Stellantis – the dad or mum firm of Jeep, Ram, Peugeot and Fiat, amongst others – reported a major revenue lower in 2024, but it surely’s forecasting a restoration this yr.
Earlier this week, Stellantis introduced its web revenue had dropped from €18.6 billion (A$31.1 billion) in 2023 to €5.5 billion (A$9.2 billion) in 2024, a decline of 70 per cent.
It’s the most recent in what’s been a tough 12 months for the Netherlands-based conglomerate, whose CEO Carlos Tavares resigned with quick impact in December 2024, having initially introduced his plans to retire in 2026.
Regardless of this, Stellantis – at the moment and not using a everlasting CEO – says it’s been making a variety of key actions to show its fortunes round.
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“Within the 90 days because the management transition started, and whereas the method to pick the following CEO throughout the first half of 2025 continues, the interim management group has taken fast, decisive actions to enhance the corporate’s efficiency and profitability,” it mentioned in a media assertion.
It says it expects a “return to worthwhile progress and constructive money technology in 2025”.
In line with Stellantis, it plans to launch 10 new fashions throughout its secure of over a dozen manufacturers in 2025, nearly all of which might be on new STLA household platforms. It says it’s prioritising launches of crucial fashions in key segments.
Different measures to strengthen the corporate embody rebuilding relationships with US and European sellers, bettering communication with suppliers, and “making higher use of obtainable flexibilities underneath CO2 rules”.
The US has historically been a key marketplace for Jeep, Ram, Dodge and Chrysler even earlier than the manufacturers have been pulled underneath the Stellantis umbrella at first of 2021, nevertheless friction between the conglomerate and native sellers has been exacerbated by slowing gross sales.
Final yr, Stellantis Nationwide Vendor Council chairman Kevin Farrish – who runs a Jeep, Ram, Dodge and Chrysler dealership in Virginia – despatched an open letter to Mr Tavares, accusing the corporate of ignoring warnings which has led to “catastrophe” for all concerned.
“For over two years now, the US Stellantis Nationwide Vendor Council has been sounding this alarm to your US govt group, warning them that the course you had set for Stellantis within the US was going to be a catastrophe in the long term,” mentioned Mr Farrish within the letter.
“A catastrophe not only for us, however for everybody concerned – and now, that catastrophe has arrived.
“In 2023, you engineered a file yr of profitability for Stellantis, incomes you the title of the highest-compensated automotive CEO. You personally earned a file quantity of just about US$40 million (A$59.6 million) that yr.
“Sadly, the engineering and structuring of that yr have led us to precisely the place we advised your executives we’d be as we speak. The reckless short-term decision-making to safe file earnings in 2023 has had devastating, but solely predictable, penalties within the US market.
“These penalties embody the fast degradation of our iconic American manufacturers – manufacturers like Jeep, Dodge, Ram, and Chrysler which have over a century of historical past in America.
“The market share of your manufacturers has been slashed practically in half, Stellantis inventory value is tumbling, crops are closing, layoffs are rampant, and key executives fleeing the corporate. Investor lawsuits, provider lawsuits, strikes – the fallout is mounting. Your individual distribution community, your supplier physique, has been left in an anaemic and diminished state.”
Whereas Stellantis’ US division pushed again on the supplier council chief’s letter, calling it a “private assault”, Mr Tavares resigned solely a handful of months later.
An motion plan for the US, which included elevated incentives on 2024 and older mannequin yr autos there to assist clear the glut of inventory, has helped, with Stellantis reporting its US inventories on the finish of 2024 have been 20 per cent decrease year-on-year than 2023.
In Australia, Stellantis is simply straight accountable for distributing Jeep, Fiat, Abarth and Alfa Romeo. It additionally distributes Leapmotor, a Chinese language model with which Stellantis has established a three way partnership.
Ateco handles the distribution of Maserati and Ram, whereas Inchcape distributes Peugeot. It additionally beforehand dealt with Citroen, which departed Australia final yr.
2024 was a tough yr for Stellantis manufacturers in Australia, with all of them posting double-digit declines. Right here’s how they fared:
- Ram: 3852 autos, down 43.6 per cent
- Jeep: 2377 autos, down 48.7 per cent
- Peugeot: 1896 autos, down 24.6 per cent
- Alfa Romeo: 561 autos, down 21.6 per cent
- Fiat (together with Abarth): 527 autos, down 30.2 per cent
- Maserati: 377 autos, down 40.9 per cent
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