ITALY: Fiat-Chrysler full year financials "ahead of guidance"
Combined Fiat-Chrysler revenues and trading profit for calendar year 2011 were "significantly ahead of guidance" at EUR59.6bn and EUR2.4bn respectively, "despite uneven trading conditions, particularly weak in Europe in the second half", Fiat Group Automobiles said in a trading statement on Thursday (2 February). The result included Chrysler's contribution from June 2011.
Group trading margin reached 4.0% and net income was EUR1.7bn (EUR0.7bn excluding one-offs). Full year shipments for the combined automakers totaled 4m vehicles.
Net industrial debt was reduced to EUR5.5bn, in line with guidance.
Net revenues rose 66% to EUR59.6bn and operating profit soared from EUR2.34bn to EUR 3.34bn year on year. Net profit, after one-off costs, was EUR684m versus EUR346m in 2010.
Fiat said net profit of EUR1.7bn, before one-offs, included EUR1bn in net unusual income (mainly related to the measurement of the ownership interest in Chrysler at consolidation, net of unusual charges) and a EUR0.1bn loss on the mark-to-market of two Fiat stock-option related equity swaps. Excluding these two items, net profit was EUR0.8bn. On the same basis, the full-year net result for Fiat, excluding Chrysler, was break-even.
The 2011 revenues of EUR59.6bn included a EUR23.6bn contribution from Chrysler for June-December as well as 4.2% growth for Fiat excluding Chrysler (EUR37.4bn). Fiat automobile revenues were described as "resilient, remaining in line with 2010, despite difficult trading conditions in Europe" though luxury and performance brands and components nonetheless achieved double-digit growth.
Trading profit was EUR2.4bn with trading margin of 4.0%. Excluding Chrysler, trading profit was EUR1bn, in line with 2010.
Fiat Group Automobiles (FGA) posted revenues of approximately EUR28bn, in line with 2010, with 2,032,900 passenger cars and light commercial vehicles shipped (down 2.4% year on year). The 7.6% increase in light commercial vehicle volumes for the year did not fully offset the 4.6% decline in passenger car shipments, which were impacted by continuing weak demand in Italy. In Brazil, FGA shipped a record 772,700 vehicles, representing an increase of 1.5% over 2010.
Chrysler reported revenues of EUR23.6bn for the 7 months from June to December on worldwide vehicle shipments of 1,190,000 (2,011,000 for the full year, up 26%).
Ferrari posted 2011 revenues of EUR2.3bn, up 17.3% while revenues for Maserati were EUR588m, in line with 2010.
Components & Production Systems had revenues of approximately EUR12bn, up 10.1%. All sectors posted "solid" annual growth. At Magneti Marelli, revenues were up 8.5% to EUR5.9bn.
Fourth quarter (including Chrysler)
Net revenues rose 107.8% to EUR19.6bn, operating profit was up EUR484m to EUR708m and net profit after one-offs rose EUR74m to EUR322m.
"As a result of the level of uncertainty regarding economic activity in the euro zone in the near term", Fiat expects 2012 revenues of EUR77bn, a trading profit between EUR3.8bn to EUR4.5bn, net profit between EUR1.2bn to EUR1.5bn and net industrial debt between EUR5.5bn to EUR6bn.