Equity Profile

LTM

LATAM Airlines Group S.A.

IndustrialsPassenger Airlines$15.1B

Aug11Tue

Pre-Earnings Brief

UpcomingQ4-2025After Close9:00 AM EDT

Company Snapshot

LATAM Airlines Group S.A. is a major airline based in South America, providing passenger and cargo services across the region and internationally....

Key Metrics to Watch

Passenger Revenue

This metric reflects the core business performance and demand for air travel, which is crucial for LATAM's profitability.

N/A

Load Factor

A higher load factor indicates better capacity utilization, which is essential for maximizing revenue.

N/A

1 more metrics, Wall Street expectations, options signals, track record, and call prep available with Pro.

LTM Q4-2025 Earnings Preview

Context

Company Snapshot

LATAM Airlines Group S.A. is a major airline based in South America, providing passenger and cargo services across the region and internationally. As a key player in the passenger airline industry, its performance is closely tied to consumer travel demand and economic conditions.

Earnings Scorecard·Last 8Q

EPS Beat Streak

EPS Beat Rate

63%

Avg EPS Surprise

-13.76%

Avg Stock Reaction

-0.20%

Last Quarter Recap

In Q3 2025, LATAM Airlines reported an earnings per share (EPS) of $0.00, significantly missing analyst estimates of $1.26. The stock reacted negatively, dropping 1.64% the following day.

Management Promises & Guidance

Expectations

Wall Street Expectations

Overall, expectations for LATAM Airlines are cautious given the recent earnings miss and the ongoing challenges in the airline industry. Investors will be looking for signs of recovery in passenger demand and cost management.

Bull Case

If LATAM shows strong passenger revenue growth and improved load factors, it could signal a rebound in travel demand, leading to a positive market reaction.

Bear Case

Conversely, if the airline continues to report weak earnings and high operating costs, it may raise concerns about its financial stability and future profitability.

Expectations

Two Questions That Matter

The print will turn on these two things.

What is the current load factor and how does it compare to pre-pandemic levels?

This will indicate how well LATAM is recovering from the pandemic and managing capacity, which is critical for revenue generation.

What are the expectations for passenger revenue growth in the upcoming quarters?

Understanding revenue growth expectations will help gauge the company's recovery trajectory and overall market demand.

Edge

What the Street Is Missing

Why consensus could be wrong

The Street may be underestimating the potential for a rebound in passenger demand, especially with the upcoming holiday season.

Supporting Evidence

Recent trends in travel bookings suggest an uptick in demand as restrictions ease.

LATAM's cost management strategies may be more effective than anticipated, potentially improving margins.

The options market indicates a significant move, suggesting that investors are bracing for a surprise.

Key Risk

If passenger revenue exceeds expectations, it could challenge the current bearish sentiment.

Edge

Thesis-Break Levels

Pre-commit to what would confirm each case.

The core debate this quarter revolves around LATAM's ability to manage costs while capitalizing on recovering travel demand.

Bull Confirmed If

A load factor above 85% would confirm a strong recovery in travel demand.

Bear Confirmed If

Operating expenses rising above 80% of revenue would indicate worsening profitability.

Pre-Earnings Positioning

Options Market

Implied Move

±7.84%

The options market is pricing in a significant potential move in either direction following the earnings report, indicating uncertainty among investors.

Detail

ATM IV

0.5%

30d HV

57.9%

Calls (49K)P/C Ratio: 0.17Puts (1K)

Preparation

Post-Print Playbook

Likely market behavior by outcome — not investment advice.

Beat & Raise

If LATAM beats expectations, history suggests the stock could rise by around 1.64%, confirming a positive outlook for recovery.

In-Line / Cautious

A cautious but in-line report may lead to a muted reaction, as investors await more clarity on future growth.

Miss

If the company misses again, the stock could drop by about 1.64%, raising concerns about its financial health.

Earnings Track Record

Preparation

What to Listen For

Call Prep

1Updates on passenger revenue trends and load factor improvements.
2Any commentary on cost management strategies and operating expenses.
3Insights into future capacity plans and market outlook.
4Details on international travel demand recovery.
5Management's perspective on competitive positioning in the airline industry.

