LATAM continúto showing recover usón operational a despite a challenging first quarter after the appearanceón of the Omicron variant of Covid-19 and the significant increase in the price of fuel.
The company has continued to improve its performanceñor at operational and reducci levelón in your CASK (cost per ask) ex fuel. In the foríodo, the consolidated capacity of the group (measure in ASKs) reachedó the 68,2% of the levels of 2019 and an increase of 89,7% in comparisonón with the first quarter of 2021, result that was driven, principally, by sun operationsécharacteristics of the subsidiaries.
Recover usóLATAM operational n
Total revenues amounted to US$1,959 million during the period.íodo, 22,4% below the levels of 2019, but they had an increase of 114,5% in comparisonón with the first quarter of 2021. While passenger revenue fell 31,4% in comparisonón with him 2019 (+199,1% vs 1Q21), The operations of LATAM's cargo subsidiaries maintained a sóread performñO, with revenues of US$430.7 million, which represents an increase in 63,5% regarding the same período de 2019.
Total costs were US$2,097.2 million, which represents a decreaseón of the 14,2% in comparisonón with 2019. In particular, the best ex-fuel CASKó a 6,8% regarding the fourth quarter ofñor past, from $5.6 cents to $5.2 cents, what alsoás represents an improvement of 29,3% compared to the first quarter of 2021. The previous results are explained within the framework of the reduction measures.ón of costs implemented by the group since the beginning of the reorganization processón and what will be translatedán in savings per más of US$900 million annually.
Nevertheless, during the quarter, There was a significant increase in the average price of fuel that reachedó US$3.25 per galón (excluding hedges), an increase of 75,8% against the same personíI smell the añthe past and even 29,9% over the fourth quarter of 2021. This rise is largely due to the conflict in Ukraine.
Roberto Alvo, CEO de LATAM Airlines Group, commentó what:
“We have had a significant improvement in our results compared to the same period.íodo de 2021 in an environment thatún continúbeing defiant”. Aggregateó what “We remain cautiously optimistic about the future, given that, Although we have seen a healthy recoveryón of passenger demand, The continuous increase in fuel prices is a variable that we observe carefully.ón”.
The operational result reachedó pélosses of US$138.2 million, while the result of úlast línea was of pélosses of US$380.1 million, which is compared to a pénet loss of US$60.1 million in the same periodíodo de 2019 and a péloss of US$430.9 million during the first quarter of the yearñprevious one.
Regarding Capíleakage 11, the 6 May 2022, LATAM informó the results of the voteón de su Plan de Reorganizationón that reachedó sufficient support of approximately 82% in dólares and an approximately 65% of the núgroup of creditor voters of the classes affected by the Plan. These results do not include RCF claim holders, who isúThey have a deadline until 10 May of 2022 for vote. This after approvalón by the US Court of the Declarationón of Disclosureón (“Disclosure Statement”) the 21 march 2021, what I allowedó Debtors to initiate the application processónumber of votes. The Confirmation Hearingón of the Plan isá scheduled to develop on 17 and 18 May 2022, According to what was established by the Court of USA.
Advances in sustainability
In relationón to the agenda sustainability of the group, During the quarter LATAM launchedó “Friday Fly Neutral”, initiative that offsets emissions from emblem routesátics the días Friday supporting protectionón of stratum ecosystemsélogicians in the regionón. At the same time, the group incorporatedó a new sustainable Eco kit in the business cabin and plastic bags were replacedáaud sticoíheadphones, blankets and pillows for reusable materials.
To support the response to humanitarian crises worldwide, the Avi programón LATAM Solidarity made availableón from the UN Refugee Agency (UNHCR), free transportation of passengers and cargo to help people who have had to leave their homes in search of safety and protectionón. Además, sumó two new alliances: the Foundationón Cardioinfantil in Colombia and the Committeeé of Foundations of the Global Initiative to Fight Cáncer Infantil en Perú.
Recover usónumber of flights
LATAM projects an operationónumber of passengers up to 73% for May (measurement in seat-kiloómeters available – ASK) compared to the same month 2019 (pre-pandemic scenario). This beingíto the fourth month of a positive operational trend for the group, hand in hand with the reactivationón of routes and the premiere of new destinations to the global connectivity network.
LATAM prevé operate approximately 1.115 daily national and international flights during May, connecting 133 destinations in 20 países. Among the novelties of this month stands out the start of operations of the Brasilia-Sinop route, at the sun marketéstic from Brazil. The cargo business, while, have programmed 1.210 flights on cargo planes. All of these projections areán subject to evolutionón of the pandemic in the countriesíwhere the group operates.
- Brazil
- 78% operationón projected (versus mayo 2019). Projection referenceón April 2021: 74%
- 100% doméstic and 56% international
- Total May destinations: 50 doméstatic (equivalent to 532 average daily flights) and 18 international.
- News:
- Doméstic: New Brasilia-Sinop route (7 f/s)
- 78% operationón projected (versus mayo 2019). Projection referenceón April 2021: 74%
- Chile
- 62% operationón projected (versus mayo 2019). Projection referenceón April 2021: 59%
- 78% doméstic and 55% international
- Total May destinations: 15 doméstatic (equivalent to 117 average daily flights) and 22 international
- Colombia
- 114% operationón projected (versus mayo 2019). Projection referenceón April 2021: 107%
- 176% doméstic and 60% international
- Total May destinations: 17 doméstatic (equivalent to 192 average daily flights) and 5 international.
- Ecuador
- 41% operationón projected (versus mayo 2019). Projection referenceón April 2021: 41%
- 124% doméstic and 19% international
- Total May destinations: 8 doméstatic (equivalent to 40 average daily flights) and 3 international
- Perú
- 68% operationón projected (versus mayo 2019). Projection referenceón April 2021: 67%
- 88% doméstic and 61% international
- Total May destinations: 19 doméstatic (equivalent to 155 average daily flights) and 22 international
- Load
- 96% operationón projected (versus mayo 2019). Projection referenceón April 2021: 94%
- 81% belly doméstic and 69% belly international*
- 144% dedicated freighter
