Fiat Chrysler swings to profit in Q3 as North America posts record results

Fiat Chrysler Automobiles on Wednesday posted net income of $1.4 billion in the third quarter, including a record profit in North America despite lower sales.

The automaker, in one of its final earnings reports before its merger with PSA Group is scheduled to close early next year, said it earned an adjusted $3 billion in North America, up 26 percent from a year ago, due to positive pricing and lower advertising costs. Unit sales in North America declined 8 percent.

FCA’s global adjusted profit increased 21 percent to $1.8 billion — another record — as factories in North America and Europe largely returned to normal after the coronavirus disrupted the industry in the spring. Revenue fell 6 percent to $30.3 billion.

The company’s net income compares with a loss of $210 million in the third quarter of 2019, which included one-time charges of $1.5 billion from Europe.

“Our record results were driven by our team’s tremendous performance in North America,” CEO Mike Manley said in a statement. “Our team has proven its extraordinary resilience and creativity, and, as we close in on the merger to create Stellantis, we are stronger and more focused than ever on our mission to deliver great value for all our stakeholders.”

FCA shares fell 3 percent to $12.54 in premarket trading.

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