The LATAM Airlines group obtained net profit of $441 million (around €392.3 million) in the third quarter of 2026, representing an advance of 16.3% compared with the same period of the previous year, thanks to strong performance in demand for both passengers and cargo, the company said this Thursday.
Between July and September, operating revenues stood at $4,567 million (€4,862 million), 18.4% higher on a year-on-year basis, while adjusted EBITDA reached $1,095 million (€974 million).
Adjusted operating profit rose to $573 million (€509 million), which translated into an operating margin of 12.5%, below the 18.1% recorded in the same period of the previous fiscal year.
These figures were achieved in an environment marked by a sharp rebound in fuel costs, whose average price increased by 52.1% compared with the previous year and generated an additional impact on costs of close to $520 million (€462 million).
Despite this pressure, the group increased its combined capacity by 7.7% year on year in the quarter and maintained an average load factor of 83.7%.
LATAM’s chief financial officer, Ricardo Bottas, highlighted that the strength of the business model, the breadth of the destinations network, and the financial position have helped contain the increase in costs.
Upgrade of forecasts and progress in passengers and cargo
In light of these results, the airline revised upwards its projections for the full year 2026. Latam has raised its revenue estimate to a range of between $17,600 and $17,800 million (€15,657 and €15,835 million) and expects adjusted Ebitda of between $3,900 and $4,050 million (€3,469 and €3,603 million), under the assumption of a fuel price of $180 (€160) per barrel in the fourth quarter.
By business area, the passenger activity generated $3,998 million (€3,556 million), 17.8% more, supported by an increase in traffic and by a 9.4% improvement in unit revenues per passenger. Premium segment revenues advanced 23%.
In the cargo business, billing grew by 19.5%, to $483 million (€429 million), after moving 256,000 tons of goods.
The LATAM Pass loyalty program closed the quarter with 57 million members (+9%).
Liquidity, credit rating, and fleet renewal
As of September 30, the company had liquidity of $4,446 million (€3,955 million), equivalent to 26.4% of the revenues of the last twelve months, and presented an adjusted net leverage ratio of 1.5 times.
In this context, S&P Global and Fitch recently improved the group’s credit rating from 'BB' to 'BB+', which placed its two secured bonds at 'BBB-', within the investment-grade range.
LATAM’s fleet totaled 390 aircraft at the end of the quarter after the arrival of seven new aircraft: three A320neo, three A321neo and one B787-9.
In addition, in October Latam Airlines Brasil incorporated its first two Embraer E195-E2, which are part of a total order of 14 units intended to operate 42 domestic routes starting on November 30.
The group will hold its traditional "Investor Day" on December 14 in New York.