The car company Stellantis earned significantly more last year, benefiting from high sales prices and cost savings. Net profit climbed to a record level of 16.8 billion euros, a good quarter compared to the previous year, as the company announced on Wednesday at its headquarters in Amsterdam. Sales rose by 18 percent to 179.6 billion euros, although Stellantis with its brands such as Peugeot, Fiat, Chrysler and Opel sold around two percent fewer vehicles with 5.7 million deliveries. Higher prices and exchange rate effects as a result of the weak euro provided the biggest boost. Stellantis now intends to pay a dividend of 1.34 euros per share and buy back shares for an additional 1.5 billion euros.
More profit than expected
Stellantis was unexpectedly profitable in day-to-day business. Adjusted for special effects, earnings before interest and taxes rose by 29 percent to 23.3 billion euros. As a result, 13 percent of sales remained as operating profit, 1.2 percentage points more than in the previous year. CEO Carlos Tavares had promised at least 12 percent with the forecast. In 2023, the operating margin is expected to be at least double-digit again.
Stellantis estimated the cost savings from the merger between PSA and Fiat Chrysler in mid-January 2021 at 7.1 billion euros. They were thus higher than originally planned. For reasons of comparability, Stellantis assumes that the merger partners already belonged together for the entire previous year 2021.
The group, with roots in France and Italy, but also in the USA, continues to do its biggest and best business in North America. There, the operating margin rose again slightly by 0.1 percentage points to 16.4 percent. In Europe, it was 9.9 percent after 9.1 percent in the previous year. Opel and its British sister brand Vauxhall were also able to benefit somewhat from rising prices in the EU. Stellantis did not make financial details of Opel's performance public.