Groupe PSA achieved a new profitability record in 2019

• €74.7 billion Group revenue up 1%
• 8.5% Group adjusted operating margin [1] at €6.3 billion
• 8.5% Automotive division [2] adjusted operating margin up 0.9 pt at €5.0 billion
• Record net result Group share at €3.2 billion
• €3.3 billion Automotive division free cash flow
• PACE! plan target achieved with Opel Vauxhall 6.5% adjusted operating margin

Carlos Tavares, Chairman of Groupe PSA Managing Board said: “Our skilled and committed teams made the difference once again and we have achieved record results in 2019, driven by our agile, customer focused and socially responsible approach. We are ready for the energy transition and all teams are focused to offer a clean, safe and affordable mobility for customers. Based on our business model and fighting spirit which has proved to be efficient, we are eager to enter a new era with the projected merger with FCA.”

A dividend of €1.23 per share [3] will be submitted for approval at the next Shareholders’ Meeting.

Group revenue amounted to €74,731 million in 2019, up by 1.0% compared to 2018. Automotive division revenue amounted to €58,943 million up by 0.7% versus 2018, mainly driven by product mix (+4.3%) and price (+1.2%), which offset the decrease of sales to partners (-1.7%), the negative impact of exchange rates (-0.5%), volumes and country mix (-2.4%) as well as others (-0.2%).

Group adjusted operating income [4] amounted to €6,324 million, up 11.2% with Automotive adjusted operating income up 12.8% at €5,037 million. This 8.5% strong profitability level was reached thanks to a positive product mix and further cost reductions despite exchange rate headwinds and raw material costs increases.

Group adjusted operating margin reached 8.5%, up 0.8 pt versus 2018.

Other operating income and expenses amounted to -€1,656 million, compared to -€1,289 million in 2018.

Group net financial expenses decreased to -€344 million compared to -€446 million in 2018.

Consolidated net income reached €3,584 million, an increase of €289 million compared to 2018. Net income, Group share, reached €3,201 million, up €374 million compared to 2018.

Banque PSA Finance reported adjusted operating income of €1,012 million [5], up 7.8%.

Faurecia adjusted operating income was €1,227 million, down 2.9%.

Free cash flow of manufacturing and sales companies was €2,745 million of which €3,265 million for the Automotive division.

Total inventory, including independent dealers and importers [6], stood at 606,000 vehicles at 31 December 2019, down 74,000 vehicles compared to 31 December 2018.

Net financial position of manufacturing and sales companies was €7,914 million at 31 December 2019 after IFRS 16 effect and Clarion acquisition by Faurecia and including DFG share repurchase debt.

A dividend of €1.23 per share [7] will be submitted for approval at the next Shareholders’ Meeting with an ex-dividend date considered to be on 21 May 2020, and the payment date on 25 May 2020.

Market outlook: in 2020, the Group anticipates a decrease by 3% of the automotive market in Europe and by 2% in Russia as well as a stable automotive market in Latin America.

Operational outlook:

Groupe PSA has set the target to deliver over 4.5% Automotive adjusted operating margin [8] on average for the period 2019-2021.

[1] Adjusted operating income related to revenue

[2] Automotive Division (PCDOV)

[3] Dividend per share calculated on the basis of the total number of outstanding shares of the company minus the treasury shares of the company as of 25 February 2020. The actual dividend per share will depend on the number of treasury shares held at the ex-dividend date and any shares issued or cancelled prior to this date.

[4] Adjusted operating income (loss) excludes from Operating income certain adjustments comprising Restructuring costs, Impairment of CGU’s and Other operating income (expense) considered rare or discrete events and are infrequent in nature.

[5] 100% of the result of Banque PSA Finance. In the financial statements of Groupe PSA, joint ventures are consolidated using the equity method.

[6] Including Peugeot importers outside Europe

[7] Dividend per share calculated on the basis of the total number of outstanding shares of the company minus the treasury shares of the company as of 25 February 2020. The actual dividend per share will depend on the number of treasury shares held at the ex-dividend date and any shares issued or cancelled prior to this date.

