LATAM in Q2 2025: Net Profit Rises 66% and Sets Operational Record
LATAM Airlines Group reported an exceptional second quarter in 2025, solidifying its position as a regional leader with robust growth in both revenue and operational efficiency. The company achieved a net profit of US$242 million, representing a 66% increase compared to the same period the previous year. This performance was supported by a 7.6% rise in passengers carried, reaching 20.6 million between April and June.
Rising Revenue and Profitability
During the quarter, LATAM generated US$3.279 billion in revenue, an 8.2% year-over-year increase. Passenger transport revenue totaled US$2.824 billion, up 8.5%, while the cargo business contributed US$419 million, a 10.2% increase compared to Q2 2024.
Operationally, the group achieved a record adjusted operating margin of 12.9%, the highest in its history for a second quarter.
Sustained Growth in Capacity and Occupancy
The group’s consolidated capacity—measured in available seat kilometers (ASK)—grew by 8.3% year-over-year, with an occupancy rate of 83.5%, 1.2 percentage points higher than the same period last year. LATAM currently operates in 153 destinations across 27 countries, attracting an expanding passenger base thanks to its regional and international connectivity.
→ LATAM Introduces WhatsApp Meal Selection for International Flights from Brazil
Upward Projections for Year-End 2025
The group revised its annual projections with an optimistic outlook:
- Capacity growth in Brazil: Projected increase between 9.5% and 10.5%, up from the previous range of 7.0%-9.0%.
- Expected adjusted operating margin: Between 14.0% and 15.0%, higher than the initial 13.0%-15.0%.
- Projected adjusted EBITDAR: Between US$3.650 and US$3.850 billion, above the previous range of US$3.400 to US$3.750 billion.
- Adjusted levered free cash flow: Expected to exceed US$1.300 billion (previously US$1.200 billion).
- Adjusted net leverage ratio: Projected to remain at or below 1.5x.
Strong Liquidity and Shareholder Returns
LATAM ended the quarter with US$3.600 billion in liquidity and an adjusted net leverage of 1.6x, even after distributing US$445 million to shareholders. Concurrently, the company refinanced US$800 million in non-fleet-related debt, reducing interest costs by over 570 basis points, which will generate annual net savings of US$33 million.
Ongoing Investment in Customer Experience
LATAM continues to prioritize service improvements. During the quarter:
- Launched new Premium Business suites on its wide-body aircraft, featuring individual doors—a first in South America.
- Announced plans to progressively install Wi-Fi on its long-haul fleet starting in 2026.
- Prepared to open the new LATAM Lounge in Lima, scheduled for the first week of August.
The Net Promoter Score (NPS) remained at 56 points, matching the Q1 record. In the premium segment, the NPS rose to 60 points.
Expanded Routes and Greater Connectivity
LATAM Airlines Brazil launched six new domestic routes and expanded international operations to and from Argentina. Additionally, it deepened its alliance with Delta Air Lines, including Argentina in its Joint Venture agreement, strengthening ties between South and North America.
Growing Fleet
During the quarter, LATAM added 12 aircraft: 10 Airbus A320Neos, 1 A321Neo, and 1 A330 on short-term lease. With 360 active aircraft, the company has already received 14 of the 26 units planned for 2025.
Awards and Sustainability
In June, LATAM received nine Skytrax World Airline Awards, including “Best Airline in South America” for the sixth consecutive year and “Best Airline Staff in the Region” for the fourth year. The results were based on over 22 million votes from passengers of more than 100 nationalities.
In sustainability, LATAM implemented the Aircraft Performance Monitoring (APM) software across its entire fleet, achieving savings equivalent to 8,000 tons of avoided CO₂ emissions annually. It also strengthened its “Solidarity Plane” program, transporting 1,900 passengers and 15 tons of cargo free of charge, reaching 50 strategic partnerships in Brazil, Chile, Colombia, Ecuador, and Peru.
With these results, LATAM once again demonstrates its adaptability, profitable growth, and operational leadership in the region, consolidating a model that combines efficiency, connectivity, and customer focus as pillars of its success.
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Un apasionado por la aviación, Fundador y CEO de Aviación al Día.