LATAM Airlines Group published third-quarter results on November 3 showing a business that is growing fast and being squeezed at the same time. Revenue climbed 18.4 percent to $4.57 billion, and net income attributable to owners rose 16.3 percent to $441 million. The airline carried about 23.5 million passengers, up 2.7 percent, on capacity that grew 7.7 percent and a load factor of 83.7 percent.
The squeeze came from fuel. LATAM said its all-in jet fuel price, including hedges, averaged $167 a barrel, up 52.1 percent from a year earlier, and total fuel cost rose 60.9 percent, which management put at roughly $520 million. As a result, the adjusted operating margin dropped to 12.5 percent from 18.1 percent, and adjusted operating income fell 17.9 percent to $573 million.
The company also revised its outlook. It now expects 2026 revenue of $17.6 billion to $17.8 billion, adjusted EBITDA of $3.9 billion to $4.05 billion and an adjusted operating margin of 10.5 to 11.5 percent. Management pointed to a tougher fuel picture in the fourth quarter as the reason for the change.
The results fit a pattern across the industry this autumn, with carriers in Japan, Canada and elsewhere also reporting that fuel is eating into otherwise strong sales. Separately, an Aviation Week route roundup noted that LATAM plans São Paulo to Geneva flights three times a week on a 787-9 starting in April 2027, subject to government approval.
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