PSA group announce profit increase plus plans to re-enter North America

PSA group reveals rise in profit and sales for 2018 plus plans to reintroduce Peugeot name into North American market after 30 year hiatus

Peugeot e-208 - front

PSA has announced strong financial results for 2018, with sales and profits increasing in both the Peugeot/Citroen/DS arm and the recently acquired Vauxhall/Opel division.

Sales of 3.88 million vehicles across the entire group in 2018 represent a 6.8 percent increase over the previous year. This is of course helped by the fact that 2018 was the first full year to include Opel and Vauxhall sales - those two brands only contributed to the final five months of PSA’s 2017 figures.

JLR posts a huge financial loss 

The sales increase is a result of an increase in overall revenue. The €74 billion overall figure is 18.9 percent up on 2017 numbers. The increase comes in spite of exchange rate changes, which PSA say have reduced potential gains by 2.7 percent, and increases in the cost of raw materials. Of that overall figure, €18,306 million is contributed by Opel and Vauxhall, which at €1,526 million each month, represents a €77.9 million monthly improvement on 2017 numbers.

It isn’t just sales and revenue up, but profitability, too. The recurring operating margin - the brands’ bottom line of profit in relation to its overall revenue, is up 8.4 percent for the Peugeot/Citroen/DS brands combined, and 4.7 percent up for the Opel/Vauxhall pair.

The results mean that PSA will push ahead with expansion plans over the coming years, allowing the group to continue its objective to become a truly global car maker. This includes plans for Peugeot to return to North America for the first time since the early 1990s, Citroen to join the Indian market, and for Opel to enter Russia.

The result follows shortly after PSA announced it would be hiring an extra 1,600 staff - half of which will be based in France, the rest spread across another 10 European countries.

PSA also used the news to confirm its emissions-reducing drive. Roughly 50% of group models will be available to buy with electrified powertrains by 2021, and that figure will increase to 100% by 2025. By the same deadline, hydrogen will play a part in future drivetrains, with public trials set to take place in business to business fleets.

Read our story on the brand new Peugeot 208 here...

Recommended

New Peugeot badge references 1960s logo and signals upmarket rebrand
Peugeot badge
Peugeot

New Peugeot badge references 1960s logo and signals upmarket rebrand

Peugeot looks to a future at the posh end of the Stallantis portfolio with a new logo and corporate look
25 Feb 2021
Peugeot Le Mans Hypercar: Paul Di Resta part of new WEC driver line-up
Peugeot LeMans hypercar - front
News

Peugeot Le Mans Hypercar: Paul Di Resta part of new WEC driver line-up

Peugeot's 2022 World Endurance Championship competitor will be driven Paul Di Resta, James Rossiter, Kevin Magnussen, Jean-Eric Vergne, Loic Duval, Mi…
8 Feb 2021
Stellantis: FCA and Groupe PSA merger confirmed
Stellantis logo
Fiat

Stellantis: FCA and Groupe PSA merger confirmed

Official: merger between two car giants becomes effective as of 16 January 2021 
16 Jan 2021
Peugeot plans range expansion plus hot versions of every model
Peugeot 508 Sport Engineered concept - front
Peugeot

Peugeot plans range expansion plus hot versions of every model

Whole range of new Peugeot Sport models on the way
14 Jan 2021

Most Popular

'Nissan has been quietly building an advantage over electric car rivals'
Opinion Nissan EV
Nissan

'Nissan has been quietly building an advantage over electric car rivals'

Steve Fowler thinks Nissan is in a great position to build on the Leaf's success
8 Apr 2021
Volkswagen Golf GTD vs BMW 120d
VW Golf GTD vs BMW 120d - main
Volkswagen Golf GTD Hatchback

Volkswagen Golf GTD vs BMW 120d

Can the Volkswagen Golf GTD or BMW 120d prove diesel isn't dead?
10 Apr 2021
New 2021 Kia EV6: UK prices and specifications confirmed
Kia EV6 - front
Kia EV6

New 2021 Kia EV6: UK prices and specifications confirmed

The new all-electric Kia EV6 gets two batteries, 4WD and even a rapid sporty GT version. Prices start from £40,895
30 Mar 2021