Stellantis 2025 Results Mark First Annual Loss
Stellantis 2025 results show its first annual loss after EV writedowns, suspending the dividend and authorizing hybrid bonds to shore liquidity.
KEY TAKEAWAYS
- Stellantis reported its first annual net loss driven by €25.4 billion in unusual charges.
- Board suspended the dividend and authorized hybrid bonds to preserve the balance sheet.
- Guidance targets mid-single-digit net revenue growth and a low-single-digit AOI margin.
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Stellantis (STLA) reported its first annual loss in 2025 after electric-vehicle (EV) writedowns and a strategic reset, aiming to restore profitability through a new product wave and operational improvements in 2026.
Full-Year Results and Charges
The company said in a press release on Feb. 26, 2026, that full-year net revenues fell 2% from 2024 to €153.5 billion, pressured by foreign-exchange headwinds and pricing declines in the first half. Revenues rose 10% in the second half.
Stellantis posted a net loss of €22.3 billion, mainly due to €25.4 billion in unusual charges. On Feb. 6, the company flagged about €22.2 billion of second-half charges excluded from adjusted operating income. These covered an EV supply-chain reset, product-plan adjustments, warranty-estimation changes, and workforce reductions in Enlarged Europe, including roughly €6.5 billion in cash payments over four years.
Adjusted operating income showed a loss of €842 million, with a margin of about -0.5%. Industrial free cash flow was negative €4.5 billion for the year. The second half improved by 50% from the first half to negative €1.5 billion and was 73% better than the second half of 2024.
Consolidated shipments rose 1% to 5.484 million units for the year, with second-half shipments up 11% year-over-year.
Strategic Reset and Product Pipeline
Stellantis announced a strategic reset to prioritize customer freedom of choice across electric, hybrid, and internal-combustion technologies. The company is scaling back some EV investments while accelerating a new product wave. This includes the Jeep Cherokee, Dodge Charger SIXPACK in North America, Ram Dakota in South America, Citroën C5 Aircross BEV, Jeep Compass BEV, and Fiat 500 Hybrid for Enlarged Europe.
2026 Guidance, Liquidity, and Governance
For 2026, Stellantis set guidance for mid-single-digit net-revenue growth, a low-single-digit adjusted operating income margin, and year-over-year improvement in industrial free cash flow. The outlook includes about €2 billion in payments related to the second-half 2025 charges and assumes progressive improvement from the first to the second half of the year. Management described the guidance as unaudited and contingent on strong execution of the new product wave, quality improvements, and regional normalization, including North American inventory adjustments and targeted mid-SUV and internal-combustion engine re-entries.
To preserve its balance sheet, the board authorized suspending the 2026 dividend and issuing up to €5 billion in hybrid bonds. The company ended 2025 with €46 billion in industrial available liquidity and expects positive industrial free cash flow in 2027. Upcoming investor events include the Annual General Meeting on April 14, 2026, and Investor Day on May 21, 2026.
"Our 2025 full year results reflect the cost of over-estimating the pace of the energy transition," said CEO Antonio Filosa.
