Latam, a company undergoing judicial recovery (Chapter 11) in the United States, had a net loss of US$ 691.873 million in the third quarter of 2021, an amount 20.7% higher than the loss of US$ 573.123 million registered a year earlier. In the year, the loss was US$ 1.892 billion, a decrease of 47.2% compared to the negative result of US$ 3.583 billion in 2020.
Ebitda (earnings before interest, taxes, depreciation and amortization) in the third quarter was negative by US$ 188.371 million, an improvement of 28.8% compared to the negative indicator of US$ 264.570 million in the same period last year.
The Ebitda margin was negative at 14.3% (increase of 37.2 percentage points). In the accumulated result, the indicator was negative by US$ 339.842 million, margin of -10.9%, compared to the negative US$ 173.485 million seen in the previous year.
On the other hand, the operating revenue of the airline between July and September was US$ 1.313 billion, an increase of 156.1% over the same period of the previous year. In the nine months of 2021, the number was US$ 3.115 billion, a decrease of 9.4% over 2020.
Among the positives, the airline celebrates a 25.2% drop in operating expenses for the quarter, to $1.792 billion. The company says the indicator reflected the group’s operations, which still remain below pre-pandemic levels, and efforts to reduce the group’s costs.
Regarding the judicial reorganization process, Latam highlights that, on the last day 1st, it made public the exit financing proposal presented by the Ad Hoc Group of creditors, advised by Moelis and White and Case, in addition to LATAM commercial concerns with the proposal of the exit plan.
“The debtors requested and received approval to extend the exclusivity period for Latam to file its Reorganization Plan. The exclusivity period established by the US Court for Latam to file its Reorganization Plan was extended until November 26, 2021 and the Reorganization Plan application period was extended until January 26, 2022″, the company points out.
Reference: CNN Brasil