LATAM Group has reported a first quarter net loss of $523.2 million on a year-over-year revenue increase of 150.5 percent to $2.23 billion, down 6.1 percent versus Q2 2019. At June 30, 2022, the Group had $1.13 billion in cash, cash equivalents and short-term investments.
On Tuesday (August 9, 2022), LATAM Airlines Group reported their second quarter financial results for the period ending June 30, 2022. The Group reported a net loss of $523.2 million on a year-over-three decline in revenue of 6.1 percent to $2.23 billion. LATAM’s second quarter capacity reached 72.6 percent of Q2 2019 levels. At June 30, 2022, the Group had $1.13 billion in cash, cash equivalents and short-term investments, as well as access to $950 million in committed, undrawn DIP financing. LATAM’s total financial debts at the end of the second quarter was $8.43 billion, an increase of $449.6 million compared to the end of Q1 2022, largely attributable to the DIP facility refinancing that occurred on April 8, 2022.
In Tuesday’s announcement, LATAM Airlines Group’s CEO, Roberto Alvo, said,
“We have closed a second quarter with significant progress in our reorganization process under Chapter 11 and we hope to emerge from it during the last quarter of this year. Although the group has made advances in its operational recovery, we continue to remain cautiously optimistic about the coming months, closely monitoring fuel prices and macroeconomic variables, as the industry still finds itself in the midst of a very dynamic environment.”
During the second quarter, LATAM Airline Group obtained approval of their Chapter 11 Reorganization Plan by the U.S. Bankruptcy Court and secured exit financing. The Group also reached agreements with Boeing for two Boeing 787 Dreamliners, and with Airbus for a total of 87 A320neo Family aircraft, one of which was delivered in the second quarter. The amended agreement with Airbus also includes the A321XLR (Xtra-Long-Range) model. From now through 2029, LATAM will add 86 A320neo Family aircraft and two Boeing 787-9 Dreamliners to their operating fleet.
LATAM Airlines Group S.A. is the leading airline group in Latin America, offering service in five domestic markets (Brazil, Chile, Colombia, Ecuador and Peru) as well as international service within Latin America and to Europe, Oceania, the United States and the Caribbean. LATAM Cargo Chile, LATAM Cargo Colombia and LATAM Cargo Brazil are the LATAM Airlines freight subsidiaries. In addition to passenger aircraft belly hold cargo capacity, the Group operates a fleet of 13 dedicated freighters, which will be expanded to 21 freighters by 2023.
Source: LATAM Airlines Group