LATAM Airlines Group Balance Sheet Health
Financial Health criteria checks 1/6
LATAM Airlines Group has a total shareholder equity of $714.8M and total debt of $3.0B, which brings its debt-to-equity ratio to 425.2%. Its total assets and total liabilities are $15.2B and $14.5B respectively. LATAM Airlines Group's EBIT is $1.4B making its interest coverage ratio 1.9. It has cash and short-term investments of $2.0B.
Key information
425.2%
Debt to equity ratio
US$3.04b
Debt
| Interest coverage ratio | 1.9x |
| Cash | US$2.01b |
| Equity | US$714.80m |
| Total liabilities | US$14.51b |
| Total assets | US$15.22b |
Recent financial health updates
Recent updates
Financial Position Analysis
Short Term Liabilities: LTM's short term assets ($4.2B) do not cover its short term liabilities ($6.2B).
Long Term Liabilities: LTM's short term assets ($4.2B) do not cover its long term liabilities ($8.3B).
Debt to Equity History and Analysis
Debt Level: LTM's net debt to equity ratio (144%) is considered high.
Reducing Debt: LTM's debt to equity ratio has increased from 195.2% to 425.2% over the past 5 years.
Debt Coverage: LTM's debt is well covered by operating cash flow (92.8%).
Interest Coverage: LTM's interest payments on its debt are not well covered by EBIT (1.9x coverage).