7/31/2013 | 1 MINUTE READ

Fiat Profit Soars 82% with Help from Chrysler

Facebook Share Icon LinkedIn Share Icon Twitter Share Icon Share by EMail icon Print Icon


Facebook Share Icon LinkedIn Share Icon Twitter Share Icon Share by EMail icon Print Icon

Posted: July 31, 2013 at 3:25 am

Fiat SpA boosted net earnings to €435 million ($577 million) in the second quarter of 2013 from €239 million ($317 million) a year earlier.

Revenue grew 4% to €22.3 billion ($29.6 billion). Vehicle sales rose 5% to 1.2 million units as a 3% decline in Europe was offset by gains in all other regions.

Trading profit (earnings before interest, taxes and one-time items) climbed 9% to €1 billion ($1.3 billion) in the quarter, buoyed by cost cutting in Europe, growing profit in Asia Pacific and a €904 million ($1.2 billion) contribution from affiliate Chrysler.

Without Chrysler’s contributions, Fiat would have posted a €247 million ($328 million) net loss in the April-June period, about the same as a year earlier.

In Europe, the company narrowed its quarterly trading loss 29% to €98 million ($130 million) on a 3% revenue slide to €4.8 billion ($6.4 billion).

Latin American trading income contracted 6% year on year to €224 million ($297 million) in the second quarter. Trading profit edged up 1% to €668 million ($887 million) in North America and nearly tripled to €99 million ($131 million) in Asia Pacific.

Fiat, excluding Chrysler, shrank both its automotive debt and cash position 2% from the previous quarter to €18 billion ($23.9 billion) and €8.9 billion ($11.8 billion), respectively.

Fiat Group reiterates its 2013 outlook for revenue of as much as €92 billion ($122 billon) and net income of as much as €1.5 billion ($2 billion). But Chrysler’s reduced full-year earnings forecast caused analysts to worry that Fiat profit might slip as a result.


  • Cybersecurity on Wheels

      According to IHS Automotive there are on the order of 112-million vehicles on the road today that are “connected,” that is, “have a connection through the internet, though telematics, an onboard modem or a paired device in the vehicle, such as a mobile phone or other device.” With that last bit about the mobile phone being paired with the car, it is surprising that the number of connected vehicles isn’t greater.

  • Modified Military Humvee Delivers 72% Better Fuel Economy

    Posted: May 23, 2013 at 8:26 pmRicardo Inc. says the American General HMMWV vehicle its team modified with existing technologies delivers better performance and 72% greater fuel economy than the standard Humvee vehicle.Fuel-Efficient Ground Vehicle DemonstratorThe so-called Fuel-Efficient Ground Vehicle Demonstrator (FED) is fitted with a supercharged I-4 Cummins engine, modified drivertrain, low-rolling-resistance Goodyear tires and a new aluminum chassis developed by Alcoa Defense.The FED was built in 2011 at Ricardo’s facility in Detroit in cooperation with the U.S.

  • “Automobility ‘16”: The Road to Tomorrow

    It’s gone from being a matter of “if” to one of “when.” And there is something of a subset to that “when” of “how much at what time.” The topic, of course, is autonomy.