See the full picture

AI-powered briefs, options data, and 20 quarters of history — everything you need before earnings.

No charge today · Auto-bills $8/mo after 7 days · Cancel anytime

More Earnings This Week

5 Reports

Aug8

ONReported

ON Semiconductor Corporation

RecapView

Aug9

PARRReported

Company Snapshot

LATAM Airlines Group S.A. is a major airline based in South America, providing passenger and cargo services across the region and internationally....

Key Metrics to Watch

Passenger Revenue

This metric reflects the core business performance and demand for air travel, which is crucial for LATAM's profitability.

N/A

Load Factor

A higher load factor indicates better capacity utilization, which is essential for maximizing revenue.

N/A

1 more metrics, Wall Street expectations, options signals, track record, and call prep available with Pro.

LTM Q4-2025 Earnings Preview

Context

Company Snapshot

Earnings Scorecard·Last 8Q

EPS Beat Streak

EPS Beat Rate

63%

Avg EPS Surprise

-13.76%

Avg Stock Reaction

-0.20%

Last Quarter Recap

In Q3 2025, LATAM Airlines reported an earnings per share (EPS) of $0.00, significantly missing analyst estimates of $1.26. The stock reacted negatively, dropping 1.64% the following day.

Management Promises & Guidance

Expectations

Wall Street Expectations

Bull Case

If LATAM shows strong passenger revenue growth and improved load factors, it could signal a rebound in travel demand, leading to a positive market reaction.

Bear Case

Conversely, if the airline continues to report weak earnings and high operating costs, it may raise concerns about its financial stability and future profitability.

Expectations

Two Questions That Matter

The print will turn on these two things.

What is the current load factor and how does it compare to pre-pandemic levels?

This will indicate how well LATAM is recovering from the pandemic and managing capacity, which is critical for revenue generation.

What are the expectations for passenger revenue growth in the upcoming quarters?

Understanding revenue growth expectations will help gauge the company's recovery trajectory and overall market demand.

Edge

What the Street Is Missing

Why consensus could be wrong

The Street may be underestimating the potential for a rebound in passenger demand, especially with the upcoming holiday season.

Supporting Evidence

Recent trends in travel bookings suggest an uptick in demand as restrictions ease.

LATAM's cost management strategies may be more effective than anticipated, potentially improving margins.

The options market indicates a significant move, suggesting that investors are bracing for a surprise.

Key Risk

If passenger revenue exceeds expectations, it could challenge the current bearish sentiment.

Edge

Thesis-Break Levels

Pre-commit to what would confirm each case.

The core debate this quarter revolves around LATAM's ability to manage costs while capitalizing on recovering travel demand.

Bull Confirmed If

A load factor above 85% would confirm a strong recovery in travel demand.

Bear Confirmed If

Operating expenses rising above 80% of revenue would indicate worsening profitability.

Pre-Earnings Positioning

Options Market

Implied Move

±7.84%

The options market is pricing in a significant potential move in either direction following the earnings report, indicating uncertainty among investors.

Detail

ATM IV

0.5%

30d HV

57.9%

Calls (49K)P/C Ratio: 0.17Puts (1K)

Preparation

Post-Print Playbook

Likely market behavior by outcome — not investment advice.

Beat & Raise

If LATAM beats expectations, history suggests the stock could rise by around 1.64%, confirming a positive outlook for recovery.

In-Line / Cautious

A cautious but in-line report may lead to a muted reaction, as investors await more clarity on future growth.

Miss

If the company misses again, the stock could drop by about 1.64%, raising concerns about its financial health.

Earnings Track Record

Preparation

What to Listen For

Call Prep

1Updates on passenger revenue trends and load factor improvements.
2Any commentary on cost management strategies and operating expenses.
3Insights into future capacity plans and market outlook.
4Details on international travel demand recovery.
5Management's perspective on competitive positioning in the airline industry.