Stellantis reveals 70% profit drop in 2024

Stellantis N.V., the multinational automotive manufacturer, has reported its full-year 2024 financial results, aligning with the updated guidance issued in September 2024. The company faced a challenging year, marked by significant declines with net profit suffering a 70% drop in 2024.

Net revenues for 2024 stood at €156.9 billion, representing a 17% decrease compared to 2023. This downturn was primarily due to a 12% reduction in consolidated shipment volumes, attributed to temporary gaps in product offerings and the completion of inventory reduction initiatives. Net profit experienced a sharp decline of 70%, amounting to €5.5 billion. Adjusted operating income (AOI) also fell by 64% to €8.6 billion, resulting in an AOI margin of 5.5%.

Total inventories as of December 31, 2024, were reduced by 18% (268,000 units) year-over-year, including a 20% decrease in US dealer stock to 304,000 units, surpassing the previously set target of 330,000 units.

Despite these challenges, Stellantis maintained a robust liquidity position, with total industrial available liquidity ending 2024 at €49.5 billion and an industrial net financial position of €15.1 billion.

Looking ahead to 2025, Stellantis anticipates positive net revenue growth, a mid-single-digit AOI margin, and positive industrial free cash flows, acknowledging both the early stages of commercial recovery and prevailing industry uncertainties.

The search for a new permanent Chief Executive Officer is progressing, with an appointment expected within the first half of 2025.

Chairman John Elkann commented on the year’s performance, stating, “While 2024 was a year of stark contrasts for the Company, with results falling short of our potential, we achieved important strategic milestones.”

These milestones include the initiation of a generational product portfolio transition with the launch of vehicles on the STLA Medium and STLA Large platforms, and the global expansion of the Smart Car platform through the European introduction of the Citroën C3/ë-C3. Additionally, Stellantis commenced production of electric vehicle batteries through joint ventures and established the Leapmotor International partnership.

In response to the financial downturn, the interim leadership team has implemented several measures over the past 90 days to improve performance and profitability. These actions encompass completing inventory management initiatives, prioritising critical product launches to meet evolving customer needs—particularly in the US—and optimising flexibilities under CO2 regulations to mitigate risks while continuing to reduce emissions.

The company is also collaborating closely with dealer networks in the US and Europe to accelerate growth, enhancing communication with suppliers to foster collaboration, engaging more actively with governments and regulators on key industry issues, and empowering regional teams to expedite decision-making and execution.

Stellantis’ strategic focus on innovation is evident in its commitment to digital transformation, with Artificial Intelligence (AI) playing a central role. In early 2025, the company partnered with Mistral AI to develop an advanced in-car assistant.

Furthermore, Stellantis unveiled STLA AutoDrive 1.0, its first in-house-developed automated driving system offering Hands-Free and Eyes-Off (SAE Level 3) functionality. This system, alongside STLA Brain and STLA SmartCockpit, aims to advance vehicle intelligence, automation, and user experience.