Stellantis misplaced as much as €21 billion (A$35 billion) within the second half of 2025, largely as a result of €22.2 billion (A$37.4 billion) in prices associated to the corporate’s lower than profitable electrical car (EV) push within the US.
The write down encompasses funds to laid off staff, the pairing again of battery manufacturing, and decreased quantity expectations for the corporate’s remaining EVs.
There’s additionally €5.4 billion put aside for a “contractual guarantee provision” that takes “under consideration latest will increase in price inflation and a deterioration in high quality” which is “now being reversed by the brand new administration group”.
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With the corporate sliding into the crimson, Stellantis has suspended dividend payouts for 2026. The inventory markets haven’t reacted properly to the loss, with the corporate’s shares falling 24 per cent from US$9.54, previous to the announcement, to US$7.28, on the time of writing.
CEO Antonio Filosa spruiked the write off as a vital a part of a “reset”, which is able to see the automaker “as soon as once more make our prospects and their preferences our guiding star”.
He blamed the huge loss on “over-estimating the tempo of the power transition that distanced us from many automobile patrons’ real-world wants, means and wishes”, in addition to “earlier poor operational execution”.
In 2021 then-CEO Carlos Tavares introduced an bold €30 billion EV program for each the European and American arms of the newly shaped French-Italian-American automaker.
For the US, the corporate deliberate to launch new electrical muscle automobile, an electrical Ram 1500 pickup truck, and an electrical mid-size ute inside a couple of brief years. As a part of that plan, the Euro-centric Opel/Vauxhall manufacturers would abandon inner combustion engines by 2028.
After Mr Tavares stop in 2024, and Antonio Filosa took over in the midst of 2025, Stellantis modified course. It reintroduced in V8 engines to the Ram 1500, after which killed off the pickup’s long-delayed EV variant.
The corporate additionally axed its Jeep and Chrysler plug-in hybrids as a result of falling demand, but in addition, doubtlessly, an unresolved hearth recall. With plug-in hybrids now gone from the North American vary, the corporate is concentrating on prolonged vary EVs, together with one for the Ram 1500 ute.
In Europe the corporate affords electrical drivetrains on many fashionable fashions, however in North America decisions are restricted to the Dodge Charger and Jeep Wagoneer S, in addition to the upcoming Jeep Recon.
In response to Good Automobile Unhealthy Automobile, solely 6701 editions of the Wagoneer S had been bought within the US final yr. The corporate managed to shift simply 4645 electrical Dodge Chargers by means of the whole thing of 2025, whereas the six-cylinder model, which solely turned out there late within the yr, notched up 4916 gross sales.
For context, Ford bought 45,333 copies of the four- and eight-cylinder Mustang within the States in 2025.
