PSA Does to Opel Car Brand What GM Failed to Do in 20 Years

Opel, the German carmaker that posted almost two decades of losses under General Motors Co.’s ownership, is making money again.

PSA Group, the French manufacturer of the Peugeot, Citroen and DS nameplates that acquired the brand a year ago, has been aggressively cutting costs and eliminating jobs. On Tuesday, PSA revealed Opel made 502 million euros ($587 million) of profit during the first six months of 2018 compared with a loss a year earlier. The shares surged as much as 13 percent, the most in six years.

“This is simply the quickest turnaround I have seen in the auto industry in many years,” JP Morgan analyst Jose Asumendi wrote in a note.

https://www.bloomberg.com/news/articles/2018-07-24/psa-first-half-profit-surges-on-higher-car-sales-cost-cuts