[8] Automotive Division (PCDOV) adjusted operating income related to revenue

Opel Continues Export Offensive with Return to Japan

• Comeback in Japan next year
• Start with three models: Opel Corsa, Combo Life and Grandland X
• Electrified variants from day one
• Further models to follow
• Growth through new export markets is at the core of the PACE! plan

All-New Opel Corsa

Opel will continue its ongoing export offensive by returning to the important Japanese market. Starting next year, the brand with the Blitz logo will launch three models in a first step: the bestselling Corsa [1], which may be named differently in Japan, the multifunctional Combo Life and  Grandland X compact SUV. Further models will follow.

“The Japanese car market is one of the largest in the world. Opel enjoys an excellent reputation there as a German brand. Therefore, our return to Japan is a very important step to significantly increase our profitable exports – as we promised in the PACE! plan. Opel goes global – our comeback in Japan is further proof of this," said Opel CEO Michael Lohscheller.

In Japan Opel will be part of the National Sales Organization of Groupe PSA and will be able to leverage the on-site infrastructure and expertise of the group. This greatly facilitates the return to this market.

So far, the Groupe PSA is represented in Japan with the Peugeot, Citroën and DS Automobiles brands and sold more than 15,600 vehicles in 2019. Launch of the Opel brand will help Groupe PSA expand its offering in Japan and attract new customers. All the more so as Japanese customers will also benefit from Opel’s electrification offensive: They will have the choice between combustion engines and an electrified drive, because the Opel Corsa will also come in a purely electric version, while the Grandland X will also be available as a plug-in hybrid.

In the coming months, the brand will build a dealer network in the major cities of the country, which will be expanded steadily. By 2023, the Opel network will be represented in over 80 percent of the import market area. Opel wants to grow step by step. As elsewhere, the focus in Japan will be on profitable growth and satisfied customers.

A comprehensive export offensive is one pillar of the Opel / Vauxhall strategic plan PACE! By the mid-2020s, markets outside Europe will be responsible for more than ten percent of Opel's sales volume. To achieve this, the brand is strengthening its presence in export markets in Asia, Africa and South America, where it already has a presence, and will enter more than 20 new export markets by 2022. Recent examples include the comeback in Russia or the market entry in Colombia and Ecuador.

[1] Opel Corsa may be marketed under a different nameplate in Japan.

AUTOBEST Awards for All-New Opel Corsa and Opel CEO Lohscheller

• “Best Buy Car of Europe 2020”: Opel Corsa wins for the third time at AUTOBEST
• “MANBEST 2019”: CEO Michael Lohscheller is Manager of the Year
• Grand gala: prize-giving ceremony in Mainz
• Successful year: Opel models receive numerous awards across Europe in 2019

AUTOBEST Awards: prize-giving ceremony in Mainz

Double success for Opel at AUTOBEST: at yesterday's award ceremony in Mainz, CEO Michael Lohscheller was awarded the “MANBEST” award for best manager of the year 2019. In addition, the Opel boss received the “Best Buy Car 2020” trophy for the new Opel Corsa. AUTOBEST jury, which is made up of international journalists from 31 countries, has chosen the Opel newcomer as the car with the best price-performance ratio in Europe. With the current award, the new Opel Corsa scores an AUTOBEST title hat trick: No other model has been named “Best Buy Car of Europe” in three successive generations. Among the gala guests in Mainz were Managing Director Marketing and Sales, Xavier Duchemin, Managing Director Engineering, Christian Müller and Vice President Communication, Harald Hamprecht.

Centre-stage with new Opel Corsa: Opel CEO Michael Lohscheller flanked by (from left to right), Harald Hamprecht (Vice President Communications), Christian Müller (Managing Director Engineering), Dan Vardie (Founder, AUTOBEST) and Xavier Duchemin (Managing Director Sales, Marketing and Aftersales).

