Fiat Group and Chrysler Post Strong Second Quarter Results

Fiat Group and Chrysler had a strong second quarter with increases in unit sales, revenue and net income. 

Fiat Group as a whole sold 1,155,000 cars worldwide in the second quarter of 2013, 53,000 more cars than in Q2 2012. It had net revenue of €22.325 billion, €801 million more than in Q2 2012. Earnings before interest and taxes were up €125 million to €1.057 billion. Net profit after one-time expenses was €423 million, up €117 million from Q2 2012. 

While these numbers look positive, there is a major problem hidden in them. These figures were for all of Fiat Group, including Chrysler. When Chrysler was excluded from the financial results, earnings before interest and taxes fell to €90 million, €6 million less than Q2 2012. Net profit for Fiat excluding Chrysler was a loss of €192 million, compared to a loss of €154 million in Q2 2012. 

Sales continued to fall in Europe but were strong in Asia. European sales from Fiat Group hit 287,000 units, down 5% from Q2 2012. In Asia, Fiat Group sales were up 46% to 38,000 cars. 

North America was Fiat Group's largest market with 572,000 units sold, up 4% from Q2 2012. 

Latin American sales were also up by 14% to 258,000 cars.

Chrysler

Chrysler by itself had net revenue of $18 billion, up 7% from Q2 2012. It had operating profit of $808 million, up $53 million from Q2 2012. Net income was $507 million, up $71 million from Q2 2012. It sold 660,000 cars in the quarter, 30,000 cars more than Q2 2012.

Chrysler sales were up 17% in the US, which was its largest market gain. It holds 11.4% of the US auto market, up from 11.2% from Q2 2012.

"Chrysler Group is poised for a very strong performance in the second half of the year, with the new Jeep Grand Cherokee andRam 1500 pickup earning best-in-class recognition, and the all-new Jeep Cherokee now rolling off the line,” said Fiat and Chrysler CEO Sergio Marchionne.

Ferrari

Ferrari sold 1,969 cars in the second quarter, up 2%. The US is Ferrari's largest market with 481 cars sold, up 6%. 

It posted earnings before interest and taxes of €96 million, up €8 million from Q2 2012.

Maserati

Maserati sold 2,291 cars in the second quarter, up 29%. It had earnings before interest and taxes of €9 million, down €6 million from Q2 2012. The reduced profit was due to launching the new Quattroporte.

Fiat Group and Chrysler Post Strong Second Quarter Results :: News :: autoviva.com