LATAM produces strong 2017 results after capacity reduction

LATAM Airlines group posted revenues of $9,613m in 2017, up 7.0% from the year before. This helped improve its operating result to $706m, up 43.3%. The group made a net profit of $200.7m, up 81.3%.

Cargo revenue was up 0.8% in the year at $1,119m. Its revenue-tonne-kilometres were down 1.3% in the year. This was mainly due to a reduction in cargo capacity of 7.1%. Cargo load factors increased by 3.2%, reaching 54.9%. Its cargo yields improved 2.1% during 2017, due to an improvement in imports from North America and Europe to Brazil, which was driven by major imports of electronics and spare parts, as a result of more stable market conditions in the country as well as the appreciation of the Brazilian Real.

Source: LATAM