Latam Airlines Group SA tumbled the most since July after reporting an unexpected quarterly loss amid a slide in Brazil’s real.

Shares of Latin America’s largest airline, formed by the merger of LAN Airlines SA with Brazil’s Tam SA, sank 4 percent to 6,885 pesos at 2:51 p.m. in Santiago, the biggest decrease since July 21. Latam was the worst performer on the IPSA Index, which retreated 0.3 percent today.

The Santiago-based company posted a loss of $107.8 million in the third quarter while the average estimate of nine analysts surveyed by Bloomberg called for adjusted net income of $16 million. Latam cited in a statement the devaluation of the Brazilian real and also said the World Cup resulted in lower demand for corporate passengers and cargo transportation.

“Although during previous quarters management’s efforts have translated in improved efficiency, results continue to be under pressure,” Pilar Gonzalez and Francisca Manuschevich, analysts at Credicorp Capital in Santiago, said in an e-mailed research note to clients.

To contact the reporter on this story: Eduardo Thomson in Santiago at ethomson1@bloomberg.net To contact the editors responsible for this story: Brendan Walsh at bwalsh8@bloomberg.net Rita Nazareth, Dennis Fitzgerald.

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Photo Credit: LATAM Airlines 8026 arriving from Sao Paulo, Brazil. Juan Carlos Bascuñán Lizan / Flickr