Chrysler Group, helped by new models and higher sales, swung to a third quarter net profit of $212 million, compared with a net loss of $84 million a year earlier. Hit the jump to read the rest of the story.
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Revenue rose 19 percent to $13.1 billion, driven by demand for 16 new or refreshed vehicles Chrysler has introduced for the 2011 and 2012 model years.
Chrysler also raised its earnings outlook and now expects to generate adjusted net income of $600 million for all of 2011, up from previous estimates of $200 million to $500 million.
Detroit’s smallest automaker has lost $42 million on revenue of $40 billion through the first three quarters of 2011.
Chrysler is on track to post its first annual net profit since 2005 and just over two years after its U.S.-steered bankruptcy and rescue by Italy’s Fiat S.p.A.
Chrysler said it also expects to generate $1.2 billion in cash flow this year, up from prior guidance of $1 billion.
The company ended the quarter with $9.5 billion in cash, down from $10.2 billion at the end of the second quarter but up by $1.2 billion from a year ago.
