Fiat-Chrysler CEO Sergio Marchionne has an ambitious five-year plan to more than double profit and increase annual deliveries 61 percent. So far, investors aren’t buying it.
Fiat shares fell 12 percent on Wednesday, the most in 2 1/2 years, on skepticism that the CEO will be able to meet the 2018 targets he laid out during an investor presentation Tuesday.
Fiat will invest 2.36 billion zlotys ($784 million) to upgrade its factory in Tychy, Poland, to build the replacement for the Punto subcompact (Punto above), a report said.
After getting a new mandate as Renault CEO through to 2018, Carlos Ghosn has high ambitions for the automaker and its partner Nissan. He wants to catch industry leaders Toyota, General Motors and Volkswagen.
Toyota forecast profit will fall from last year’s record as demand slumps in Japan, competition intensifies in the United States and the yen is no longer the boon it used to be.
Net income will probably slip to 1.78 trillion yen ($17 billion) in the fiscal year ending March 31, Toyota said in a statement today.
Toyota achieved a record annual profit and sales above 10 million vehicles for the first time, but forecast Thursday a slower year ahead as the momentum from a weak yen fades.
