logo
Share SHARE
FONT-SIZE Plus   Neg

LAN Airlines Q4 Profit Declines - Quick Facts

Chile-based LAN Airlines S.A. (LFL), 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.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Delta Air Lines Inc. (DAL) pilots, represented by the Air Line Pilots Association International, are picketing on Friday at several airports across the country. The pilots said the picketing was to raise the sense of urgency in ongoing contract negotiations. The negotiations between the pilots... Charter Communications, and its recently acquired subsidiary Time Warner Cable, have been regularly overcharging its consumers to a tune of $7.2 million per year, according to a report from the U.S. Senate's Permanent Subcommittee on Investigations. According to the report, Time Warner Cable over-billed... Popular photo sharing network Instagram is adding a new translation button on its pages, so that the global crowd can read and enjoy the captions and comments given for the photographs uploaded. The new update will be available from next month onward.
comments powered by Disqus
Follow RTT