe Company is subject to certain legal and administrative actions it considers routine to its business activities. The Company believes the ultimate outcome of any potential and pending legal or administrative matters will not have a material adverse impact on its financial position, liquidity or results of operations. |
Subsequent Events (Notes)
Subsequent Events (Notes) | 6 Months Ended |
Jun. 30, 2021 | |
Subsequent Event [Line Items] | |
Subsequent Events [Text Block] | Subsequent EventsThrough a wholly-owned subsidiary, the Company executed Conditional Sale Agreements (CSA’s) on July 26, 2021 through Air Lease Corporation for ten Airbus A320 series aircraft. These ten aircraft are expected to be delivered to the Company between November 2021 and July 2022. Each CSA has a term of 123 months and provides for monthly payments and a purchase option exercisable at the expiration of the term. Upon delivery, the CSA’s will be recorded as finance leases on the Company’s financial statements. The Company has announced the recommencement of the construction of its Sunseeker Resort in Southwest Florida. The Company expects to finance the balance of the construction cost and complete the Resort by early 2023. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies - (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited consolidated financial statements include the accounts of Allegiant Travel Company (the “Company”) and its majority-owned operating subsidiaries. The Company's investments in unconsolidated affiliates, which are 50 percent or less owned, are accounted for under the equity or cost method, and are insignificant to the consolidated financial statements. All intercompany balances and transactions have been eliminated. These unaudited consolidated financial statements reflect all normal recurring adjustments which management believes are necessary to present fairly the financial position, results of operations, and cash flows of the Company for the respective periods presented. Certain information and footnote disclosures normally included in the annual consolidated financial statements prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") have been omitted pursuant to the rules and regulations of the Securities and Exchange Commission for Form 10-Q. These unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements of the Company and notes thereto included in the annual report of the Company on Form 10-K for the year ended December 31, 2020 and filed with the Securities and Exchange Commission. |
New Accounting Pronouncements | Recent Accounting Pronouncements On December 18, 2019, the FASB issued ASU No. 2019-12, Simplifying the Accounting for Income Taxes. The standard simplifies the accounting and disclosure requirements for income taxes by clarifying existing guidance to improve consistency in application of Accounting Standards Codification ("ASC") 740. The standard also removes the requirement to calculate income tax expense for the stand-alone financial statements of wholly-owned subsidiaries. The standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2020, with early adoption permitted in any interim period within that year. The Company adopted this accounting standard prospectively as of January 1, 2021, and it did not have a significant impact on the Company's consolidated financial statements. |
Leases, Codification Topic 842
