Latam Airlines Group's passenger revenue
declined 13.7 percent year over year to $1.7 billion during the second quarter.
The carrier reported that traffic increased 8.4 percent for its affiliates in Spanish-speaking
countries—Argentina, Chile, Colombia, Ecuador and Peru—but declined 11.9
percent in Brazil. Total traffic increased 2.9 percent, and total capacity
increased 2.1 percent, pushing load factor up 0.7 percentage points to 83.3
percent. Currency fluctuations also cut into Latam's revenue. While Latam is
increasing capacity on routes between Spanish-speaking countries and both the United
States and Europe, it cut domestic capacity in Brazil 13.7 percent and plans to
slash capacity on routes between Brazil and the United States by 35 percent
year over year during the second half of this year. Latam reported a loss of
$92.1 million during the quarter, compared with a $49.7 million loss in the
second quarter of 2015.