Fiat reports profits surge, raises targets

MILAN: Italian auto group Fiat, emerging from the economic crisis with ambitions to become a top global brand, reported a surge in profits for the third quarter and ramped up full-year targets on Thursday

Fiat, which picked up a key stake in US giant General Motors during the economic crisis, said that in the third quarter net profit jumped to 190 million euros (264.1 million dollars) from 25 million euros at the same time last year.

Current profit, a key indicator of operating performance, nearly doubled to 586 million euros from 308 million euros.

Sales rose by 11.9 percent to 13.479 billion euros.

In view of these results, the group raised sharply its targets for the full year.

Fiat said that it was now looking to achieve a net profit of about 400 million euros, having said previously it expected to be close to being in balance.

Current profit should be at least 2.0 billion euros from a previous target of 1.1-1.2 billion euros and sales should exceed 55 billion euros instead of more than 50 billion euros.

On the stock market here, the price of shares in Fiat rose by 2.99 percent to 12.07 euros in morning trading. The overall market was showing a gain of 0.22 percent.