Leases, Codification Topic 842 (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Lessee, Leases [Policy Text Block] | Leases The Company evaluates all operating leases and they are measured on the balance sheet with a lease liability and right-of-use asset (“ROU”) at inception. ROU assets represent the Company’s right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make scheduled lease payments. Airport terminal leases mostly include variable lease payments outside of those based on a fixed index, and are therefore not recorded as ROU assets. The following table summarizes the Company's total assets and liabilities related to leases as of the dates indicated: (in thousands) Classification on the Balance Sheet June 30, 2021 December 31, 2020 Assets Operating lease assets (1) Operating lease right-of-use assets $ 128,537 $ 115,911 Finance lease assets (2) Property and equipment, net 239,019 133,175 Total lease assets $ 367,556 $ 249,086 Liabilities Current Operating (1) Current operating lease liabilities $ 16,940 $ 14,313 Finance (2) Current maturities of long-term debt and finance lease obligations 13,835 9,767 Noncurrent Operating (1) Noncurrent operating lease liabilities 114,761 102,289 Finance (2) Long-term debt and finance lease obligations 225,039 117,060 Total lease liabilities $ 370,575 $ 243,429 (1) Represents assets and liabilities of 16 aircraft, office equipment, certain airport and terminal facilities, and other assets under operating leases (2) The June 30, 2021 number represents assets and liabilities of ten aircraft under finance leases Sale-Leaseback Transaction During the six months ended June 30, 2021, the Company entered into a sale-leaseback transaction involving three aircraft and generating $105.0 million of proceeds. The lease was classified as a finance lease and as a result, the transaction did not qualify as a sale. The aircraft were not removed from property and equipment in the Company's balance sheet and the Company recorded a financial liability in the amount of $105.0 million. The proceeds from this transaction are treated as cash inflows from finance lease obligations and reported in financing activities on the statement of cash flows. |
COVID-19 (Tables)
COVID-19 (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Special Charge [Abstract] | |
Restructuring and Related Activities Disclosure [Text Block] | Special Charges The table below summarizes special charges recorded during the three and six months ended June 30, 2021, and 2020. Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2021 2020 2021 2020 Operating $ 854 $ 81,169 $ 2,592 $ 247,267 Non-operating — 19,830 — 26,632 Total special charges $ 854 $ 100,999 $ 2,592 $ 273,899 Additional detail for the $2.6 million of total special charges for the six months ended June 30, 2021 appears below: • $2.1 million resulting from the accelerated retirements of four airframes and six engines • $0.5 million impairment loss on a building in Chesterfield, Missouri associated with the Allegiant Nonstop family entertainment line of business. Additional detail for the $273.9 million of total special charges (operating and non-operating) for the six months ended June 30, 2020 appears below: • $168.4 million in impairment charges primarily in our non-airline subsidiaries • $58.6 million resulting from the accelerated retirement of seven airframes and five engines, loss on sale leaseback transaction of four aircraft, and write-offs of other aircraft related assets • $19.7 million for additional salary and benefits expense in relation to the elimination of positions as well as other non-recurring compensation expense associated with the acceleration of certain existing stock awards • $19.8 million accrual on termination of the loan agreement with Sixth Street Partners (formerly TSSP) intended to finance the development of Sunseeker Resorts Charlotte Harbor, which was paid in the second half of 2020 • $5.0 million related to suspension of construction at Sunseeker • $2.4 million write-down on various non-aircraft assets and other various expenses |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Revenue Recognition [Abstract] | |