“Our new Opel Corsa is a future-oriented car – state-of-the-art, with excellent driving dynamics and also electric. It offers top technologies at fair prices. That also convinced the AUTOBEST jury”, said Michael Lohscheller in Mainz. “The ‘MANBEST’ award is a great personal honour for me. This title exemplifies what we have achieved as a team with all employees at Opel. We have put Opel back on the road to success – and it will stay that way”, promised the manager of the year 2019.

Manager of the year: Opel CEO Michael Lohscheller (left) receives the MANBEST award from AUTOBEST jury member, Richard Aucock.

After the takeover of Opel by Groupe PSA in 2017, Michael Lohscheller and his management team developed and implemented the comprehensive strategic plan “PACE!”, which will make Opel sustainably profitable, global and electric. New Opel Corsa-e started the major electrification offensive with its world premiere last summer. Opel Corsa-e combines the practical Corsa qualities with locally CO2-free operation and an everyday electric range of up to 337 kilometres (according to WLTP 1). Already in 2007 and 2015, Corsa generation numbers four and five won overall at AUTOBEST. New Opel Corsa and Corsa-e continue this tradition with the third AUTOBEST title.

Opel Corsa wins for the third time at AUTOBEST

Awards from experts and public: Enthusiasm for Opel models

New generation Corsa has made a strong start. In Germany, for example, it has already been named “Company Car of the Year” and a few days ago, it received the “Connected Car Award” from the Auto Bild Group. In Spain, new Opel Corsa won the “Premio Best Car Coche Global” title. The Opel flagship Insignia is also celebrating success across Europe. In the United Kingdom, it was recently named the “Upper Medium Car of the Year” for the third year in a row; due to its high quality, it is also in the running for the J.D. Power “Most reliable Midsize Car”. In Germany, thanks to its state-of-the-art Twinster all-wheel drive with torque vectoring, the Insignia is the “All-Wheel Drive Car of The Year” and “Auto Test Award” winner, as well as “J.D. Power Award” title-holder. The compact SUVs Mokka X and Crossland X complete the award series at Opel as "Most Reliable Small SUV" in the UK and "Best Family Car" in the Netherlands.

Light commercial vehicles from Opel’s sister brand, Vauxhall, are also particularly popular in the UK. The trio of Combo Cargo, Vivaro and Movano has received numerous prizes ranging from "Small / Light / Medium Van of the Year" to "Light Commercial Vehicle of the Year" and the "TVD Best Trader's Choice Award". The new Vivaro also received the “TVD Best Newcomer Award”. Overseas, Opel was “Brand of the Year” in 2019.

[1] Fuel consumption and CO2-emission data have been determined according to WLTP test procedure methodology (R (EC) No. 715/2007, R (EU) No. 2017/1151).

All-New Opel Corsa Wins “Connected Car Award”

• New Opel Corsa has best connectivity in small and compact car segment
• Opel boss Michael Lohscheller receives award in Rüsselsheim
• New Opel Corsa and Corsa-e score points among experts and public

Opel CEO Michael Lohscheller receives award in Rüsselsheim

All-new Opel Corsa has won another award. Auto Bild and Computer Bild have presented the “Connected Car Award 2019” to the new Opel model. Opel Corsa offers the best all-round connectivity in its class. Readers of the two specialist magazines voted and elected the sixth generation of the Opel bestseller as the winner in the small and compact car segment. Opel CEO Michael Lohscheller received the award at Adam Opel Haus in Rüsselsheim from the deputy editor of Auto Bild, Tomas Hirschberger.

“Our new Opel Corsa offers state-of-the-art technologies that are otherwise hard to find in this class. The best connectivity options and top infotainment are of course part of this. With our new OpelConnect service, Corsa drivers are always up-to-date. We are delighted that our offer has convinced the readers of Auto Bild and Computer Bild, and that they have honoured this with the 'Connected Car Award'”, said Michael Lohscheller.

