PSA Group, the parent company of, among others, Peugeot, Citroën, Opel and Vauxhall in the first half of the year reported a significantly less turnover and profit as a result of the corona crisis. The car industry has suffered massive forced closures of showrooms in recent years. In many countries, this temporarily put car sales on halt. Production was also seriously disrupted as factories were temporarily closed.
PSA’s total revenues eventually plummeted by more than a third to 25.1 billion euros. Under the line, EUR 376 million remained, with a profit of more than EUR 2 billion in the first half of last year. The margin for cars was 3.7%. However, the group does not think it is necessary to abandon its financial targets for the margin on cars. PSA confirmed its margin target for the period 2019 to 2021. In this, the group assumed an average margin of more than 4.5%.
“We are determined to achieve a solid revival in the second half of the year,” said topman Carlos Tavares. PSA is currently awaiting approval from the European Commission for its merger plans with rival Fiat Chrysler. The group still expects the deal to be completed by the end of the first quarter of next year. The merger, created by the merger of the car manufacturers, is named Stellantis.