DETROIT _ Fiat Chrysler Automobiles said Wednesday it earned a net profit of $881 million (754 million euro) during the second quarter _ its last quarter under late CEO Sergio Marchionne.
That was down 35 percent from the same period a year ago, as strong North American Jeep sales couldn't make up for lagging performances in Asia and from its Maserati brand.
The automaker's financial results came out just hours after Marchionne's death was announced. Mike Manley, who took over as CEO on Saturday, asked for a moment of silence during a morning phone call with analysts and news reporters.
"Now, personally having spent the last nine years of my life seeing or talking to Sergio, almost on a daily basis, this morning's news is heartbreaking," Manley said. "There is no doubt that Sergio was a very special unique man, and there is no doubt that he is going to be missed."
The automaker's profits for the quarter work out to 72 cents per share.
Global net revenues were up 4 percent to $33.8 billion (28.9 billion euro) during the second quarter, compared with $32.6 billion a year ago under current exchange rates. Notably, the automaker said it has eliminated debt and, for the first time, achieved net industrial cash _ a longtime Marchionne goal.
Fiat Chrysler's net industrial cash stood at $533 million, a significant improvement from net industrial debt of $9 billion in 2014.
In North America, Fiat Chrysler reported a record second quarter with a 3 percent increase in pretax profits to $1.6 billion (1.3 billion euro) compared with a year earlier.
The automaker, which has U.S. headquarters in Auburn Hills, cited increased shipments of the Jeep Wrangler, new Jeep Cherokee and Jeep Compass, as well as progress in resolving production difficulties with the all-new 2019 Ram 1500, which it hopes to have in full production by the fourth quarter.
Global Jeep sales were up 21 percent year-over-year and Ram sales down 4 percent, executives said.
In the Asia and Pacific region, Fiat Chrysler saw a 33 percent drop in net revenues to $762 million (652 million euro), which it attributed in part to increased competition from domestic brands in China.
The Maserati brand saw net revenues nearly cut in half year-over-year, falling to $664 million (568 million euro) for the quarter. FCA executives blamed low sales in China because of that country's recent cut of import duties on vehicles.
The reductions were announced in April and took effect July 1, which meant that many Chinese consumers likely held off on buying foreign autos during the second quarter because they knew they could get a better deal later.
Overall, for the first six months of 2018, Fiat Chrysler's net profits were down just 1 percent compared to last year.
The company has revised its guidance downward and now expects between $135 billion and $134 billion in net revenue from the year. It previously projected $146 billion.
