Maserati, foreign sales boost profit for Fiat Chrysler

Automaker reports record second quarter despite stagnant North America

Maserati, one of the plushest new car brands in the U.S., is on the way to revving up profits for its parent, Fiat Chrysler Automobiles.

FCA reported a profit of $1.35 billion in the second quarter, up 207% over the same period a year ago as gains in several of the company’s foreign regions helped it overcome slower sales in North America. The company said its record second-quarter profits were driven by improvements in its Maserati brand and in South America and Europe.

Higher revenues in key foreign markets helped offset a slower pace in North America caused by product launches and production changes at some plants. In North America, the company has stopped producing struggling cars such as the Dodge Dart and Chrysler 200 and is in the process of ramping up its rollout of the Jeep Compass to replace both the old Compass and Patriot. And Jeep sales in the U.S., typically an engine growth, have declined over the first half of the year.

During the second quarter, the automaker’s pretax profits fell to $1.58 billion in North America, down from $1.61 billion. The automaker shipped 576,000 cars and trucks in North America during the second quarter, down 14% from the same period a year ago.

But pretax profits increased to $70.3 million in South America, up from zero for the same period last year; rose to $51 million in Asia, up from $49.2 million; and increased to $234 million in Europe, up from $167 million.

The company also reported net revenues of $32.7 billion, a slight increase over the same period in 2016 when the company reported $32.671 billion in revenue. Earnings of 81 cents per share easily beat Wall Street expectations of 53 cents, according to 28 analysts surveyed by MarketWatch.