Disaggregation of Revenue [Table Text Block] | Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2021 2020 2021 2020 Scheduled service $ 225,613 $ 48,680 $ 357,540 $ 245,941 Ancillary air-related charges 213,445 65,294 334,518 242,258 Co-brand redemptions 4,689 2,546 8,383 7,232 Total passenger revenue $ 443,747 $ 116,520 $ 700,441 $ 495,431 |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block] | The following table presents the activity of the co-brand point liability for the periods indicated: Six Months Ended June 30, (in thousands) 2021 2020 Balance at January 1 $ 21,841 $ 15,613 Points awarded (deferral of revenue) 10,696 10,962 Points redeemed (recognition of revenue) (8,383) (7,232) Balance at June 30 $ 24,154 $ 19,343 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment | The following table summarizes the Company's property and equipment as of the dates indicated: (in thousands) June 30, 2021 December 31, 2020 Flight equipment, including pre-delivery deposits $ 2,429,482 $ 2,331,499 Computer hardware and software 154,248 149,727 Land and buildings/leasehold improvements (1) 87,116 87,030 Other property and equipment 82,613 80,601 Total property and equipment 2,753,459 2,648,857 Less accumulated depreciation and amortization (636,841) (598,546) Property and equipment, net $ 2,116,618 $ 2,050,311 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Summary of Long-Term Debt | The following table summarizes the Company's Long-term debt and finance lease obligations as of the dates indicated: (in thousands) June 30, 2021 December 31, 2020 Fixed-rate debt and finance lease obligations due through 2030 $ 621,750 $ 525,240 Variable-rate debt due through 2029 963,715 1,133,771 Total long-term debt and finance lease obligations, net of related costs 1,585,465 1,659,011 Less current maturities, net of related costs 144,382 217,234 Long-term debt and finance lease obligations, net of current maturities and related costs $ 1,441,083 $ 1,441,777 Weighted average fixed-interest rate on debt 5.7% 5.7% Weighted average variable-interest rate on debt 2.5% 2.4% |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Leases of Lessee Disclosure [Text Block] | (in thousands) Classification on the Balance Sheet June 30, 2021 December 31, 2020 Assets Operating lease assets (1) Operating lease right-of-use assets $ 128,537 $ 115,911 Finance lease assets (2) Property and equipment, net 239,019 133,175 Total lease assets $ 367,556 $ 249,086 Liabilities Current Operating (1) Current operating lease liabilities $ 16,940 $ 14,313 Finance (2) Current maturities of long-term debt and finance lease obligations 13,835 9,767 Noncurrent Operating (1) Noncurrent operating lease liabilities 114,761 102,289 Finance (2) Long-term debt and finance lease obligations 225,039 117,060 Total lease liabilities $ 370,575 $ 243,429 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Assets Measured at Fair Value On a Recurring Basis | Financial instruments measured at fair value on a recurring basis: June 30, 2021 December 31, 2020 (in thousands) Total Level 1 Level 2 Total Level 1 Level 2 Cash equivalents Money market funds $ 157,320 $ 157,320 $ — $ 5,340 $ 5,340 $ — Municipal debt securities 78,996 — 78,996 34,338 — 34,338 Commercial Paper 66,292 — 66,292 48,908 — 48,908 Federal agency debt securities — — — 51,400 — 51,400 Total cash equivalents 302,608 157,320 145,288 139,986 5,340 134,646 Short-term Commercial paper 345,809 — 345,809 229,821 — 229,821 Corporate debt securities 217,631 — 217,631 166,768 — 166,768 Municipal debt securities 178,870 — 178,870 87,290 — 87,290 Federal agency debt securities 25,100 — 25,100 48,598 — 48,598 Total short-term 767,410 — 767,410 532,477 — 532,477 Total financial instruments $ 1,070,018 $ 157,320 $ 912,698 $ 672,463 $ 5,340 $ 667,123 |
Fair Value, Liabilities Measured on Recurring Basis | Carrying value and estimated fair value of long-term debt, including current maturities and without reduction for related costs, are as follows: June 30, 2021 December 31, 2020 (in thousands) Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value Hierarchy Level Non-publicly held debt $ 1,366,042 $ 1,170,576 $ 1,555,637 $ 1,191,008 3 |
Earnings per Share (Tables)
