DaimlerChrysler's Earnings Flat
Jul. 29, 1999
NEW YORK (AP) _ DaimlerChrysler AG said today its operating earnings were flat in the second quarter, despite strong sales in North America and Europe.
The German-American automaker said it earned $1.53 billion, or $1.53 a share, in the April-June period after adjustments for one-time charges. That was down fractionally from $1.534 billion, or $1.64 a share, for the combined earnings of the former Chrysler Corp. and Daimler-Benz AG a year earlier.
DaimlerChrysler resulted from the merger of the two automakers in November.
Revenues for the quarter totaled $38.5 billion, up 10 percent from $34.9 billion a year ago.
For the first half of the year, DaimlerChrysler earned $3.2 billion, or $3.21 a share, up 11 percent from $2.9 billion, or $3.11 a share, for the year-ago period. Revenues totaled $74.6 billion, up 10 percent from $67.8 billion.
The figures are based on the exchange rate for the euro in effect on June 30. Earnings were adjusted for the effects of changes in German tax law and for the appreciation of the dollar against the euro in 1998.
``In many market segments we have significantly outperformed the market as a whole and in many areas we have improved our position in comparison to our competition,'' said Juergen Schrempp, co-chairman. ``We continue to be one of the most profitable automobile companies in the world.''
Co-chairman Robert J. Eaton said the integration of the two companies continued ahead of schedule, with 80 percent of the integration projects expected to be completed by year's end.
The biggest contributor to the first-half earnings was the automotive operations of the former Chrysler. Profits from sales of Chrysler, Plymouth, Jeep and Dodge vehicles were up 5 percent.