Stellantis, the multinational automotive conglomerate that owns brands such as Jeep, Dodge, Fiat, Chrysler, and Peugeot, has announced expectations of a return to revenue growth in 2025 following a challenging 2024. The company reported a 70% decline in its full-year 2024 net profit, which totaled 5.5 billion euros ($5.77 billion), compared to 18.6 billion euros in 2023. This figure fell short of analyst expectations, which had projected a net profit of 6.4 billion euros based on an LSEG-compiled consensus.
Despite the sharp decline in profits, Stellantis expressed optimism about returning to profitable growth and positive cash generation in 2025, citing the early stages of a commercial recovery amid ongoing industry uncertainties. The company is currently in the process of appointing a new CEO after the unexpected departure of Carlos Tavares late last year, with Chairman John Elkann leading an interim executive committee until a successor is named within the first half of 2025.
Key financial highlights from 2024 include net revenues of 156.9 billion euros, marking a 17% decrease from the previous year, and an adjusted operating income margin of 5.5%, which aligned with the lower end of the firm’s updated financial guidance. In a statement accompanying the results, Elkann noted that while 2024 was a challenging year, the company achieved significant strategic milestones, including the rollout of new multi-energy platforms, the start of EV battery production through joint ventures, and the launch of the Leapmotor International partnership.
Elkann emphasized the company’s commitment to gaining market share and improving financial performance throughout 2025. However, shares of the Milan-listed company dropped by 4% on Wednesday morning. — news from CNBC