Yesterday, Chrysler Group released information on its net income earnings for 2012. The Auburn Hills, Mich. based automaker reported a net income of $1.7 billion for the year, a significant growth over the $183 million in earnings the previous year (2011’s earnings were hit by the $551 million U.S. loss required to eliminate outstanding debts).
“While are are pleased to have achieved strong financial results in 2012, the enterprise we are crafting is not complete,” said Sergio Marchionne, Chrysler Group chairman and CEO. “The goals we’ve set for the year ahead reflect a common desire by everyone from leadership to the shop floor to succeed and sustain the power of the house we are building. Our aim is meaningful but it is not complicated,” Marchionne declared, “and only a preoccupation with quality can achieve it.”
“We pause for a moment to enjoy our accomplishments,” he said “but we will not stop. Our continued achievement relies upon maintaining a humble spirit and an intense focus on the integrity of our work.”
Chrysler said it earned $378 million U.S. in net income during the fourth quarter of last year, on revenue of $17.2 billion. This represented a 68 per cent increase compared with a year earlier ($225 million Q4 2011), while its $65.8 billion in revenue generated in 2012 was due to higher vehicle shipments and “continued strong sales and pricing.” In the U.S. Chrysler said it saw year-over-year gains of 41 per cent in passenger car demand, aided by increased spending on research and development for new product offerings and growth in advertising spending.
In the U.S., Chrysler saw its market share grow from 10.5 to 11.2 per cent during 2012, while in Canada it stood at 14.5 per cent, unchanged from 2011 and making it the second largest automaker in terms of sales volume after Ford Motor Company.
Worldwide, Chrysler said it sold 2.2 million vehicles in 2012, a gain of 18 per cent over the previous year (1.9 million).
