Shares in US-European carmaker Stellantis jumped on Wednesday after it posted record 2021 profits despite producing 1.6 million fewer cars than planned due to a semiconductor shortage.
The group, which was formed in January last year when Fiat-Chrysler and PSA merged, reported sales of 152 billion euros ($172 billion) – up 14% on the two combined figures of the two groups in 2020.
Stellantis, which includes the Jeep, Peugeot, Alfa Romeo and Citroen brands, saw net profit jump to 13.4 billion euros, nearly tripling the previous year’s number, it said.
After the announcement, its shares closed up 4.5% in London and more than 4% up in New York.
It made $6 billion in Europe, $500 million in Asia-Pacific, $999 million in South America and $617 million in the Middle East and Africa.
The company has stated a goal of improving its performance in China and the rest of Asia.
The group said in a statement it had “posted record results for 2021, accelerating the realisation of merger synergies and building solid commercial performance, driven by a clear focus on speed of execution from day one”.
It said its adjusted operating profit margin was 11.8% in 2021, and forecast another double-digit margin for this year.
While shipments were down by 3% in its main market in Europe, revenue there rose by 5% due to an increase in hybrid and electric car sales, which are more expensive.
Shipments fell in North America by 2%, but revenue surged by 15%, thanks partly to strong results from Jeep sport utility vehicles and Dodge Ram trucks.
Chief executive Carlos Tavares said that “today’s record results prove that Stellantis is well positioned to deliver strong performance, even in the most uncertain market environments”.
The board of directors will propose a dividend of 1.05 euros per share, or 3.3 billion euros.
- AFP, with additional editing by George Russell
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