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LATAM Airlines

Three strategic focus areas, Long-term growth

Our purpose is to elevate every single journey
LATAM’s purpose

Three strategic focus areas

LATAM is the only airline group in South America flying within five of its domestic markets, as well as across the region and to the rest of the world, with passengers, cargo, and the LATAM Pass loyalty programme.

Dedicated to providing the best solutions to our customers

  • More aircraftGrow the fleet from 383 aircraft to 452 by the end of 2028, with 28 more arriving in the rest of 2026.
  • Deeper into BrazilFly Embraer E195-E2s on 42 domestic routes in Brazil from November 2026, taking LATAM Airlines Brazil to 67 destinations, against 44 in 2019.
  • Premium and loyaltyBuild loyalty through LATAM Pass, South America’s leading airline loyalty programme, and a better experience from booking to baggage.
April to June 2026
  • Premium cabins made 29% of passenger revenue, two points more than in the first quarter, growing faster than the main cabin.
  • LATAM Pass reached 56 million members, up 9%, and its members made 67% of passenger revenue.

Premium cabins, cargo, and loyalty kept LATAM profitable

LATAM’s fuel costs rose 93% in the second quarter of 2026. Premium demand held up as fares rose to cover fuel, cargo passed its higher fuel costs on to customers quickly, and LATAM Pass members made two thirds of passenger revenue.

HOLD
In the cabin: passenger revenue
US$3,613m 86.4%
29% from premium cabins, two points more than in the first quarter. Each seat in the row is a tenth.
In the hold: cargo revenue
US$510m 12.2%
261 thousand tonnes, up 1.9%, including more than 24 thousand tonnes of South American flowers for Mother’s Day.
Everything else, from LATAM Travel to LATAM Pass partners
US$59m 1.4%

Revenue for the second quarter of 2026, in US dollars.

LATAM cut its 2026 guidance in May and raised it in August

LATAM set its 2026 guidance in December 2025 assuming jet fuel at US$90 a barrel. After the conflict in the Middle East sent prices up sharply, it cut the range in May and published only part of its guidance. In August, with fuel lower than it had feared, it raised the range again and reinstated the full set.

4060801001201401601802002203.23.43.63.84.04.24.44.64.85.05.2Jet fuel assumed, US$ a barrel90Adjusted EBITDA, US$ billion4.2–4.6

Fuel assumed in December 2025: US$90 a barrel.

  1. Diversify inside the core business.

    Premium cabins, cargo, and LATAM Pass kept LATAM profitable in a quarter when its fuel bill nearly doubled. We recommend looking for the parts of the core business that behave differently under stress, and growing them on purpose.

  2. Say what your forecast assumes.

    LATAM’s guidance states the fuel price and exchange rate behind it, and when fuel spiked it withdrew figures and reinstated them once it could see again. We recommend publishing the assumptions with a target, so a change in the target can be read.

  3. Reach more places with the right-sized tool.

    Smaller Embraer E2s let LATAM Airlines Brazil reach 67 destinations, against 44 in 2019. We recommend asking whether a smaller version of your offer would open markets the full-size one cannot serve profitably.

Sources

  1. 1. LATAM Airlines Group S.A. (2026). 2Q 2026 results. LATAM investor relations, 4 August 2026. s205.q4cdn.com
  2. 2. LATAM Airlines Group S.A. (2026). Annual report for 2025. Form 20-F, 5 March 2026. sec.gov

Headwater is not connected with LATAM Airlines Group. LATAM, LATAM Pass, LATAM Cargo, and Avión Solidario are trade marks of their owners. Updated 30 September 2026.

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