Already with the Opel Insignia, Vivaro and co., the brand has won several editions of the “Connected Car Award” in recent years. Commenting on the comprehensive range of infotainment systems and connectivity options, Auto Bild stated, “New Opel Corsa offers direct connection to eCall”. Navigation and seven-inch touchscreen “are also available. As an option, it can be fully linked with real-time traffic information via the OpelConnect Live Navigation service.”

Since the world premiere last year, new Opel Corsa and Corsa-e have scored many times. In December, the AUTOBEST jury named new Opel Corsa the “Best Buy Car of Europe 2020”. In Germany, the car won in the compact category when it was voted “Company Car of the Year”. And in Spain, the new Corsa won the title “Premio Best Car Coche Global”. Battery-electric Opel Corsa-e, which is already orderable, will roll to customers in the spring.

Goodbye Legend: Erhard Schnell, Opel Designer, Dies Aged 92

• Designer of Opel Experimental GT and Opel GT production car
• Headed Rüsselsheim Advanced Design Studio from 1964
• Also gave Opel Calibra its wind-cheating shape

Erhard Schnell, Opel Designer, Dies Aged 92

Erhard Schnell died last weekend in Trebur, Hesse. Father of the Opel GT was 92. He remained closely associated with Opel until the last and was present at many events. In 2018, the designer celebrated 50 years of the Opel GT with classic car fans from all over the world at the Hockenheimring. Born in Frankfurt, Schnell was famous for his sense of humour, which also appeared in his mischievous cartoons.

Born in 1927, Erhard Schnell studied commercial graphics in Offenbach before his career as a designer. In 1952, he started working as a designer at Opel. As a passionate graphic artist, he was always proud to have designed the curved lettering of the Opel Kapitän and Rekord. In 1961, he perfected his design skills at the GM Tech Center in Detroit.

In 1962, he began developing the first concept car from a European automobile manufacturer. His ideas took shape in the “Opel Styling Studio” opened in Rüsselsheim in 1964. Experimental GT emerged and its dynamic silhouette acquired the soubriquet "Coke Bottle Shape". The Experimental GT celebrated its world premiere at the IAA in 1965, and only three years later the production Opel GT rolled off the assembly line. Father of the Opel GT was thrilled with his big hit, whose sleek lines resembled those of the contemporary Corvette.

Opel GT

Schnell later gave shape to the first generation of the Opel Corsa and developed the form of the ultra-aerodynamic Opel Calibra. “My favourite car”, said Schnell about the cult coupé, “a new, modern design language. I had complete freedom with the styling.”

Opel Calibra

Erhard Schnell refused to retire even after he left Opel in 1992. In 2014, when asked if he would finally put his pen down, the designer replied “Not at all. I simply transferred my work to my home and designed the garden or my house. I also often paint in watercolours. I will never be able to stay away from it completely. ”

Opel Extends South America Business: Brand launch in Colombia and Ecuador

• Renowned import partners secured
• Export to Colombia and Ecuador from summer of 2020
• Market entry with four models: Opel Crossland X, Grandland X, Combo and Vivaro
• More model launches in the near future
• Profitable sales in new export markets key pillar of PACE! company plan

Opel is continuing its export offensive. Rüsselsheim-based carmaker is extending its business in South America and will be entering the Colombian and Ecuadorian markets as of the summer of this year. Opel has already signed agreements with renowned importers SKBerge and Nexumcorp, who will become the exclusive sales partners for the Colombian and Ecuadorian markets respectively.

Opel Grandland X SUV

Brand with the Blitz will enter the two new markets with an initial offering comprising of four models: successful Opel Crossland X and Grandland X SUVs, multifunctional Opel Combo Cargo and the highly flexible Opel Vivaro van. Opel’s perennial bestseller, the new Corsa, will follow shortly.

