Chile's LAN has posted a 27.4% decline in operating income to $111 million for the first quarter.
The Oneworld carrier's total operating revenues rose 12.6% to $1.54 billion, while operating expenses grew 17.7% to $1.43 billion.
LAN posted a 21.8% fall in net income to $76.1 million for three months ended 31 January.
Passenger traffic rose 14% in the quarter, while capacity was up 11.3%. The load factor grew 1.9 percentage point to 82.9%.
The carrier ended the quarter with 151 aircraft, of which 102 are owned and 49 are leased. LAN received two Airbus A319s during the quarter.