One of the reasons, if not the main one, why the extinct FCA Group made “eyes” to the extinct PSA Group it was to survive. The growth of the Volkswagen Group, the redefinition of the Renault-Nissan-Mitsubishi Alliance and Toyota’s new offensive forced them to “go to bed” to look to the future. And they did not have it easy, because the new CEO of the fourth largest car manufacturer in the world had very tough tasks, such as manage multiple overlapping signatures.
Be that as it may, Carlos Tavares is a magician and has proven it again with Stellantis. We saw what he was capable of when the Gauls took over the dying Opel. And this time it was not going to be less, although still we wonder where they have cut expenses to obtain accounts as enviable as the ones just presented. We are going to summarize them so that it is easy to understand them and, finally, bad news.
The solidity and growth of Stellantis is supported by the strength of Jeep, RAM and, even, Maserati …
According to the accounting document presented by Stellantis, with respect to the same period in 2020, revenues have grown 46 percent to € 75.3 billion. For its part, operating profit has been 8,622 million, with a margin on final billing of 11.4 percent. All in all, the net profit has approached 6 billion euros, since it has remained at 5,936 million euros.
These data are well above the first forecasts that Carlos Tavares and his team put on the table. However, among so much joy there is a small blur that makes us be cautious. Cash flow has been 1,200 million euros, but negative. This figure arises as a result of the payments they have had to face to offset the increase in costs in vital parts such as chips and semiconductors.
Stellantis starts its career with downward results although “solid”
And you will wonder How has Stellantis been able to achieve such good results? Well, the text is long and tells many things, but there are three details that we cannot ignore. It is about the strength of the group’s American firms, especially Jeep and RAM. Suffice it to say that during the second quarter of the year (from April to June – both inclusive) the Jeep wrangler 4xe It has been the best-selling plug-in hybrid (PHEV) in the US.
But there is another positive fact that will delight the staunch fans of Maserati. According to these accounts, the signature of the trident has returned to give benefits after several exercises in red numbers. The data stands at 29 million euros, although it is very important because it is seen that it is growing in all the markets where it is present. The downside comes when it comes to the commercial network, especially since we have learned of the planned cuts.
What will happen to the commercial network of Stellantis in Spain …?
A few hours ago we learned that the Franco-Italian-American conglomerate wants to dispense with up to 40 percent of the sales network they have in our country. It was a matter of time before this headline jumped to the front pages, although last May we already echoed this idea. It will be necessary to see what is the response of the dealers and the employers, because we have known that they will put up all the possible resistance. A mess…
Source – Stellantis – Stellantis NV H1 2021 Earnings Release