Latin America’s largest airline group LATAM has posted a net loss of $40m for Q1 2015 on par with last year’s result despite reducing operating expenses by 16.3 per cent.
In publishing its results yesterday (May 14) LATAM revealed that its fuel costs had fallen by 31.1 per cent year on year and that it had cut maintenance costs by 12.6 per cent.
The 20 per cent devaluation of the Brazilian real was cited as one of the key reasons for the loss, however, the group also saw revenues fall 12.2 per cent to $2.8bn from the previous year’s $3.2bn.
LATAM’s cargo business experienced a 16.7 per cent drop in revenue.
Despite these challenges, the group was able to double Q1 operating income to $227m.