Stellantis N.V. has released its preliminary and unaudited financial data for the first half of 2025, revealing a challenging period marked by heavy restructuring charges, global shipment declines, and mounting pressure from geopolitical headwinds such as U.S. tariffs. With full financial results set to be disclosed on July 29, these early figures already paint a picture of a company in transition — and under pressure.
The headline numbers speak volumes: net revenues for the first half came in at €74.3 billion, but that was overshadowed by a net loss of €2.3 billion. Adjusted operating income (AOI), a key profitability measure for Stellantis, stood at just €0.5 billion. Industrial free cash flow saw a steep negative swing, landing at -€3.0 billion — a stark reflection of mounting costs and declining volumes.
Transformation in Motion — But Not Yet Paying Off
According to the automaker, the lackluster first half was shaped largely by the “early stage of actions” aimed at improving long-term performance. Executives expect the second half of 2025 to benefit from a more robust product lineup, including new launches from the company’s “Smart Car” B-segment platform.
However, the real blow came from approximately €3.3 billion in pre-tax net charges. These were mostly related to program cancellations, platform impairments, and restructuring, as well as the impact of recently altered U.S. legislation eliminating the CAFE penalty rate. Though these are excluded from AOI calculations, they cast a long shadow over the company’s bottom line.
Further weighing on performance were higher industrial costs, unfavorable mix effects, volatile foreign exchange rates, and the early effects of new U.S. tariffs, which have already cost the company €0.3 billion in net tariffs and disrupted planned production.
Shipment Volumes Slump — Except in Emerging Markets
Globally, consolidated shipments for Q2 2025 stood at 1.4 million units, down 6% year-over-year. North America bore the brunt of this decline, with shipments dropping by 109,000 units, a steep 25% plunge compared to Q2 2024. This decline was largely driven by reduced imports hit by tariffs, as well as weaker fleet sales.
Interestingly, despite the production and shipment woes, U.S. retail sales held steady, and Stellantis’ two biggest North American brands, Jeep® and Ram, posted a combined 13% increase in year-over-year sales, signaling brand resilience amidst turbulence.
In Enlarged Europe, shipments dipped 6% year-over-year as the region contended with a transitional product phase. New B-segment “Smart Car” models — such as the Citroën C3, C3 Aircross, Opel/Vauxhall Frontera, and Fiat Grande Panda — are still ramping up production. Shipments of these models rose by 25,000 units over Q1, marking a 45% sequential increase.
Meanwhile, emerging markets provided a rare bright spot. Shipments in regions outside of North America and Europe rose by 71,000 units, a 22% year-over-year gain. Middle East & Africa surged by 30%, driven by demand in Türkiye and recovering markets like Egypt, Algeria, and Morocco. South America also posted robust growth, with a 43,000-unit increase led by strong sales in Argentina and Brazil, where Stellantis continues to hold a leadership position.
Looking Ahead: Turning the Corner?
With the company having suspended its financial guidance earlier this year, analysts have turned to consensus forecasts to assess performance expectations. This preliminary disclosure appears to be an effort to reset those expectations and provide transparency ahead of the July 29 earnings call, which will be hosted by new CEO Antonio Filosa and CFO Doug Ostermann.
Despite the grim numbers, Stellantis is signaling confidence that the worst may be behind it, banking on its upcoming products and strategic cost actions to deliver results in the back half of 2025. But for now, the road remains bumpy — and all eyes will be on the automaker’s ability to execute its comeback in a rapidly shifting global landscape.
Source: Stellantis