Fiat Chrysler Automobiles NV – Company Strategy & Performance Analysis

Fiat Chrysler Automobiles N.V. (FCA) is engaged in the design, engineering, manufacture, distribution and sale of vehicles, components and production systems. The group operates in the Americas, Europe, Asia-Pacific, Middle East, and Africa. FCA conducts its business through six segments: four regional mass-market vehicle segments (NAFTA, EMEA, LATAM, and APAC), one global luxury brand segment (Maserati), and a global components segment. The group has 162 manufacturing facilities across the globe and 87 R&D centers. FCA operates in approximately 40 countries and sells vehicles directly or through distributors and dealers in more than 140 countries. In FY2016, the group sold 4.5 million vehicles across geographies. The group is headquartered in London, the UK.

MarketLine Premium’s company strategy reports provide in-depth coverage of the performance and strategies of the world’s leading automotive companies. The report details company operations in key geographies and offers a comprehensive analysis of each firm’s growth strategy and financial performance. It benchmarks company performance against key indicators, including sales units, production units, operating income, net income, and total revenue.

Key highlights

Fiat Chrysler's LATAM segment contributed significantly to the company’s revenue

The company’s LATAM segment grew by 32.4%, from US$6,806.1m in 2016 to US$9,009.9m in 2017 owing to improving economic conditions and an increase in shipments of the Fiat Mobi, Fiat Argo and Jeep Compass. The NAFTA segment contributed accounted for 59.5% of revenue but decreased by 2.5%, from US$76,358.9m in 2016 to US$74,487.0m in 2017 owing to lower fleet volumes as a result of the planned discontinuation of the Jeep Patriot, Dodge Dart and Chrysler 200. The EMEA segment grew at a rate of 6.0%, from US$24,008.8m in 2016 to US$25,442.9m in 2017 attributable to a rise in the volume of the Alfa Romeo Stelvio, Jeep Compass and Fiat Tipo Family.

Fiat's NAFTA segment accounted for 59.5% of the group's total revenue

The NAFTA operations support the distribution and sales of mass market vehicles in the US, Canada, Mexico, and Caribbean islands under the Abarth, Chrysler, Dodge, Fiat, Jeep, Ram, and Alfa Romeo brands. In FY2017, it generated revenues of US$74,487.0m, after a decline of 2.5% from US$76,358.9m FY2016, accounting for 59.5% of the group's total revenue. This was due to lower shipments driven by planned reductions which were partly offset by an increase in shipments for the Ram and Alfa Romeo brands, Jeep Grand Cherokee and the all-new Jeep Compass.

The EMEA segment accounted for 20.3% of the group's total revenue

The EMEA segment supports the distribution and sale of mass-market vehicles in Europe, the Middle East and Africa primarily under the Abarth, Alfa Romeo, Dodge, Fiat, Fiat Professional, Jeep, Lancia an Ram brands. Revenues generated by the EMEA segment rose by 6.0%, from US$24,008.8m in FY2016 to US$25,442.9m in FY2017. The increase in revenue can be related to an increase in the volume of the new Alfa Romeo Stelvio, Jeep Compass and the Fiat Tipo Family.

Scope

– Company Snapshot: Details key indicators and rankings of FCA in terms of revenue, sales and production units.

– Company SWOT Analysis: Outlines FCA's strengths, weaknesses, and opportunities and threats facing the company.

– Growth Strategies: Provides an overview of FCA's corporate goals and strategic initiatives and evaluates their outcomes.

– Company Performance and Competitive Landscape: Analyses the company’s performance by geographical segment and provides a peer comparison on parameters such as revenue and market share.

– Key Developments: Showcases FCA's recent corporate events and initiatives.

– ICT Spending Prediction: Details how the company allocates its ICT budget across the core areas of its business, specifically hardware, software, IT services, communications and consulting.

Reasons to buy

- How does FCA rank among its peers in terms of revenue and market share?

- What are FCA's main growth strategies and how successful has the company been at implementing them?

- How has the company performed since 2014?

- How has FCA performed in comparison to its main competitors?

- What are FCA's strengths and weaknesses and what are the opportunities and threats it faces?

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