Earnings per Share (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Computation of Net Income Per Share, Basic and Diluted | The following table sets forth the computation of net income (loss) per share, on a basic and diluted basis, for the periods indicated (share count and dollar amounts other than per-share amounts in the table are in thousands): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Basic: Net income (loss) $ 95,027 $ (93,103) $ 101,896 $ (126,113) Less income allocated to participating securities (1,285) — (1,451) (236) Net income (loss) attributable to common stock $ 93,742 $ (93,103) $ 100,445 $ (126,349) Earnings (loss) per share, basic $ 5.49 $ (5.85) $ 6.04 $ (7.93) Weighted-average shares outstanding 17,064 15,902 16,618 15,927 Diluted: Net income (loss) $ 95,027 $ (93,103) $ 101,896 $ (126,113) Less income allocated to participating securities (1,284) — (1,449) (236) Net income (loss) attributable to common stock $ 93,743 $ (93,103) $ 100,447 $ (126,349) Earnings (loss) per share, diluted $ 5.49 $ (5.85) $ 6.04 $ (7.93) Weighted-average shares outstanding 17,064 15,902 16,618 15,927 Dilutive effect of stock options and restricted stock 123 — 128 — Adjusted weighted-average shares outstanding under treasury stock method 17,187 15,902 16,746 15,927 Participating securities excluded under two-class method (114) — (114) — Adjusted weighted-average shares outstanding under two-class method 17,073 15,902 16,632 15,927 |
COVID-19 COVID-19 (Details)
COVID-19 COVID-19 (Details) - USD ($) $ / shares in Units, $ in Thousands | Jun. 30, 2021 | Apr. 23, 2021 | Dec. 27, 2020 | Dec. 24, 2020 |
Unusual or Infrequent Item, or Both [Line Items] | ||||
Total Proceeds To Be Provided to U.S. Airlines From Payroll Support Program Extension | $ 15,000,000 | |||
Payroll Support Program Grant Extension | ||||
Unusual or Infrequent Item, or Both [Line Items] | ||||
Total Proceeds from Payroll Support Program Grant | $ 91,800 | |||
Additional Proceeds Received from Payroll Support Program | $ 13,800 | |||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 924 | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 179.23 | |||
Debt Instrument, Face Amount | $ 1,700 | |||
Payroll Support Program 3 | ||||
Unusual or Infrequent Item, or Both [Line Items] | ||||
Total Proceeds from Payroll Support Program Grant | $ 98,400 |
COVID-19 COVID-19 Segment (Deta
COVID-19 COVID-19 Segment (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2021USD ($)aircraftengineAircraft | Jun. 30, 2020USD ($)engineaircraft | |
Segment Reporting Information [Line Items] | ||||
Operating Special Charge, Total | $ 854 | $ 81,169 | $ 2,592 | $ 247,267 |
Non-Operating Special Charge, Total | 0 | 19,830 | 0 | 26,632 |
Special Charges | $ 854 | 100,999 | 2,592 | 273,899 |
Asset Impairment Charges | 168,400 | |||
Other Aircraft Related Costs | $ 2,100 | $ 58,600 | ||
Number of Engines Retired | engine | 6 | 5 | ||
Other Expenses | $ 500 | $ 2,400 | ||
Number Of Aircraft In Sale-Leaseback Transactions | aircraft | 3 | 4 | ||
Postemployment Benefits, Period Expense | $ 19,700 | |||
Termination Loans | $ 19,800 | $ 19,800 | ||
Airbus A320 Aircraft Series | ||||
Segment Reporting Information [Line Items] | ||||
Number of Aircraft Retired | 4 | 7 | ||
Sunseeker Resorts | ||||
Segment Reporting Information [Line Items] | ||||
Construction Suspension Expense | $ 5,000 |
Revenue Recognition (Details)
Revenue Recognition (Details) - USD ($) $ in Thousands | Jul. 01, 2021 | Apr. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 |
Disaggregation of Revenue [Line Items] | ||||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 443,747 | $ 116,520 | $ 700,441 | $ 495,431 | ||
Credit Voucher Term Expiration | 2 years | |||||
Subsequent Event | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Credit Voucher Term Expiration | 1 year | |||||
Scheduled Service Revenue | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from Contract with Customer, Excluding Assessed Tax | 225,613 | 48,680 | 357,540 | 245,941 | ||
Air-related revenue | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from Contract with Customer, Excluding Assessed Tax | 213,445 | 65,294 | 334,518 | 242,258 | ||
