Slow sales in Europe, where the industry is facing what will likely be its fifth straight year of sales decline, were the driving force behind Fiat's losses. The company reported a quarterly trading loss of $165 million in the region, an increase from the $107 million loss during the same period last year.
Providing a counterpoint to Fiat's European woes was Chrysler, which enjoyed second-quarter earnings of $436 million on the strength of a 22 percent increase in global sales. Notably, under the European accounting system, Chrysler's profit was $742.9 million, providing a large boost to Fiat's bottom line.
Fiat Group is continuing to predict a trading profit of $4.7 billion to $5.5 billion for 2012.
