By Brazil Stock Guide – Latam Airlines Brasil reached its highest domestic market share in 12 years in August 2025, capturing 41.4% of effective demand (RPKs), according to data from Brazil’s civil aviation authority (Anac). The carrier flew 3.97 billion revenue passenger kilometers, a 17.1% jump from August 2024.
Gol Linhas Aéreas (B3: GOLL4) ranked second, with 30.1% of demand and 2.89 billion RPKs, followed by Azul Linhas Aéreas Brasileiras (B3: AZUL4) at 28.4% and 2.73 billion RPKs. Together, the three airlines account for virtually 100% of Brazil’s domestic air traffic, underscoring the industry’s high concentration.
Latam was the first to emerge from bankruptcy, completing its Chapter 11 process in November 2022 after filing in May 2020 amid the Covid-19 crisis. Gol followed, exiting Chapter 11 in June 2025 after raising US$1.9 billion to recapitalize and securing around US$900 million in liquidity. Azul, which filed for Chapter 11 in May 2025, remains under court protection, with an expected exit between late 2025 and early 2026.
Market expansion
Overall domestic demand reached 9.59 billion RPKs in August, an 11% increase from a year earlier. It was the strongest performance ever for the month and marked 12 consecutive months of growth, signaling a robust recovery in Brazil’s aviation sector.
Beyond the traffic data, Latam also announced this week an order for 24 Embraer E195-E2 jets, with purchase options for 50 more aircraft. The deal highlights the airline’s strategy to modernize its fleet and boost regional connectivity across Brazil’s high-density domestic routes.
Latam’s 41.4% market share is its highest since 2013, cementing its lead as Brazil’s largest airline after restructuring its balance sheet. Still, competition remains fierce: Gol and Azul continue to adjust capacity and operations while working through their restructuring processes. The broader industry faces fuel price volatility and currency pressures as it heads into the peak holiday season.
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