Co-brand Revenue | ||||||
Disaggregation of Revenue [Line Items] | ||||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 4,689 | $ 2,546 | $ 8,383 | $ 7,232 |
Revenue Recognition Passenger R
Revenue Recognition Passenger Revenue (Details) - USD ($) $ in Thousands | 1 Months Ended | 6 Months Ended | |||
Apr. 30, 2020 | Jun. 30, 2021 | Dec. 31, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | |
Revenue Recognition [Abstract] | |||||
Contract with Customer, Liability, Forward Bookings | 69.80% | ||||
Contract with Customer, Liability, Credit Voucher Bookings | 30.20% | ||||
Revenue, Performance Obligation, Description of Timing | 12 months | ||||
Credit Voucher Term Expiration | 2 years | ||||
Air Traffic Liability, Recognized | $ 150,400 | ||||
Contract with Customer, Liability | $ 24,154 | $ 21,841 | $ 19,343 | $ 15,613 | |
Air Traffic Liability, Current | $ 307,500 |
Revenue Recognition Points Liab
Revenue Recognition Points Liability (Details) - USD ($) $ in Thousands | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | |
Points Liability [Abstract] | ||||
Contract with Customer, Liability | $ 24,154 | $ 19,343 | $ 21,841 | $ 15,613 |
Points awarded | 10,696 | 10,962 | ||
Points redeemed | (8,383) | (7,232) | ||
Points Liability | $ 11,700 | $ 12,400 | ||
Revenue, Performance Obligation, Description of Timing | 12 months |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Property, Plant and Equipment [Line Items] | |||
Flight equipment, including pre-delivery deposits | $ 2,429,482 | $ 2,331,499 | |
Computer hardware and software | 154,248 | 149,727 | |
Land and buildings/leasehold improvements (1) | 87,116 | 87,030 | |
Other property and equipment | 82,613 | 80,601 | |
Total property and equipment | 2,753,459 | 2,648,857 | |
Less accumulated depreciation and amortization | 636,841 | 598,546 | |
Property and equipment, net | 2,116,618 | 2,050,311 | |
Capital Expenditures Incurred but Not yet Paid | 5,088 | $ 22,106 | $ 16,900 |
Building | |||
Property, Plant and Equipment [Line Items] | |||
Carrying Value of Asset Held for Sale, Building | $ 4,300 |
Long-Term Debt Components of Lo
Long-Term Debt Components of Long-Term Debt (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Secured Long-term Debt, Noncurrent | $ 1,585,465 | $ 1,659,011 |
Less current maturities | 144,382 | 217,234 |
Long-term debt and capital leases, net of current maturities and related costs | 1,441,083 | 1,441,777 |
Weighted average fixed-interest rate on debt | ||
Debt Instrument [Line Items] | ||
Notes Payable | $ 621,750 | $ 525,240 |
Long-term Debt, Weighted Average Interest Rate, at Point in Time | 5.70% | 5.70% |
Weighted average variable-interest rate on debt | ||
Debt Instrument [Line Items] | ||
Notes Payable | $ 963,715 | $ 1,133,771 |
Long-term Debt, Weighted Average Interest Rate, at Point in Time | 2.50% | 2.40% |
Long-Term Debt Schedule of Matu
Long-Term Debt Schedule of Maturities of Long-Term Debt (Details) $ in Thousands | Jun. 30, 2021USD ($) |
Schedule of Maturities of Long-Term Debt [Abstract] | |
Long-Term Debt, Maturity, Remainder of Fiscal Year | $ 75,800 |
Long-Term Debt, Maturity, Year Two | 131,900 |
Long-Term Debt, Maturity, Year Three | 132,500 |
Long-Term Debt, Maturity, Year Four | 802,300 |
Long-Term Debt, Maturity, Year Five | 85,400 |
Long-Term Debt, Maturity, after Year Five | $ 357,600 |
Long-Term Debt (Details)
Long-Term Debt (Details) $ in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2021USD ($) | Jun. 30, 2021USD ($)Aircraft | Jun. 30, 2020USD ($) | |
Termination Loans | $ 19.8 | ||
Senior Secured Revolving Credit Facility | |||
Debt Instrument, Term | 24 months | ||
Number Of Aircrafts Included As Collateral | Aircraft | 0 | ||
Airbus A320 Aircraft Series | Senior Secured Revolving Credit Facility | |||
Debt Instrument, Face Amount | $ 50 | $ 50 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | ||||
