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FCA report Q4 2018 and FY2018 earnings on February 7th
- Thread starter AlexB
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That's strange...
It fell because of a lot of the unknown going forward and people aren't happy about that
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You might not agree but here is one proof of many reports on why it dropped. Should note a ton of stock is also down
Fiat Chrysler shares fall 10 percent as 2019 guidance disappoints
I wouldn't say unknown, its the Gladiator & RAM HD launch cost as I posted earlier.
I think people generally don't get what it cost to launch even a re-worked vehicle.
But I also state Wall Street gave Sergio (RIP) benefit of doubt and had deep convictions Sergio's abilities , Manley doesn't have any of that relationship with Wall Street,and that has to be earned.
BTW:FCA will have a higher U.S. factory workforce than GM once GM's cuts are finish
Before cuts GM had in the U.S. 46,500 GM factory workers get $10,750 in profit sharing; company earnings slip
FCA U.S. factory workforce is about 44,000:Fiat Chrysler hourly workers to get $6,000 profit-sharing checks
GM having the smallest U.S. manufacturing footprint of the Legacy American 3 Automotive companies is historic.
Before cuts GM had in the U.S. 46,500 GM factory workers get $10,750 in profit sharing; company earnings slip
FCA U.S. factory workforce is about 44,000:Fiat Chrysler hourly workers to get $6,000 profit-sharing checks
GM having the smallest U.S. manufacturing footprint of the Legacy American 3 Automotive companies is historic.
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You are waaay overestimating their importance.
Deckard Cain
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I'm impressed with the profit numbers from LATAM. Who could predict that launching new Fiat models would lead to an increase in profit margins?
I'm so shocked. I wonder if they'll learn from that and actually launch something in Europe?
I'm so shocked. I wonder if they'll learn from that and actually launch something in Europe?
Bob's post was sarcasm humor about "another website" whining about grand caravan/Journey going away.
At the same time:GM loss $400 million in Q4 in that region despite selling simlar amount of Vehicles overall in LATAM.
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With JLR? They just have announced 4.4 billion quarterly loss.
And what they can offer to FCA?
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I took some parts from Conference Call transcripts.
https://seekingalpha.com/article/42...-results-earnings-call-transcript?part=single
Mike Manley
EMEA actions will progressively take effect throughout the year with the full benefits being seen in 2020. And we do expect market and commercial challenges to continue in China albeit with improvement throughout the year. But having visited there on a number of occasions and worked with the leadership team, I think the actions that they have put in place, not just on cost and efficiency, but also with our vehicle products will begin to be shown as we get into the back half of this year. And I'm confident that both of these regions will be key contributors towards our 2022 Plan.
Now, you will see our year-over-year industrial free cash flows reduced compared to 2018 due to higher CapEx spending on our electrification strategy and the renewal and expansion of our portfolio. Cash flow will also be impacted by the €500 million cash payments for costs related to the U.S. diesel emissions settlement.
Richard Palmer
In terms of CapEx, we're forecasting to be around €8.5 billion for 2019 which is up €3 billion compared to where we finished 2018. That number is substantially consistent for 2019 with the sort of run rate we expected through our plan period. It includes investments in renewing products as well as new products in particular Grand Cherokee and Grand Wagoneer in the U.S. and it also includes electrification investments across the portfolio for -- obviously for the compliance challenges that we have in the industry in general which is about 20% of the number. So -- and going into 2019 -- going into 2020, we'll give you better view on CapEx, obviously as we get closer to 2020. I don't see it being significantly different to the sort of run rate we're looking at for 2019.
Mike Manley
So we have a number of partnerships already that have worked well for us. We work with Peugeot on commercial vehicles. You know the BMW one as well. So I think what you're going to see is more collaboration in Europe to try and drive the scale that will drive the costs down particularly as you get into the early to mid-'20.
Richard Palmer
With regard to the platform, I think we have a very strong position in the mini car platform historically. Obviously, Italy is the biggest market in Europe for that. 500 or Panda vehicle, Ypsilon vehicle they're all very strong competitors. They make sense for us. Obviously, challenges going forward create an economic challenge in that platform as they do in others frankly.
I think to get back to your prior question, I think we have enough volume ourselves to build a business in that area. We need to be extremely careful about spending capital efficiently to differentiate as a brand that we offer, but to maximize the commonality of the vehicles and the powertrain offerings that we have including electrification.
And if we can find a partner do that with as Mike talked about it would help the scale, but I don't think it's absolutely necessary, because we already have a lot of scale in that segment and it's about us making sure that we find commonality and maximize efficiency. We have a great plant in Poland, which does that very well today. And so I think going forward, we can continue to be competitive in that segment.
https://seekingalpha.com/article/42...-results-earnings-call-transcript?part=single
Mike Manley
EMEA actions will progressively take effect throughout the year with the full benefits being seen in 2020. And we do expect market and commercial challenges to continue in China albeit with improvement throughout the year. But having visited there on a number of occasions and worked with the leadership team, I think the actions that they have put in place, not just on cost and efficiency, but also with our vehicle products will begin to be shown as we get into the back half of this year. And I'm confident that both of these regions will be key contributors towards our 2022 Plan.
Now, you will see our year-over-year industrial free cash flows reduced compared to 2018 due to higher CapEx spending on our electrification strategy and the renewal and expansion of our portfolio. Cash flow will also be impacted by the €500 million cash payments for costs related to the U.S. diesel emissions settlement.
Richard Palmer
In terms of CapEx, we're forecasting to be around €8.5 billion for 2019 which is up €3 billion compared to where we finished 2018. That number is substantially consistent for 2019 with the sort of run rate we expected through our plan period. It includes investments in renewing products as well as new products in particular Grand Cherokee and Grand Wagoneer in the U.S. and it also includes electrification investments across the portfolio for -- obviously for the compliance challenges that we have in the industry in general which is about 20% of the number. So -- and going into 2019 -- going into 2020, we'll give you better view on CapEx, obviously as we get closer to 2020. I don't see it being significantly different to the sort of run rate we're looking at for 2019.
Mike Manley
So we have a number of partnerships already that have worked well for us. We work with Peugeot on commercial vehicles. You know the BMW one as well. So I think what you're going to see is more collaboration in Europe to try and drive the scale that will drive the costs down particularly as you get into the early to mid-'20.
Richard Palmer
With regard to the platform, I think we have a very strong position in the mini car platform historically. Obviously, Italy is the biggest market in Europe for that. 500 or Panda vehicle, Ypsilon vehicle they're all very strong competitors. They make sense for us. Obviously, challenges going forward create an economic challenge in that platform as they do in others frankly.
I think to get back to your prior question, I think we have enough volume ourselves to build a business in that area. We need to be extremely careful about spending capital efficiently to differentiate as a brand that we offer, but to maximize the commonality of the vehicles and the powertrain offerings that we have including electrification.
And if we can find a partner do that with as Mike talked about it would help the scale, but I don't think it's absolutely necessary, because we already have a lot of scale in that segment and it's about us making sure that we find commonality and maximize efficiency. We have a great plant in Poland, which does that very well today. And so I think going forward, we can continue to be competitive in that segment.
MoparJoe
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its funny how some people just can't figure it out.. news reported FCA stock fell as there was worries about future earnings ...
HD ram coming
Gladiator coming (they will be printing money with this winner)
a couple more things coming ....
8.6 EBIT .... Jesus , nothing wrong with that ... for a car company ....
HD ram coming
Gladiator coming (they will be printing money with this winner)
a couple more things coming ....
8.6 EBIT .... Jesus , nothing wrong with that ... for a car company ....