LATAM Airlines Soars: Q3 2024 Results Reveal Robust Growth and Strategic Refinancing
LATAM Airlines Group has demonstrated remarkable resilience and growth in the third quarter of 2024. The company reported a net profit of $301 million, contributing to a year-to-date profit of $705 million. This performance underscores LATAM’s ability to navigate challenging market conditions.
The airline’s operating revenue reached $3.3 billion, marking a 7.6% increase from the same period in 2023. LATAM achieved an adjusted operating margin of 14%, reflecting efficient cost management and strong demand. The adjusted EBITDAR stood at $828 million, with an impressive margin of 25.2%.
LATAM’s passenger numbers grew significantly during this period. The airline transported 21.1 million passengers, a 7.1% increase from the previous quarter. Over the past 12 months, LATAM served 80.6 million passengers, representing a 13.6% year-over-year growth.
The company’s capacity expansion strategy yielded positive results. Available Seat Kilometers (ASK) increased by 15.1% compared to Q3 2023. LATAM maintained a solid consolidated load factor of 84.9%. International operations saw substantial growth, expanding by 22.4% with a load factor of 86.1%.
LATAM’s financial position strengthened further through strategic debt refinancing. In October 2024, the company refinanced most of its Chapter 11 exit debt. This move nearly halved the original financing cost and secured no financial debt maturities until 2028. The refinancing will impact the income statement by approximately $134 million.
The airline’s fleet expansion plans remain ambitious. LATAM has secured orders for over 120 aircraft through 2030. This includes commitments with Airbus, Boeing, and lessors for 106 narrow-body and 19 wide-body aircraft. The current fleet comprises 341 aircraft, with a mix of Boeing and Airbus models.
LATAM Airlines Soars: Q3 2024 Results Reveal Robust Growth and Strategic Refinancing
LATAM’s CFO, Ramiro Alfonsín, attributed the strong performance to sustained efforts over recent years. The company has achieved profitable growth while reducing debt and maintaining a robust liquidity position of $3.6 billion. LATAM also improved its cost efficiency, achieving a passenger cost per ASK, excluding fuel, of $4.0 cents.
Looking ahead, LATAM has updated its 2024 projections. The company expects capacity growth between 15% and 16% compared to 2023. The adjusted passenger CASK, excluding fuel, is projected to be between $4.2 and $4.3 cents, lower than initially forecasted.
LATAM’s performance reflects its position as the tenth largest airline group globally and the leader in South America. The company now serves 164 destinations across 31 countries, offering both passenger and cargo operations. This extensive network has contributed to LATAM’s strong market presence and financial results.
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LATAM Airlines Group S.A., together with its subsidiaries, provides passenger and cargo air transportation services in Chile, Argentina, Peru, Colombia, Ecuador, Brazil, the United States, other Latin American countries, the Caribbean, Europe, and Oceania. As of December 31, 2024, the company provides passenger transport services to…
Net income rose to $1.5 bn in 2025, from $581.8 mn in 2023.
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