- Latam Airlines reported a net income of $271.9 million for the fourth quarter.
- Revenue for the quarter was $3.40 billion, a 4.4% increase compared to the previous year.
- Operating income reached $450.5 million, with an operating margin of 13.3%.
- Revenue per Available Seat Kilometer (ASK) increased by 7.0 cents, although it decreased by 10% year over year.
- For the year forecast, ASK is expected to grow by 7% to 9%.
- Revenue for the year is projected to be between $14 billion to $14.5 billion.
- Adjusted earnings before interest, taxes, depreciation, amortization, and rent costs (Ebitdar) are forecasted to range from $3.25 billion to $3.6 billion.
- The adjusted Ebitdar margin is expected to be between 23.5% to 25%.
- Liquidity is anticipated to be above $3.9 billion, while net debt is projected to be below $5.4 billion.
- The Net Debt to Adjusted Ebitdar ratio is expected to reach up to 1.7 times.
- Adjusted Ebitdar for the fourth quarter was $865.915 million, marking a 28.2% year-over-year increase.
- The adjusted Ebitdar margin improved to 25.5% in the fourth quarter of 2024, compared to 20.8% in the same quarter of 2023.
- The stock analysis shows 10 buy recommendations, one hold, and no sell recommendations.
A look at Latam Airlines Group SA Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 5 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Latam Airlines Group SA is positioned for strong long-term growth and momentum. With a high score of 5 in growth and momentum, the company shows promising potential for expansion and sustained market performance. This indicates that Latam Airlines Group SA has a favorable outlook in terms of its future development and market presence.
Latam Airlines Group SA, as described, is an airline company that offers a wide range of flight services both domestically and internationally. Operating passenger aircraft and cargo freighters, the company serves destinations across various regions including South America, the Caribbean, Europe, North America, and the Pacific. Despite moderate scores in other areas, the high scores in growth and momentum suggest a positive trajectory for Latam Airlines Group SA‘s long-term prospects and market position.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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