Effective Income Tax Rate Reconciliation, Percent | 22.50% | 36.40% | 22.40% | 54.50% |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 21.00% | 21.00% | 21.00% |
Effective Income Tax Rate Reconciliation, Other Adjustments, Percent | 35.00% | 35.00% | ||
Discrete Income Tax Expense (Benefit) | $ 39.6 |
Leases (Details)
Leases (Details) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2021USD ($)Aircraftaircraft | Jun. 30, 2020aircraft | Dec. 31, 2020USD ($) | |
Leases [Abstract] | |||
Operating Leased Assets, Number of Units | Aircraft | 16 | ||
Finance Leased Assets, Number of Units | Aircraft | 10 | ||
Number Of Aircraft In Sale-Leaseback Transactions | aircraft | 3 | 4 | |
operating right of use asset, net | $ 128,537 | $ 115,911 | |
Finance Lease, Right-of-Use Asset, after Accumulated Amortization | 239,019 | 133,175 | |
Total Right-of-Use Asset | 367,556 | 249,086 | |
Current operating lease liabilities | 16,940 | 14,313 | |
Finance Lease, Liability, Current | 13,835 | 9,767 | |
Noncurrent operating lease liabilities | 114,761 | 102,289 | |
Finance Lease, Liability, Noncurrent | 225,039 | 117,060 | |
Total Lease Liability | 370,575 | $ 243,429 | |
Sale Leaseback Transaction, Net Proceeds, Financing Activities | $ 105,000 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Available-for-sale Securities | $ 1,070,018 | $ 672,463 |
Fair Value, Inputs, Level 1 | ||
Available-for-sale Securities | 157,320 | 5,340 |
Fair Value, Inputs, Level 2 | ||
Available-for-sale Securities | 912,698 | 667,123 |
Cash Equivalents | ||
Cash Equivalents | 302,608 | 139,986 |
Cash Equivalents | Fair Value, Inputs, Level 1 | ||
Cash Equivalents | 157,320 | 5,340 |
Cash Equivalents | Fair Value, Inputs, Level 2 | ||
Cash Equivalents | 145,288 | 134,646 |
Cash Equivalents | Money Market Funds | ||
Cash Equivalents | 157,320 | 5,340 |
Cash Equivalents | Money Market Funds | Fair Value, Inputs, Level 1 | ||
Cash Equivalents | 157,320 | 5,340 |
Cash Equivalents | Money Market Funds | Fair Value, Inputs, Level 2 | ||
Cash Equivalents | 0 | 0 |
Cash Equivalents | Commercial paper | ||
Cash Equivalents | 66,292 | 48,908 |
Cash Equivalents | Commercial paper | Fair Value, Inputs, Level 1 | ||
Cash Equivalents | 0 | 0 |
Cash Equivalents | Commercial paper | Fair Value, Inputs, Level 2 | ||
Cash Equivalents | 66,292 | 48,908 |
Cash Equivalents | Municipal debt securities | ||
Cash Equivalents | 78,996 | 34,338 |
Cash Equivalents | Municipal debt securities | Fair Value, Inputs, Level 1 | ||
Cash Equivalents | 0 | 0 |
Cash Equivalents | Municipal debt securities | Fair Value, Inputs, Level 2 | ||
Cash Equivalents | 78,996 | 34,338 |
Cash Equivalents | Federal agency debt securities | ||
Cash Equivalents | 0 | 51,400 |
Cash Equivalents | Federal agency debt securities | Fair Value, Inputs, Level 1 | ||
Cash Equivalents | 0 | 0 |
Cash Equivalents | Federal agency debt securities | Fair Value, Inputs, Level 2 | ||
Cash Equivalents | 0 | 51,400 |
Short-term Investments | ||
Available-for-sale Securities | 767,410 | 532,477 |
Short-term Investments | Fair Value, Inputs, Level 1 | ||
Available-for-sale Securities | 0 | 0 |
Short-term Investments | Fair Value, Inputs, Level 2 | ||
Available-for-sale Securities | 767,410 | 532,477 |
Short-term Investments | Commercial paper | ||
Available-for-sale Securities | 345,809 | 229,821 |
Short-term Investments | Commercial paper | Fair Value, Inputs, Level 1 | ||
Available-for-sale Securities | 0 | 0 |
Short-term Investments | Commercial paper | Fair Value, Inputs, Level 2 | ||
Available-for-sale Securities | 345,809 | 229,821 |
Short-term Investments | Municipal debt securities | ||
Available-for-sale Securities | 178,870 | 87,290 |
Short-term Investments | Municipal debt securities | Fair Value, Inputs, Level 1 | ||
Available-for-sale Securities | 0 | 0 |
Short-term Investments | Municipal debt securities | Fair Value, Inputs, Level 2 | ||
Available-for-sale Securities | 178,870 | 87,290 |
Short-term Investments | Federal agency debt securities | ||
