Chrysler/NAFTA reaches Sergio's 10% EBIT Margin goal, a loss in Italy and FCA's Q3 overall net income falls

[AlexB]

"Chrysler"/NAFTA :€1,937 billion ($2.2 billion U.S. Dollars) on revenue of €19,073 billion= EBIT margin of 10.2%
"Italian Operations"/EMEA :loss €25 million
South America /LATAM:€83 million
APAC: loss of €96 million
Maserati:€15
Negative €700 million charge for Diesel.
https://www.fcagroup.com/en-US/medi...18/october/FCA_2018_THIRD_QUARTER_RESULTS.pdf

Great RAM/Wrangler powered quarter, but trouble in Europe on the Italian side.

 

[AlexB]

Manley-Palmer Conference Call with Wall Street at starts at 11:00 AM ET.

 

[Bili]

IMO nothing to worry about in Europe. It's related to WLTP switch. All car makers are having or will have a hard time.

 

[AlexB]

IMO nothing to worry about in Europe. It's related to WLTP switch. All car makers are having or will have a hard time.

Very true as VW profit dropped, Daimler had a financial warning that they will miss profit goals for a second time in the same year.

I know many here will feel
Daimler should only have financial suffering for their mismanagement (to say the least) of Chrysler.

 

[AlexB]

The stock reaction seems to be waiting on the Confernce Call with Manley-Palmer.

 

[AlexB]

Funny how Autonews isn't covering FCA's Earnings.

 

[AlexB]

The call has started.
Manley stated the Company had too much inventory in Europe, and there used "Discount Channels" to move the inventory.

 

[Bili]

The call has started.
Manley stated the Company had too much inventory in Europe, and there used "Discount Channels" to move the inventory.

To much Euro 6b compliant inventory to be more precise. As I said switch from NEDC to WLTP and Euro 6b to Euro 6c or Euro 6d TEMP killed them all.

 

[AlexB]

Manley promise the start of quarter dividends, and a special dividend of €2 billion ( with the MM Closing).

 

[AlexB]

Palmer stated because of the voluntary Pension contribution,and a cut in non NAFTA production,Net Industrial cash target been cut to as low as €1.5 billion at year end.

 

[AlexB]

Chrysler 12.7% U.S. Retail marketshare

 

[AlexB]

Palmer stated they will cut Maserati production further if necessary.

 

[AlexB]

Q&A have started.

 

[AlexB]

Rod ask what do Europe look like in 2019.

 

[AlexB]

Manley basically expressed their hope to match PSA in Margins in Europe.

 

[Bili]

Manley basically expressed their hope to match PSA in Margins in Europe.

So... Manley and Gorlier will communicate future od some factories at the end of the next month. Rumor is that they will bet more on the Fiat brand compared to their predecessors. I'm not sure about it.

 

[AlexB]

Manley stated the for Jeep image in China needs to dial back the off-road image.

 

[AlexB]

Now an European Evercore analyst.

 

[AlexB]

Manley said any Electricity Powertrain cost will be passed on in high overall NAFTA models pricing.

 

[AlexB]

Now Adam Jonas of Morgan Stanley.
Manley stated FCA will stay incredible disciplined with Balance Sheet, and will remain independent.