Allegiant Travel Company (NASDAQ:ALGT) Q3 2023 Earnings Call Transcript

They’ve got a very well-rounded product they’ve got a lot of debt on the balance sheet they want to pay down. So making good money the way they have is maybe becomes infectious. But long-term making money is the name of the game. And what you’ve seen over the last three years four years is we’ve all been thrown out of our habits and what we’ve done historically I think American Delta and United have benefited by the kind of the stuff they did pre-pandemic and brought it to home here in the last few months and last year with both international being so rich and with the ability to offer competitive products. When you look at the ULCC market as I said they’ve got over a 90% overlap in their marketplaces. That’s tough competition to go up against if you’ve got a comparable product that’s sitting there with a well-known brand that has a credit card has all the attributes.

So we like staying out of people’s way in doing those things but as far as capacity growth I think it’s you’re certainly not going to see kind of a wide-open funnel like we saw in the mid-teens and the like in my mind. Could it get there a couple of years from now? Sure. But right now I think everybody is a bit cautious and wants to bring it back slowly. And sitting on top of all this is ATC. When you’re being asked to cut your summer travel into New York City because ATC can’t keep up that’s a big whack to your operation and your bottom-line.

Ravi Shanker: Always appreciate your thoughts. Thanks, Maury.

Maurice Gallagher: Thank you.

Operator: Thank you. There are no more questions in the queue. And I will now turn the call back over to Maury, for closing remarks. Please go ahead.

Maurice Gallagher: Thank you all very much for your time. I appreciate your interest. And we’ll see you in 90 days. Thank you.

Operator: Thank you for joining. You may all disconnect. And have a great day.