3 May 2011

Quarterly profit reported by Chrysler

8:35 am on 3 May 2011

Chrysler has reported its first quarterly profit since it emerged from bankruptcy protection two years ago.

The carmaker made a net profit of $US116 million in the first three months of 2011, due to the success of its newer models and the overall recovery in global demand for vehicles.

The profit compares with a net loss of $US197 million a year earlier. Chrysler's revenues were up 35% to $13.1bn.

Last month, Fiat of Italy increased its shareholding in Chrysler to 46%.

Fiat first bought a 20% stake in Chrysler in 2009, after the company emerged from bankruptcy protection. It then increased this first to 25% and then to 30% earlier this year.

The Italian carmaker has shared its technology and management with Chrysler, helping the American company to turn around its fortunes.

The BBC reports Chrysler's global sales rose 18% in the first three months of this year, a similar picture to that at Ford and General Motors, which have also recently reported big rises in profits.

Chrysler last made a quarterly profit in 2007.