Allegiant Air’s Strong March Signals Positive Domestic Demand

Allegiant Air shows strong domestic demand despite growing economic uncertainty. Allegiant Air saw strong demand before the U.S. imposed tariffs on April 2, 2025. These tariffs impacted trade and could change how consumers spend.

The Allegiant Travel Company reported a 14% jump in passenger traffic for March 2025. Allegiant flew 21% more flights and matched that with increased seat capacity. In Q1 2025, Allegiant’s ASKs and departures rose by 14% year-over-year. Allegiant flew additional flights under fixed-fee contracts to support demand.

Jet fuel prices stayed low at $2.52 per gallon, cutting costs for Allegiant Air. This growth continued despite economic challenges like fuel price changes. Analysts now await earnings from other major U.S. carriers for a broader view of the market.

Some airlines see less demand, but others gain from premium international travel. Allegiant Air, however, continues to benefit from solid domestic demand. Its low-cost model attracts travelers looking for affordable options in uncertain times.

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