Stellantis reveals drop in financial statements for H1 of 2024 amid transition, market challenges

(MENAFN) Stellantis has released its financial results for the first half of 2024, revealing a decline in key metrics. The company reported €85 billion (USD93.10 billion) in net revenue, marking a 14 percent decrease year-on-year. Net profit also fell by 48 percent to €5.6 billion (USD6.13 billion), while adjusted operating profit stood at €8.5 billion (USD9.31 billion), reflecting a 10 percent operating profit margin. Additionally, adjusted earnings per share dropped by 35 percent compared to the previous year.

The decline in financial performance is attributed to reduced sales volumes, changes in product mix, and business volume adjustments due to inventory reduction initiatives. Moreover, temporary production gaps during the transition from older to newer vehicle models contributed to a decrease in the company’s market share, particularly in North America.

Despite these challenges, Stellantis remains optimistic about its future performance. The company is focusing on the successful launch of new vehicle models and expects the impact of delivery delays to peak. Management is implementing strategies to bolster performance in North America, expanded Europe, and Maserati, aiming to enhance results in the latter half of 2024 and into 2025. On the commercial front, Stellantis continues to lead in the commercial vehicle sector, achieving the top spot in market share in the Middle East and Africa for the first time while maintaining leadership in Europe and South America.

In the U.S., Stellantis ranks first in hybrid vehicle sales and second in light electric vehicle sales. The company is also making strides with Leap Motor, its global joint venture, which is set to introduce advanced electric vehicles, including the C10 SUV and T03, to markets in expanded Europe, South America, the Middle East, Africa, India, and Asia Pacific by the end of 2024. 

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