Peugeot maker PSA earnings surge as Opel-Vauxhall hits profit
The business acquired last year from General Motors posted a €502 million profit
French car maker PSA Group said first-half earnings rose 18 per cent, beating analyst expectations, as it returned the newly acquired Opel-Vauxhall business to profit.
Net income rose to €1.48 billion (Dh6.35bn) as revenues jumped 40 per cent to €38.6bn, the Peugeot maker.
"The turnaround of Opel-Vauxhall is now clearly underway," said chief financial officer Jean-Baptiste de Chatillon.
The business acquired last year from General Motors posted a €502 million profit amounting to a 5 per cent profit margin, while the French group's existing automotive business lifted profitability to 8.5 per cent.
The group's overall recurring operating profit rose by almost half to €3.02bn.
The results beat analyst expectations of €2.33bn in operating profit and €1.36bn in net income on revenue of €38.49bn, based on the median estimates in an Inquiry Financial poll for Reuters.
Updated: July 24, 2018 10:28 AM