Fiat Chrysler’s sales by brand
In September, Fiat Chrysler Automobiles (FCAU) sold 1,639 units of its luxury brand, Alfa Romeo, in the United States, reflecting 29% YoY (year-over-year) growth.
The company attributed this increase in Alfa Romeo sales to strong demand for the Alfa Romeo Stelvio SUV (sport utility vehicle). In September, 864 units of the Stelvio SUV were sold in the United States.
Jeep, Ram, and Dodge
Last month, Fiat Chrysler’s Jeep brand sales remained strong for the ninth month in a row after dropping for the previous 11 consecutive months. At the same time, total Ram brand sales witnessed a solid 9% YoY rise to 56,447 units in September, also higher than the 54,808 units it sold in September 2017.
The company sold ~83,764 units of Jeep brand vehicles in September, up 14% YoY. In late 2016, FCAU launched the second generation of its Jeep Compass, which has continued to drive impressive positive sales growth in 2018. In September, Fiat’s Jeep Compass model sales rose 46% YoY in the United States to 16,525 units. The Jeep Cherokee and Grand Cherokee were the top two Jeep brand vehicles sold last month at 23,836 and 19,312 units, respectively.
Jeep and Ram are two of the key brands in Fiat Chrysler’s US product line. The Ram brand helps FCAU uphold a notable position in the pickup truck segment.
In addition, FCAU’s Dodge brand sales jumped 41% YoY in September after falling 18% YoY in August.
Positives for the third quarter
Pickup trucks and luxury brand vehicles generate high profit margins for vehicle manufacturers (XLY) compared to small cars. A notable increase in Alfa Romeo, Jeep, Ram, and overall retail sales in September could have a positive impact on FCAU’s third-quarter profit margins.
In its most recently reported quarter, Fiat Chrysler’s net profit margins were lower than Toyota Motor’s (TM), and General Motors’ (GM) but higher than Ford Motor Company’s (F). Among these auto companies, Toyota is known to maintain the highest profit margins. In the quarter that ended on June 30, FCAU’s, GM’s, Ford’s, and TM’s adjusted net profit margins were 3.4%, 7.1%, 3.1%, and 8.9%, respectively.
Next, we’ll learn about Toyota’s US auto sales in September.