DETROIT — Chrysler, the smallest of Detroit’s automakers, said on Wednesday that it earned $225 million in the fourth quarter of 2011, as the company capped its first profitable year since its government bailout and bankruptcy in 2009. þþThe fourth-quarter results were fueled by $15.1 billion in revenue, 41 percent higher than in the period a year earlier. þþFor the full year, Chrysler reported net income of $183 million compared with a $652 million loss in 2010. Annual revenue for 2011 increased 31 percent, to $55 billion, the company said. þþThe turnaround was built on surging sales of its Chrysler, Jeep and Dodge vehicles. Worldwide sales of its cars and trucks increased 22 percent, to 1.85 million vehicles, in 2011, and Chrysler increased its United States market share to 10.5 percent from 9.2 percent the year before. þþThe full-year profit was achieved despite a big charge taken last year to retire its outstanding debt to the United States and Canadian governments. Excluding that charge, Chrysler would have earned $734 million in 2011, the company said. þþChrysler’s chief executive, Sergio Marchionne, forecast an even better performance for 2012. þþMr. Marchionne, who also heads Chrysler’s Italian parent company, Fiat, said the Detroit automaker expected to earn profit of $1.5 billion this year as it continued to introduce products including the Dodge Dart, a new compact car derived from an existing Fiat model. þþ“The house is in good order, Mr. Marchionne said in a statement. “Now we greet a new year of high expectations with our heads down, forging ahead and focusing on executing the goals we’ve set for ourselves as a company.” þþThe company’s comeback has been hailed by the Obama administration as partial proof of the success of its decisions to bail out General Motors and Chrysler from their financial crises in 2009. þþG.M., which last year reclaimed its title as the world’s largest automaker, is scheduled to report its 2011 earnings on Feb. 16. þþChrysler’s fourth-quarter results were its best quarterly earnings and revenues since it emerged from bankruptcy in June 2009. þþThe company has added 9,400 jobs since then, bringing its total employment to 57,000 people. Chrysler is expected to announce on Thursday that it will hire an additional 1,600 workers at its plant in Belvidere, Ill., where it will build the new Dart. þþProduction of the Dart, a small sedan that is expected to achieve fuel economy of about 40 miles per gallon, fulfilled the last requirement of the Chrysler bailout package negotiated by the Treasury Department and Fiat. þþBy producing the Dart in a United States assembly plant, Fiat was given another 5 percent ownership interest in Chrysler by the Obama administration, bringing its total stake in the company to 58.5 percent. þþChrysler’s resurgence has coincided with stronger overall demand for new vehicles by American consumers. þþAutomakers sold 12.8 million vehicles in the United States in 2011, a 10 percent increase from a year earlier. þþOn Wednesday, the industry is expected to report a healthy level of sales for January. Analysts said Chrysler would most likely be one of the strongest performers in the market during the month. þþ“When Chrysler emerged from bankruptcy, there were plenty of skeptics,” said Michelle Krebs, an analyst with the auto research Web site Edmunds.com. “But the automaker has proven them wrong.” þ
Source: NY Times
