Ancillary fees boost Allegiant Air’s earnings despite drop in airfare and passengers
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Route additions, vacation packages, and lower fuel costs also boosted earnings, but it was fees for carry-on bags and seat election, which averages $37.05 per passenger, that compensated for Allegiant’s drop in load factor.
Las Vegas-based Allegiant Travel Co., which operates Allegiant Air, reported record third-quarter earnings, boosted by greater passenger capacities, new routes to Hawaii and lower operational costs.
[caption id="" align="alignright" width="350"] Allegiant's earnings are bolstered by its vacation packages as well. Photo by JL Johnson.[/caption]
The company said today that it had net income of $16.9 million, or 87 cents a share, on revenue of $216.9 million. That compares to $9.5 million, or 49 cents a share, on revenue of $191.5 million for the same quarter a year ago.
It was the company's 39th straight profitable quarter, and earnings beat Wall S
