On Monday, the Chrysler Group LLC reported its first quarter gains since exiting bankruptcy almost two years ago in June 2009. The Auburn Hills-based automaker, which is now operated by Fiat S.p.A., said net income totaled $116 million in the first quarter of 2011 compared to a net loss of $197 million in the same period last year.
At the same time, the company’s revenues grew 35 percent from $9.7 billion in Q1 2010 to $13.1 billion in Q1 2011. In addition, the automaker said it had $9.9 billion in cash reserves at the end of the first quarter compares to 2.5 billion in December 31, 2010.
Worldwide sales of new cars and trucks were up 18 percent (60,000 vehicles) to 394,000 units in the first quarter, thanks to the greater availability of the 16 new or refreshed products launched throughout 2010. T
The Chrysler Group’s U.S. market share increased to 9.2 percent in Q1 2011, compared to 9.1 percent in the same period of 2010, while in Canada, the company’s market share was 14.7 percent in Q1 2011 compared to 13.7 percent in Q1 2010.
Finally, the automaker said that its U.S. dealer inventory increased to 302,000 vehicles on March 31, the reason being to fulfill dealer orders for its revamped 2011MY products that went into production towards the end of 2010.
“Chrysler Group’s improved sales and financial performance in the first quarter show that our rejuvenated product lineup is gaining momentum in the marketplace and resonating with customers,” said Sergio Marchionne, Chief Executive Officer, Chrysler Group LLC.
“These results are a testament to the hard work and dedication of our employees, suppliers and dealers, all of whom are helping Chrysler create a new corporate culture built on the quality of our products and processes, and simple, sound management principles,” added Marchionne.
Last week, Fiat S.p.A. revealed plans to fully repay the Chrysler Group’s loans from the United States and Canadian governments during the second quarter of 2011 and increase its ownership interest in the company to 51 percent before the end of the year.
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