Stellantis reported a sharp deterioration in earnings for 2025, swinging to a second-half loss after scaling back its electric-vehicle (EV) ambitions and booking substantial charges, mainly linked to North America.
For the full year, net revenues declined 2% to €153.50bn ($181.07bn), as foreign-exchange pressures and pricing declines in the first half outweighed gains in volume and product mix.
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The Jeep and Peugeot parent posted a net loss of €22.33bn, driven by €25.4bn in charges tied to what it described as a strategic reset.
Stellantis said the reset, announced on 6 February, generated around €22.2bn of charges in the second half of 2025 that were excluded from adjusted operating income (AOI).
The measures included revisions to the product roadmap and EV supply chain to reflect changes in demand and regulation, as well as updates to contractual warranty provisions.
They also included charges largely associated with previously announced workforce reductions in Enlarged Europe.
Group AOI for 2025 was a loss of €842m, representing a margin of -0.5%.
Second-half net revenues increased 10% year-on-year to €79.24bn, while the net loss for the period widened to €20.07bn from €127m a year earlier.
The group recorded an adjusted operating loss of €1.38bn for the six months to December, including €941m of losses in North America.
Operating cash flow was negative €4.65bn for 2025, compared with positive €1.53bn in 2024.
In the second half, operating cash flow remained negative at €2.36bn, though this marked a 3% year-on-year improvement.
To safeguard its balance sheet, the board authorised the suspension of the 2026 dividend and approved the issuance of up to €5bn of hybrid bonds.
Stellantis CEO Antonio Filosa said: “Our 2025 full year results reflect the cost of over-estimating the pace of the energy transition and of the need to reset our business around our customers’ freedom to choose from the full range of electric, hybrid and internal combustion technologies.”
Stellantis reiterated its 2026 outlook, forecasting a mid-single-digit percentage rise in net revenues, a low-single-digit AOI margin and stronger industrial free cash flow, with performance expected to improve sequentially from the first half to the second.
The company said its expanding product programme across North America, Enlarged Europe, South America, and the Middle East and Africa would focus on profitable growth.
Planned 2026 launches include the Jeep Cherokee and Dodge Charger SIXPACK in North America, the Ram Dakota in South America, and the Citroën C5 Aircross BEV, Jeep Compass BEV and Fiat 500 Hybrid in Enlarged Europe.