Opel Crossland X 

“Colombia and Ecuador are very interesting markets and will provide us with additional momentum. Obviously, being a German brand is a major advantage when entering these markets because German engineering is also synonymous with quality in South America. We can also benefit from the existing Groupe PSA infrastructure and the very positive dynamic of the group’s other brands in both countries,” said Michael Lohscheller, CEO Opel Automobile GmbH and member of the Groupe PSA Managing Board. “Like in every market, our top priority in South America is profitable growth with a high level of customer satisfaction.”

Opel Combo Cargo

Opel Vivaro van

An extensive export offensive is a key pillar of Opel/Vauxhall’s company plan PACE! that ensures sustainable profitability for the company. plan includes the clear goal of achieving 10 percent of sales in markets outside of the traditional core European markets by the mid-2020s. To this end, Opel is strengthening its presence in Asian, African and South American markets with new and renowned partners. In addition, the carmaker will enter 20 new export markets by 2022, one of these being the Russian market where the brand recently celebrated its comeback.

PACE! plan

Best Connections: New OpelConnect Services Now Available

• Orderable now: OpelConnect from €300 in Germany, standard with navigation systems as well as on Opel Corsa-e and Grandland X plug-in hybrid
• All aboard: eCall, breakdown call and vehicle status
• High comfort: “myOpel” app with remote controls especially for electrified vehicles
• Digitised pathfinder: LIVE Navigation, Trip and Drive Management

OpelConnect

Opel is extending “OpelConnect” with new services. Since summer 2019, buyers of new Opel cars can enjoy additional peace of mind with on-board emergency and breakdown calls. Now they can benefit from numerous other “OpelConnect” services, such as vehicle status and information as well as LIVE Navigation (if the respective car is equipped with a navigation system). Customers of the new Opel electric models Corsa-e and Grandland X as plug-in hybrids can also check the battery’s state-of-charge via “OpelConnect” or programme the air conditioning and charging times. This means that Opel electrified vehicles can be defrosted and warmed up or cooled down comfortably in the summer.

Log in, select service and immediately benefit from OpelConnect

Access to the extended range of “OpelConnect” services is extremely easy. When purchasing a new car, customers simply order the connect box for an additional charge of as little as €300 in Germany. Alternatively, they can equip their new vehicle directly with the Navi 5.0 IntelliLink, Multimedia Navi or Multimedia Navi Pro infotainment systems, in which case the “OpelConnect” box is already standard. OpelConnect box and services are available for Opel models from Corsa to Crossland X and Grandland X, Combo Life and Combo Cargo to Zafira Life and Vivaro.

As an option, Opel dealers can pre-register customers with the necessary data. The new Opel owners can then open an account in the “myOpel” customer portal and activate the services in the “OpelConnect” store. They immediately get the full overview of all available free and paid services. Particularly practical: only one registration is required in future to access and use the “myOpel” app, “myOpel” customer portal and “OpelConnect” store. All three platforms share the same login data.

Standard services: security, comfort, cleverness

Following free services are part of OpelConnect as standard:

• eCall (1): if the airbags or seatbelt tensioners are deployed in an accident, an emergency call is made automatically to the local Public Safety Answering Point (PSAP)2. If no answer is received from the vehicle the PSAP sends details of the accident to the rescue services, including the time of incident, the position of the crashed vehicle and the direction of travel. An emergency call can also be triggered manually by pushing the red SOS button in the ceiling above the mirror for more than two seconds.

• Breakdown call: connects with the Opel mobility service. Important information such as location and diagnosis data, the time of the breakdown, water and oil temperatures and maintenance alerts can be sent automatically, if the customer wishes.

• Vehicle Status & Information service: in future drivers can get information about their car via the “myOpel” app. Depending on the model, the available data includes mileage, average fuel consumption, service intervals and refills, and also a reminder if a scheduled service is approaching. In addition to the owner, the selected Opel dealer is also informed about service intervals and vehicle warnings, so that an appointment can be arranged.

