Carmaker Stellantis today reported a forecast-beating 17% rise in operating profit in the second half of last year on a strong product and pricing mix, despite persistent issues with logistics and semiconductor supply.
The company also announced a dividend of €4.2 billion, or €1.34 per share, for 2022.
It said it would launch a share buyback programme worth up to €1.5 billion to be performed by the end of this year.
Adjusted earnings before interest and tax (EBIT) at the world's third largest auto maker by sales stood at €10.949 billion in the six months to July from December, topping analysts' expectations from a Reuters poll of €9.63 billion.
The margin on adjusted EBIT stood at 12% in the second half, down from 14.1% in the first six months of the year. That however allowed the company to meet its target for a "double digit" margin last year.
Its chief financial officer Richard Palmer said vehicle shipments for the group fell 2% last year, mainly due to issues with its supply chain, notably with semiconductors and logistics, especially in Europe.
"Challenges continue in securing capacity for (vehicle) outbound transportation (to customers)," he said.
"Semiconductors continue to be a problem, I don't think the situation will be fully resolved in 2023," Palmer added.
Stellantis, which was created just over two years ago through the merger of Fiat Chrysler and Peugeot maker PSA, said it had so far made cash synergies of €7.1 billion.
That places it two years ahead of schedule in its target to reach annual cost savings of €5 billion.
