Record results in North America, adjusted net profit at €1,5 billion (+21%), global deliveries down by only 3% in a very complicated context, and the PSA deal which it's going great. The one presented by FCA is a more than satisfactory quarterly, a few months after the merger with the French group which will lead to the birth of Stellantis, the fourth largest group in the world by volume. The share on the Stock Exchange is not celebrating, overwhelmed by the bad day for the entire Ftse Mib (-3%), but in return the CEO Mike Manley commented on the results as follows: "The record results were driven by phenomenal performance by our team in North America. During the quarter, with various brands, we presented products in segments in which we were not present, we opened a new chapter in the history of the Maserati brand, confirmed our market leadership in Latin America and continued on the rapid global path of investments in electrification".
“Once again – added the manager -, our team has demonstrated its extraordinary resilience and creativity and, with the merger that will soon see the birth of Stellantis, we are stronger and more focused on the goal of creating significant value for all our stakeholders”. The third quarter was the one of the adjusted Ebit record, which rose to 2,3 billion at the group level. But looking at the North American market, the figure was 2,5 billion euros, with a margin of 13,8%: thanks to the strong demand for Ram and Jeep, FCA's share of the US retail market remained steady at 12,3 %, despite the difficult moment of the automotive market.
In EMEA, FCA gained market share in Europe (EU27 + EFTA + UK) in both the passenger car and light commercial vehicle segments with improving prices. Furthermore, deliveries to the network have begun of the new all-electric Fiat 500 and of the plug-in hybrid versions of the Jeep Renegade and Jeep Compass. Leasys, the FCA Bank company that offers mobility services, has continued with the expansion of the Mobility Store network in Europe with the aim of reaching 500 locations and 1.200 charging stations owned by the end of the year. In Latin America, the Italian-American group maintained its market leadership with an 18% share in the quarter, thanks to growth in the main markets, driven by robust demand for the new Fiat Strada, the best-selling vehicle in Brazil in September.
Industrial free cash flow rises to 6,7 billion euros with a positive impact of 5,6 billion euros for the recovery of working capital. Investments at 2,2 billion euros: the strong commitment to future products continues, in particular the electric one. Available liquidity amounted to €27,1 billion at the end of the quarter, excluding the €1,1 billion unused portion of the €6,3 billion Intesa Sanpaolo credit line. On the Covid front, the outlook now looks less grim: FCA has reintroduced full-year 2020 guidance, with adjusted EBIT expected between 3 and 3,5 billion euros and industrial free cash flow between 1 and 0 billion euros. "This guidance assumes there are no further significant disruptions due to Covid-19," however, a note specifies.
