Latam Soars with 66% Profit Surge in Q2 2025, Reaching $242 Million
Santiago, Chile – Latam Airlines, latin America’s largest carrier, announced a robust second quarter for 2025, reporting a net profit of $242 million. This figure represents a significant 66% increase compared to the same period in the previous year, underscoring the airline’s strong operational and financial performance amidst a dynamic economic landscape.
The impressive profit growth is attributed to a 7.6% rise in passenger volume, with Latam transporting 20.6 million passengers during the quarter.”Our results for the second quarter clearly demonstrate the operational and financial strength of the group, and also its ability to develop in a volatile and uncertain macroeconomic habitat,” stated Ricardo Bottas, Latam Airlines Group’s Financial Director. He further emphasized the company’s commitment to a disciplined growth strategy, with continuous investment in product and service enhancements aimed at elevating the customer experience across its network.
Revenue Climbs to $3.28 Billion
Latam’s total revenue for the second quarter of 2025 reached $3.279 billion, an 8.2% increase year-over-year.Passenger revenue contributed significantly to this growth, rising by 8.5% to $2.824 billion. The airline’s cargo operations also experienced a strong performance, generating $419 million, a 10.2% increase from the second quarter of 2024.The company, formed in 2012 through the merger of Chile’s Lan and Brazil’s Tam, achieved an adjusted operational margin of 12.9%, marking its best-ever second-quarter performance. This strong quarterly showing brings Latam’s accumulated net profit for the first half of 2025 to nearly $597 million.
Strategic Financial Maneuvers bolster Performance
Latam’s financial resurgence is further highlighted by its successful exit from Chapter 11 bankruptcy protection in late 2022, a process initiated in May 2020 due to the severe impact of the COVID-19 pandemic on the aviation industry.The airline’s return to the New York Stock Exchange last year was a pivotal moment, enabling the refinancing of a considerable portion of its non-fleet debt. This strategic move significantly reduced interest expenses, strengthened its balance sheet, and improved cash flow generation.
Adding to its financial achievements, Latam secured its first “sustainability-linked credit” in December, a $300 million facility that positioned it as the sole South American airline to undertake such a financial operation at that time.These strategic financial decisions have played a crucial role in the company’s current robust performance and its ability to navigate economic uncertainties.