Chrysler turns first profit since bankruptcy
May 2, 2011 — Chrysler Group on Monday announced its first quarterly net profit since coming out of bankruptcy protection in 2009.
The automaker reported a net income of $116 million for the first quarter of 2011, compared to a net loss of $197 million during the same time period in 2010. Chrysler’s modified operating profit totaled $477 million after the year’s first quarter, up from $143 million last year. Net revenues were $13.1 billion, compared to $9.7 billion in 2010.
Chrysler attributed the increases to the successful reception of 16 all-new or refreshed vehicles. Worldwide vehicle sales improved 18 percent during the first quarter.
“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, CEO of Chrysler. “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.”
Marchionne said he expects continued improvement.
“We remain focused on delivering great products to our customers and continuing to achieve the sales and financial targets outlined in our 2010-2014 business plan,” he said.
Chrysler reported its financial results just days after announcing plans to fully repay more than $7 billion in government loans from its bailout by the end of June.