• For electrified Opel models, the “OpelConnect” range also includes e-remote control functions. Customers can use their smartphones to check the battery’s state-of-charge or programme air conditioning and charging times by remote control.

• Drivers of vehicles with navigation system, who want to know more about their own driver profile from “OpelConnect”, can consult Trip & Drive Management. Trip duration, distance and average speed of the last trip are visible here. “Last-mile” guidance via Bluetooth offers car-to-door navigation to the destination (subject to the model).

• LIVE Navigation (3) provides (for three years following activation) online traffic information in real time, which allows delays to be detected quickly and avoided. The system suggests alternative routes and calculates the arrival time. It also gives information about roads with heavy traffic, so that drivers can choose a less busy route. Additional services provide information about fuel prices along the route, available parking spaces and costs, the weather and points of interest such as restaurants and hotels (or in the case of electrified models, the availability of charging stations).

Optional “OpelConnect” services: e-mobility made easy, advantages for fleets

“OpelConnect” and “Free2Move” offer additional, optional, country-specific paid services. These range from Charge my Car with trip planner and charging pass for e-vehicles, to special services for business customers. “Charge My Car” enables access to thousands of charging points throughout Europe via the “Free2Move” app. To make it even easier for customers to choose the right charging point, “Free2Move” makes a preselection based on the distance to the charging point, the charging speed and the charging price of the possible public charging options.

Business customers and fleet managers can benefit from special fleet service options. The scope includes various paid service packages that provide analyses of fuel consumption and driving style or transmit vehicle warnings in real-time as well as maintenance intervals. This makes planning easier and the fleet more efficient.

Coming soon: comfort functions via “myOpel” app

The offer from “OpelConnect” will be continuously expanded in the coming months. Many vehicle functions will be controllable remotely (4) using the “myOpel” app for smartphones. Opel owners can, for example, lock or unlock their car via the app and if they forget where they left the vehicle in a large parking lot, the horn and lights can be activated via the “myOpel” app – voilà, the vehicle is found.

Also coming soon: if the car is equipped with Keyless Open & Start including digital key, the vehicle can be shared with the family. Via smartphone, the owner can allow up to five people to access the car (5).

[1] Requires free contract and agreement to vehicle location at time of order. Dependent on market-availability of “OpelConnect” services.

[2] Available in EU and EFTA countries.

[3] LIVE navigation services available free-of-charge for 36 months after activation. Payment for Live navigation services required thereafter.

[4] Remote control availability expected 2020.

[5] Availability for Opel Corsa expected 2020.

Holzer Motorsport and Michelin New Partners for ADAC Opel e-Rally Cup

• Holzer Motorsport is service provider for new brand cup
• Michelin supplies tyres for world’s first brand cup for electric rally cars
• Opel Corsa-e Rally test programme enters second phase

New Opel Corsa-e Rally 

Opel Motorsport has extended the long-standing cooperation with Holzer Motorsport. The race and rally specialists from Augsburg will provide the technical support and the on-event parts service for all teams competing in the ADAC Opel e-Rally Cup. Tyres for the first electric rally brand cup in the world will be supplied by Michelin.

Development of the Opel Corsa-e Rally for the ADAC Opel e-Rally Cup continues at a fast pace. Two development vehicles of the 100 kW (136 hp) electric car have been undergoing durability testing since the end of last year at the Dudenhofen Test Center. The next step will be performance tests on rally stages.

“This is good news for our teams”, says Opel Motorsport Director, Jörg Schrott. “The continuation of our 20-year-long cooperation with Holzer Motorsport further enhances the status of the ADAC Opel e-Rally Cup. Günther Holzer and his crew have been skilled and reliable partners for all teams in the ADAC Opel Rally Cup since 2013. The same goes for Michelin. After the successful cooperation in the ADAC Opel Rally Cup, Michelin will now equip all the Opel Corsa-e Rally cars.”

New all-electric brand cup featuring Opel Corsa-e Rally will begin on August 21-22 with the ADAC Saarland-Pfalz Rally.