Successful Q3 for Fiat Group
Group revenues were up 16% (+9% at constant exchange rates) over the prior year to €20.4bn, with NAFTA growing by 38% (+22% at constant exchange rates) to €10.8bn and APAC by 39% to €0.8bn. LATAM increased to €3.0bn and EMEA was down 13%, with continued decline in demand, particularly in Italy and in the smaller car segments. Luxury and Performance brands increased revenues by 4% to €0.7bn, mainly driven by growth in North America. Components reported revenues of approximately €2.0bn, substantially in line with Q3 2011.
Trading profit totaled €951 m for the quarter. The NAFTA region reported a trading profit of €660m, an increase of 67% driven by strong volume growth. For LATAM, trading profit totaled €341m, down €56 m over the prior year with better volume and mix more than offset by cost inflation and negative currency translation impacts of €14m. APAC doubled to €73m driven by improved volumes and mix. The negative trading conditions in EMEA resulted in a trading loss of €238m (€116m loss in Q3 2011), with cost containment actions partially mitigating the impact of reduced volumes and negative pricing pressure. Luxury and Performance brands and Components contributed €89m and €39m, respectively. Trading profit for Fiat excluding Chrysler was reduced to €105m from €295m in Q3 2011, principally due to the worsened trading conditions in Europe.
Net profit was €286m for the quarter, more than doubling the €112m for Q3 2011. Profit attributable to owners of the parent amounted to €39m (loss of €46m in Q3 2011). Excluding unusuals, net profit for the quarter was €362m (€169m in Q3 2011).
For the first nine months to September, Group revenues were €62.2bn for the nine months to September. Excluding Chrysler, revenues totaled €26.4bn, a 6% decrease over the same period in 2011, mainly reflecting volume declines in Europe. Luxury and Performance brands increased revenues by 8% to €2.1bn. Components were down 1% to €6.0bn.
Trading profit was €2,827m. Excluding Chrysler, trading profit was €243m compared to €921m in the same period of 2011. For Luxury and Performance brands, trading profit increased 10% to €264 m, while Components reported a 25% decrease to €122m.
EBIT was €2,770m. Excluding Chrysler, EBIT was €175m (compared to €2,215m for 2011); net of unusuals, EBIT totaled €319m.
Net financial expense totaled €1,237m. Excluding Chrysler, net financial expense was €612m, compared to €632m for the same period in 2011. Net of the impact of the mark-to-market of the Fiat stock option-related equity swaps (a €30m gain for the nine months to September 2012 and a €115m loss for the same period in 2011), net financial expense increased by €125m mainly reflecting higher debt levels.
Profit before taxes was €1,533m. Excluding Chrysler, there was a €437m loss compared to a €1,583m profit in 2011. Net of unusuals, the loss was €293m in 2012, compared to a profit of €362 m for the same period in 2011; the €655m difference over the nine months to September 2011 mainly reflects the €678m decrease in trading profit.
Income taxes totaled €510m. Excluding Chrysler, income taxes were €363m and related primarily to the taxable income of companies operating outside Europe and employment-related taxes in Italy.
Net profit was €1,023m for the nine months to September. Profit attributable to the owners of the parent totaled €246m. Excluding Chrysler, there was an €800m loss, compared to a €1,207m profit for 2011; excluding unusuals, the loss was €656 m, compared to a €37m loss for the nine months to September 2011.
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