This Week:

• Mercedes-Benz to Debut All-New SL Coupe-Roadster; New SL Features Retractable Hardtop and First-Ever Electronic Brakes
  .

• Cadillac To Unveil All-New 2003 Cadillac CTS At Pebble Beach Concours D'Elegance
  .

• Stillo joins Toyota Financial Services as their Vice President and CFO
  .

• Porsche sets the course for growth in Asia
  .

• Practicality meets Fun in TH!NK neighbor
  .

• General Motors Foundation Donates $1 Million To The New Detroit Science Center
  .

• Renault’s Financial reports
  .

• Christopher J. Hamer Named OnStar Director Of Marketing Communications
  .

• PSA PEUGEOT CITROËN Growth in Interim Sales, Market Share and Earnings
  .

• Johnson Controls Will Build New Plant in Mississippi to Supply Interior Systems for Future Nissan Models

© 1998 - 2001 Copyright & 
Disclaimer
Automotive Intelligence,
www.autointell.com
All Rights Reserved .
For questions please contact
editor@autointell.com  

News of  August 01, 2001

PSA PEUGEOT CITROËN Growth in Interim Sales, Market Share and Earnings

Sales

In the six months that ended June 30, 2001, PSA Peugeot Citroën's consolidated sales reached 27,025 million of euros, up 20.2% on the 22,490 million of euros reported in first-half 2000. Based on comparable scope of consolidation the increase was 14.7%.

Automobile Division sales advanced 13.7% to 21,800 million of euros.

In Western Europe, where demand contracted by a slight 1.8% during the period, registrations of Group cars and light commercial vehicles rose by 6.3%, driving a more than one-point gain in market share, to 14.5% from 13.4% at end-June 2000. The strong growth, which reflected the success of all the models recently introduced by the Peugeot and Citroën marques, consolidated the Group's position as Europe's second-largest carmaker and widened the gap with other carmakers. Sales also continued to expand outside Western Europe, rising 17.8% to 271,200 units. In all, worldwide unit sales climbed 10.6% to 1,602,300 cars and CKD components during the first half.

Automotive equipment sales totaled 5,058 million of euros, including 1,309 million of euros in first-half sales by Sommer Allibert's automotive operations, which were acquired by Faurecia during the period. At comparable scope of consolidation, interim sales were up 23.1%.

Transportation Division sales rose 17.9% to 1,367 million of euros.

Finance Company revenues, corresponding primarily to interest on sales financing and sales of related products and services, increased 16% to 769 million of euros. Banque PSA Finance loan outstandings totaled 16.4 billion of euros at June 30, 2001, up 20.6% on the year-earlier figure.

The contribution from other businesses rose 2.9% to 491 billion of euros for the period.

Income

Interim consolidated operating margin rose 20.5% to 1,402 million of euros from 1,164 million of euros in first-half 2000, representing 5.2% of sales in both periods.

Automobile Division operating margin came to 1,050 million of euros, representing 4.8% of Division sales, versus 864 million of euros and 4.5% of sales in the first six months of 2000. Excluding the impact of the acquisition of Sommer Allibert's automotive businesses, Automobile Division operating margin amounted to 1,068 million of euros, representing 4.9% of Division sales. The improvement in Automobile Division operating margin primarily reflects the growth in volumes and the improvement in the sales mix due to the success of new models. It was also driven by the sustained implementation of ambitious cost- savings programs, even though this was partly offset by higher raw materials costs and temporary production cost overruns caused by the strong growth in output. Research and development budgets dedicated to future vehicles and innovation were increased during the period, as were marketing budgets related to new car launches and the modernization of the dealership network, in line with the Group's strategic commitments.

Automotive Equipment operating margin came to 154 million of euros, representing 3% of Division sales, versus 126 million of euros and 4.4% of sales in first-half 2000. Excluding the impact of the Sommer Allibert acquisition, Automotive Equipment operating margin stood at 84 million of euros.

Transportation Division operating margin amounted to 70 million of euros, while the Finance Companies' operating margin stood at 117 million of euros.

Net interest income declined to 21 million of euros from 43 million of euros due to the reduction in the Group's cash reserves following the acquisition of Sommer Allibert's automotive operations.

After deducting income taxes of 507 million of euros, representing an effective tax rate of 31.5%, net income of fully consolidated companies came to 1,101 million of euros, up 38.8% compared with 793 million of euros for the first six months of 2000.

After taking into account goodwill amortization, the Group's equity in the pre-tax earnings of companies at equity and minority interests, net income for the period totaled 1,027 million of euros, up 36% on first-half 2000.

Earnings per 6.00 euros par value share (before the July 2, 2001 stock-split) rose 35% to 23.30 euros from 17.20 euros for the first six months of 2000.

Finances

Working capital provided by operations declined to 2,108 million of euros from 2,235 million of euros for the first six months of 2000, reflecting the increase in current taxes following depletion of the Group's tax loss carryforwards in 2000.

Acquisitions of investments totaled 1,449 million of euros, corresponding to Faurecia's acquisition of Sommer Allibert's automotive operations. Capital expenditure, related mainly to the new model launch program and the Group's international development, totaled 1,591 million of euros.

In the first quarter of 2001, 722,586 1994-2001 convertible debentures were converted into shares, raising the number of common shares outstanding to 47,093,191. The share buyback program remained in effect, at a slower pace than in 2000. A total of 208,178 shares were bought back during the first half, raising the number of PSA Peugeot Citroën shares held in treasury to 2,880,941 at end-June.

As of June 30, 2001, the Group's manufacturing and sales companies had net borrowings of 102 million of euros compared with a net cash surplus of 1,407 million of euros at December 31, 2000. The swing was primarily due to Faurecia's acquisition of Sommer Allibert's automotive operations.

Capital employed rose to 15.4 billion of euros as of June 30, 2001 from 13 billion of euros at year-end 2000, due to the acquisition of Sommer Allibert's automotive operations and, in the Automobile Division, the sustained implementation of capital expenditure programs and the increase in the Division's working capital requirement with the growth in output.

Full-Year Outlook

The second half of the year will be shaped by ramp-up to full production, after the initial launch phase, of the Citroën C5 and the Peugeot 307 and, in Brazil, of Citroën Xsara Picasso and the Peugeot 206. The period will also see the roll-out of the first vehicles equipped with the new HDI 1.4 liter diesel engine, alongside the HDI 2.0 liter and 2.2 liter powertrains offered for the last two years.

These developments should drive further growth in sales volumes, and enable the Group to meet its objectives of 3,000,000 vehicles sold during year, an Automobile Division operating margin of 4.8% of sales and consolidated operating margin of 2,600 million of euros.

(July 26, 2001)

[Homepage] [ News] [ Companies] [ Management] [ Publications] [ Events] [ Careers]
[Services] [Discussion] [ Guestbook] [ Search]