Available-for-sale Securities | 25,100 | 48,598 |
Short-term Investments | Federal agency debt securities | Fair Value, Inputs, Level 1 | ||
Available-for-sale Securities | 0 | 0 |
Short-term Investments | Federal agency debt securities | Fair Value, Inputs, Level 2 | ||
Available-for-sale Securities | 25,100 | 48,598 |
Short-term Investments | Corporate debt securities | ||
Available-for-sale Securities | 217,631 | 166,768 |
Short-term Investments | Corporate debt securities | Fair Value, Inputs, Level 1 | ||
Available-for-sale Securities | 0 | 0 |
Short-term Investments | Corporate debt securities | Fair Value, Inputs, Level 2 | ||
Available-for-sale Securities | $ 217,631 | $ 166,768 |
Fair Value Measurements Estimat
Fair Value Measurements Estimated Fair Value of Debt (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Secured Long-term Debt, Noncurrent | $ 1,585,465 | $ 1,659,011 |
Non-Publicly Held Debt | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Secured Long-term Debt, Noncurrent | 1,366,042 | 1,555,637 |
Non-Publicly Held Debt | Fair Value, Inputs, Level 3 | Fair Value, Measurements, Recurring | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | $ 1,170,576 | $ 1,191,008 |
Earnings per Share (Details)
Earnings per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Basic: | ||||
Net income attributable to Allegiant Travel Company (in Dollars) | $ 95,027 | $ (93,103) | $ 101,896 | $ (126,113) |
Less: Net income allocated to participating securities (in Dollars) | (1,285) | 0 | (1,451) | (236) |
Net income attributable to common stock (in Dollars) | $ 93,742 | $ (93,103) | $ 100,445 | $ (126,349) |
Net income per share, basic (in Dollars per share) | $ 5.49 | $ (5.85) | $ 6.04 | $ (7.93) |
Weighted-average shares outstanding | 17,064 | 15,902 | 16,618 | 15,927 |
Dilutive effect of stock options, restricted stock and stock-settled stock appreciation rights | 123 | 0 | 128 | 0 |
WeightedAverageNumberofDilutedSharesOutstandingTreasuryStockMethod | 17,187 | 15,902 | 16,746 | 15,927 |
Participating securities excluded under two-class method | (114) | 0 | (114) | 0 |
Diluted | 17,073 | 15,902 | 16,632 | 15,927 |
Undistributed Earnings (Loss) Allocated to Participating Securities, Diluted | $ (1,284) | $ 0 | $ (1,449) | $ (236) |
Net Income (Loss) Available to Common Stockholders, Diluted | $ 93,743 | $ (93,103) | $ 100,447 | $ (126,349) |
Diluted earnings per share | $ 5.49 | $ (5.85) | $ 6.04 | $ (7.93) |
Operating Segments (Details)
Operating Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | |||||
Asset Impairment Charges | $ 168,400 | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 443,747 | $ 116,520 | $ 700,441 | 495,431 | |
Third party products | 23,001 | 8,443 | 36,622 | 24,419 | |
Fixed fee contracts | 5,134 | 3,237 | 12,827 | 12,156 | |
Other | 551 | 5,147 | 1,667 | 10,522 | |
Operating Income (Loss) | 138,851 | (113,252) | 163,454 | (224,255) | |
Depreciation and amortization | 44,522 | $ 43,296 | 87,696 | $ 86,995 | |
Assets | $ 3,874,706 | $ 3,874,706 | $ 3,258,925 |
Impairment (Details)
Impairment (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Segment Reporting Information [Line Items] | |
Asset Impairment Charges | $ 168.4 |
Subsequent Events (Details)
Subsequent Events (Details) $ / shares in Units, $ in Thousands | Jul. 26, 2021Aircraft | Apr. 23, 2021USD ($)shares | Dec. 24, 2020$ / shares |
Payroll Support Program Grant Extension | |||
Subsequent Event [Line Items] | |||
Additional Proceeds Received from Payroll Support Program | $ 13,800 | ||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | shares | 924 | ||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 179.23 | ||
Debt Instrument, Face Amount | $ 1,700 | ||
Subsequent Event | Capital Lease Obligations | |||
Subsequent Event [Line Items] | |||
Lease Agreement, Term | 123 months | ||
Subsequent Event | Airbus A320 Aircraft Series | |||
Subsequent Event [Line Items] | |||
Capital Leased Assets, Number of Units | Aircraft | 10 |