Quick Facts
FONT-SIZE Plus   Neg
Share SHARE
mail  E-MAIL

LAN Airlines Q4 Profit Declines - Quick Facts

1/31/2012 7:27 PM ET

Chile-based LAN Airlines S.A. (LFL: Quote), Tuesday reported a 32 percent decline in profit for the fourth quarter, hurt by higher fuel prices and startup costs related to Colombia operations.

The Santiago, Chile-based company's net income dropped to $112.5 million, compared to $164.6 million last year.

Profit was hurt mainly by the costs related to startup of LAN's operations in Colombia as well as the ongoing effects of the volcanic ash cloud on domestic operations in Chile and Argentina. The 28.8 percent rise in fuel prices also negatively impacted the bottom line.

Meanwhile, LAN continued to generate traffic growth and yield increases in both passenger and cargo operations, as reflects revenue growth.

Total revenues for the quarter grew to $1.54 billion from $1.30 billion last year, helped by a 20.8 percent increase in passenger revenues and a 15.8 percent improvement in cargo revenues.

Analysts polled by Thomson Reuters expected earnings of $0.40 per share on revenues of $1.54 billion for the quarter. Analysts' estimates typically exclude special items.

Operating margin was dragged down to 11.0 percent from 16.2 percent last year.

Click here to receive FREE breaking news email alerts for LAN Airlines S.A. and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Starbucks Corp. said Thursday after the markets closed that its second quarter profit rose 9.4% from last year, helped by higher revenue. The company's quarterly earnings per share came in line with analysts' expectations, but its quarterly revenue fell short of analysts' forecast. The world's largest specialty coffee retailer also raised its full year earnings outlook. Software giant Microsoft Corp. said Thursday after the markets closed that its third quarter profit fell 6.6% from last year, when results were boosted by special upgrade offer revenues. However, the company's quarterly earnings per share came in above analysts' expectations as did its quarterly revenue. Apple Inc. said Wednesday after the markets closed that its second quarter profit rose 7% from last year, as sales surged and margins improved amid strong sales of its iPhones. The company's quarterly earnings per share also came in above analysts' expectations as did its quarterly revenue. At the same time, the company gave a slightly downbeat revenue forecast for the current quarter.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.