The Fiat group on Thursday said it swung to a net profit in the second quarter in part through the sale of assets in Poland and because of sharply reduced losses at its closely watched automotive unit, the Associated Press (AP) reported.
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Fiat reportedly said it earned €217 million ($US260 million) for the period, compared with a €246 million ($295 million) loss in the same period a year earlier. Revenue edged up to €12.05 billion ($14.06 billion) from €12 billion.
The net profit includes €254 million ($304.6 million) in after-tax gains, most of them from the sale of a stake in a factory in Poland, AP noted.
Fiat reportedly said it cut losses at Fiat Auto by two-thirds. The unit had an operating loss of €88 million ($105.51 million) compared with a €238 million ($285.36 million) loss in the second quarter of 2004.
According to the Associated Press, the auto unit also managed to boost revenue in the second quarter by 2.4% to €5.01 billion ($6.01 billion) from €4.89 billion ($5.86 billion).
Since it adopted International Financial Reporting Standards in the first quarter, Fiat presents its operating profits and losses in terms of trading profit, an indicator that measures the company’s regular operations, AP noted.
