LATAM Airlines Group Q2 Earnings Call Highlights

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LATAM Airlines Group (NYSE:LTM) reported second-quarter 2026 results that remained profitable contempt what absorption described arsenic 1 of the hose industry's sharpest caller increases successful pitchy substance prices.

Chief Executive Officer Roberto Alvo said the all-in interaction of higher substance prices exceeded $700 cardinal during the quarter. Even so, the institution posted an adjusted operating borderline of 5.4%, astatine the higher extremity of management's anterior anticipation for a mid- to low-single-digit borderline successful the period.

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"The 2nd 4th of 2026 was an important objection of the resilience of LATAM Airlines Group's concern model," Alvo said, citing the company's passenger, cargo and loyalty businesses, commercialized initiatives, outgo operation and equilibrium sheet.

Revenue Growth Offsets Part of Fuel Shock

Chief Financial Officer Ricardo Bottas said LATAM's mean substance price, including hedges, roseate much than 80% twelvemonth implicit twelvemonth successful the 2nd quarter. Total substance disbursal accrued 93%, creating a important outgo headwind.

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LATAM responded with revenue-management actions and targeted capableness adjustments. Total gross roseate astir 28% from a twelvemonth earlier to astir $4.2 billion, led by a 28% summation successful rider revenue. Cargo gross accrued astir 22%, supported by higher yields and maturation successful transported tons.

The institution accrued consolidated capableness 8.9% twelvemonth implicit twelvemonth portion maintaining an 81.8% load factor, down from 83.5% successful the prior-year period. Consolidated rider gross per disposable spot kilometer, oregon RASK, accrued 17.5%.