Recent Outcomes from the Initial Half of 2025
Stellantis, a leading global automaker with a portfolio of iconic brands, has announced its financial guidance for the second half of 2025. The company expects an increase in net revenues, low-single digit AOI profitability, and improved Industrial Free Cash Flow (FCF) results.
The financial outlook comes as Stellantis grapples with a challenging first half of the year. The company reported net revenues of €74.3 billion, a 13% year-over-year decline, and a net loss of €2.3 billion compared to a €5.6 billion profit in H1 2024. The decline was mainly due to significant drops in the North America and Enlarged Europe regions, impacted by tariffs, weak markets, and production gaps, while South America showed growth.
External headwinds included approximately €1.5 billion net tariff impacts expected in 2025, with €0.3 billion incurred in H1 alone. The loss was also driven by model gaps as key vehicles like the Dodge Charger and Jeep Cherokee transitioned to newer versions, which suppressed shipments and revenues especially in North America, where shipments dropped 23% and net revenues fell 26%.
New CEO Antonio Filosa expressed cautious optimism, emphasizing that 2025 will be tough but should show gradual improvement. The new leadership team is focused on "fixing what's wrong" by leveraging internal strengths and new products. Recovery efforts include revitalized marketing, strong inventory management, and an expanded product lineup, contributing to sequential improvements in shipments, revenues, AOI, and Industrial FCF compared to H2 2024.
On the product front, Stellantis plans around 10 new model launches in 2025 as part of its strategy to re-establish profitable growth and strengthen its lineup amid transition. Inventory levels remained stable despite these new launches and a 5% sequential rise in consolidated shipments, reflecting disciplined supply chain and inventory control.
Financially, Stellantis maintained a solid liquidity position with €47.2 billion available as of June 30, 2025, above targeted levels, supporting ongoing investments in CapEx and R&D despite negative Industrial FCF of €3.0 billion in H1 due to these expenditures.
In response to the challenging first half, Stellantis has scheduled the return to production for the hybrid Jeep Cherokee, ICE Dodge Charger SIXPACK, and four-door Charger Daytona for the second half of 2025.
A live webcast and conference call to present Stellantis' First Half 2025 Results will be held on July 29, 2025, at 2:00 p.m. CEST/8:00 a.m. EDT. The presentation will be posted at approximately 8:00 a.m. CEST/2:00 a.m. EDT, and the webcast and recorded replay will be accessible under the Investors section of the Stellantis corporate website.
Despite the challenges faced in H1 2025, Stellantis' recovery strategy aims to return to profitable growth in H2 2025 and beyond.
In light of the financial decline experienced during the first half of 2025, Stellantis anticipates an improvement in its financial performance for the second half, targeting low-single digit AOI profitability and enhanced Industrial Free Cash Flow results, demonstrating the resilience of the company in the automobile business and finance industry. As part of the recovery strategy, Stellantis plans to release ten new models in 2025, aiming to strengthen its market position and re-establish profitable growth.
