In the eternal competition between the three big names in Detroit, i.e. General Motors, Ford and Chrysler, last year’s clash saw the US group of Stellantis prevail, with gains far superior to the two rivals.
Even with lower absolute registrations (1.8 million vehicles, against GM’s 2.9 million and Ford’s 2.3 million), Chrysler achieved a profit margin of 16.4% against 8.4% in North America of Ford and 10.1% of GM. By way of comparison, leader Tesla’s global operating margin was 16.7%.
In 2022, recalls TheDetroitNews, GM obtained the highest revenue, 128 billion dollars compared to its rivals and Ford stopped at 108 billion. Chrysler instead collected 85 but – the most interesting aspect – is that GM recorded an Ebit (earnings before interest and taxes) of 12.9 billion, Ford of 9.1 but Chrysler of a good 13.9 billion.
The reason lies, in addition to the industrial organization and synergies that Chrysler can exploit within Stellantis, in the product and pricing policy. While the Chrysler group sells many pickups and large SUVs with very high profit margins, GM and Ford do not achieve the same results even though they travel at comparable levels for average selling prices. GM gets buyers an average of $43,875 for each vehicle it sells in North America, Ford $46,564 and Chrysler $45,943. Much of the credit for this result – says TheDetroitNews – goes to Mark Stewart, who manages Stellantis operations in the region. The Alabama native has a strong automotive background (ZF, Trw, Tower) but Fiat Chrysler hired him when he was at Amazon, vice president of operations.
Source: Ansa
I am an author at Global happenings and I mostly cover automobile news. In my time working in the automotive industry, I have developed a keen interest in the latest developments and trends. My writing skills have also allowed me to share my knowledge with others through articles and blog posts.
