Stellantis Saw A 70% Decline In Net Profit Last Year

Crisis-hit auto giant Stellantis said on Wednesday it sees a return to revenue growth this year after a sharp drop in earnings in 2024.

The multinational conglomerate, which owns well-known names such as Jeep, Dodge, Fiat, Chrysler, and Peugeot, among others, reported a full-year 2024 net profit of 5.5 billion euros ($5.77 billion), a 70% drop from 18.6 billion euros in full-year 2023.

Analysts had expected net profit for the full year 2024 to be 6.4 billion euros, according to a consensus compiled by LSEG.

Stellantis said it expects to return to profitable growth and positive cash generation in 2025, reflecting the early stage of commercial recovery and increased uncertainty in the industry.

The results come as the company continues its search for a new CEO following the sudden departure of Carlos Tavares late last year.

Stellantis said he expects to name a successor during the first half of this year, with Chairman John Elkann leading an interim executive board until the position is filled.

Other notable revenues:

Net revenues amounted to 156.9 billion euros, a decrease of 17% compared to the previous year.

Adjusted operating income margin of 5.5%, at the lower end of the company’s updated financial guidance

“Although 2024 was a year of stark contrasts for the company, with results below our potential, we achieved important strategic milestones,” Elkann said in a statement accompanying the results.

“In particular, we have begun the introduction of new multi-energy platforms and products, which will continue into 2025; we have begun manufacturing EV batteries through our joint ventures; and we have launched the Leapmotor International partnership,” Elkann added.

Elkann said the company is “firmly focused” on both gaining market share and improving financial results by 2025. The company’s shares fell 4% on the Milan stock exchange on Wednesday morning.

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