Allegiant cuts 2018 profit forecast on fuel, growth outlook

Allegiant Airlines cut its full-year profit outlook because of higher jet-fuel prices and scaled back growth projections for the year because of slower-than expected aircraft deliveries. Profit for the full year will be between $9 and $10 a share, down from the $10 to $12 expected earlier, because of $35m more in fuel costs this year, the carrier said Wednesday after the close of trading. Allegiant adjusted its 2018 outlook for seat and flight capacity growth to between 9 and 11%, down from a prior plan of as much as 15%. Allegiant joins other carriers in paring capacity or profit outlooks as fuel prices jumped 41% over the past 12 months. Slowed aircraft deliveries stymied growth earlier this summer as the carrier switches its fleet to include only planes made by Airbus. The carrier had a second-quarter profit of $3.10 a share, beating the $2.73 average of analyst estimates compiled by Bloomberg. Revenue fell short of analyst expectations, rising 8.7% to $436.8m, the company said. Allegiant said it now plans to add 25 used Airbus planes this year, down from an original 30.<br/>