1976 Alfa Romeo Spider Veloce Convertible 2-door 2.0l on 2040-cars

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Stellantis won't race to split electric vehicles from fossil fuel cars

MILAN - Stellantis is not considering splitting its electric vehicle (EV) business from its legacy combustion engine operation, its finance chief said on Thursday, as the carmaker presented above-expectation revenue data for the first quarter. Chief Financial Officer Richard Palmer told analysts he did not see huge benefits in the kind of separations pursued by rivals such as France's Renault and U.S. Ford. "We need to manage the company and the assets we have through this transition," he said. "There are benefits to having the cash flow being generated by the internal combustion business for the investments we need to make." Palmer said the group, formed by a merger last year of Fiat Chrysler and Peugeot maker PSA, was not averse to considering adjusting its structure "but we aren't anticipating any big changes." Palmer's comments came after the world's fourth largest carmaker said its net revenue rose 12% to 41.5 billion euros ($44.1 billion) in the January-March period, as strong pricing and the type of vehicles sold helped offset the impact of the semiconductor shortage on volumes. That topped analyst expectations of 36.9 billion euros, according to a Reuters poll. Milan-listed shares were up 0.5% by 1415 GMT, in line with Italy's blue-chip index. The impact of the chip crunch was evident in the decline in shipment figures which fell 12% in the quarter to 1.374 million vehicles. It was a similar story for Germany's BMW which posted higher revenues on Thursday and a decline in car sales. Riding the Recovery Stellantis, whose brands also include Citroen, Jeep and Maserati, confirmed its 2022 forecasts for a double-digit adjusted operating income margin, after 11.8% last year, and a positive cash-flow despite supply and inflationary headwinds. Morgan Stanley analysts said after the results that Stellantis had better management than many peers and benefited from its significant exposure to a stronger U.S. economy and a European recovery from the COVID-19 pandemic. They also said it was less affected by a slowing Chinese economy. Palmer said it was important for the group to maintain double-digit margins and keep delivering positive cash flows. "A 12% increase in revenue with a 12% decrease in volumes indicates a very strong performance on price and mix, which augurs well for our margin performance," he said. He said semiconductor supply problems were expected to ease this year with continued improvements in 2023.

For his last act, Marchionne will outline an EV/hybrid roadmap this week

MILAN/LONDON — Fiat Chrysler (FCA) boss Sergio Marchionne is expected to outline new plans for electric and hybrid cars in a strategy presentation on Friday, aiming to ensure the world's seventh-largest carmaker remains in the race in the absence of a merger. The 65-year-old will present FCA's strategy to 2022, his final contribution to the company he turned around and multiplied in value through 14 years of canny dealmaking. After failing to secure a tie-up he said was necessary to manage the costs of producing cleaner vehicles, Marchionne needs to show the group can keep churning out profits on its own, even as emissions rules tighten, SUV competition intensifies and worries around his succession abound. Marchionne had long refused to jump on the electrification bandwagon, saying he would only do so if selling battery-powered cars could be done at a profit. He even urged customers not to buy FCA's Fiat 500e, its only battery-powered model, because he was losing money on each sold. But Tesla's success and the need to comply with tougher emissions rules have forced Marchionne to commit to what he calls "most painful" spending. "FCA is way behind rivals in terms of hybrid and electric vehicles and they need to hit the accelerator to convince investors they can close that gap," said Andrea Pastorelli, a fund manager at 8a+ Investimenti. Germany's Volkswagen, Daimler, BMW and U.S. rivals GM and Ford have committed to spending billions of euros each in coming years to try produce profitable cars powered by cleaner fuels. FCA needs to present a clear roadmap, just like Volvo Cars, which ditched diesel from its best-selling XC60 SUV, launched a new electric brand and pledged to shift all brands to hybrid by 2019, a banking source close to FCA said, noting: "The tech divide determines winners and losers in the industry." Marchionne has already said half of the wider FCA fleet will incorporate some elements of electrification by 2022, while luxury marque Maserati will spearhead FCA's electrification drive by making all new models due after 2019 electric. But its plans remain vaguer and less advanced than most big rivals and some investors wonder about the capital required to make vehicles compliant, and what share of spending can go to electrification given FCA's numerous demands.

2024 Alfa Romeo Giulia and Stelvio prices are a mixed bag

Something happened on the way to the end of 2024, and that happening has resulted in higher-than-expected prices for the 2024 Giula and 2024 Stelvio. When Alfa announced changes for both models in April, we were informed the new Giulia Competizione trim would start at $53,115 in rear-wheel-drive form, the Stelvio Competizione trim would start at $57,420 in obligatory all-wheel-drive form. A month later, Cars Direct got wind of price cuts thanks to Alfa Romeo wanting to give buyers even more reason to put money down on la dolce vita instead of a certain Bavarian. In that report, the entry-level Giula Sprint was going to start at $44,795 after destination, the Stelvio Sprint would start at $46,370. An an Alfa Romeo spokesperson even replied to Cars Direct with, "The reduction in pricing is a lifecycle direction for Stelvio and Giulia to enhance market competitiveness." Looking at the 2024 configurator, the Giulia Sprint improves its advantage before options, whereas the Competizione is $2,345 above expectations. Prices for the 2024 Giula range after the $1,595 destination charge are: Sprint: $44,670 Ti: $47,210 Veloce: $50,970 Competizione: $55,460 Quadrifoglio: $82,970 Quadrifoglio 100th Anniversary: $90,070 What's not included here are mandatory additional costs for the Competizione and both Quadrifoglio trims; they don't offer the free white exterior paint option that the Sprint, Ti, and Veloce do. So the above sums will go up by at least $500, the least expensive exterior color option, to as much as $2,200. As for the Giulia Sprint undercutting the BMW 330i, that only happens if you want a white Giulia on the stock 17-inch wheels. The 2024 330i starts at $45,495, which is $825 above the base Giulia. But the BMW comes on 18-inch wheels, the Giulia on 17-inchers, and stepping up a rim size on the Alfa Romeo costs $1,725. BMW also offers black paint as a free option, whereas going dark on the Giulia costs $660. The Giulia does come with 280 horsepower versus the BMW's 255, so there's that. At the very top, a Giulia Quadrifoglio asking $82,970 might be a tough ask against a BMW M3 asking $81,195, never mind a $90,070 Giulia Quadrifoglio 100th Anniversary. It's the same on the Stelvio side of the fence.