Fiat Chrysler Automobiles has reported a third quarter loss of EUR299m compared to a net profit of EUR188m last year. The swing to loss mainly reflected one-off charges associated with US recalls.

FCA said that the quarter included an EUR761m pre-tax charge for estimated future recall campaign costs for vehicles sold in prior periods in NAFTA. There was also an EUR142m charge for the write-down of inventory and incremental incentives for vehicles damaged in the Tianjin (China) port explosion in August – though FCA said that is “expected to be recovered through insurance”.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

However, the company highlighted net revenues up 17% in the quarter at EUR27.5bn, and adjusted EBIT at €1.3 billion, up 35%, driven by strong performance in NAFTA, Ferrari and its components operations.

Higher revenues in NAFTA (+35%; +15% Constant Exchange Rates (CER)), EMEA (+13%; +11% CER), Ferrari (+9%; +3% CER), Components (+13%; the same at CER) were partially offset by decreases in LATAM (-30%; -15% CER), APAC (-47%; -49% CER) and Maserati (-21%; -28% CER).

Adjusted EBIT was EUR1,303m, up EUR335 million (+35%; +15% CER) from Q3 2014. Adjusted EBIT excludes the EUR761m pre-tax charge for estimated future recall campaign costs and EUR142m for the write-downs associated with the Tianjin damage in August.

See Also:

FCA said that NAFTA Adjusted EBIT more than doubled from EUR554m in Q3 2014 to EUR1,186m driven by higher volumes, improved mix and pricing.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

FCA confirmed its full-year guidance (2015) as revised upwards in Q2. The guidance includes worldwide shipments of around 4.8m units, net revenues over EUR110bn and net profit around EUR1.2bn.