Stellantis’ revenue fell 27% in the third quarter of 2024 as the automaker’s sales fell in most of its main markets.
Net income fell to 33 billion euros, short of analysts’ forecasts of 35.9 billion euros. Sales fell in regions such as Europe and North America, where the company is working to shrink bloated inventories, with the company attributing the drop in revenue mainly to lower sales and an unfavorable mix, as well as pricing impacts. and in the foreign exchange.
Stellantis faces product recalls and shrinking market share in the US after raising prices more than rivals. Chief executive Calros Tavares has struck a defiant tone after last month’s devastating profit warning, promising fixes and replacing executives, including his chief financial officer.
Earlier this month, Stellantis reported lower sales in the third quarter, sales that fell 36% in its core North American market. Overall sales were down 20% worldwide, 279,000 fewer cars than last year.
The manufacturer cited strong demand for new models such as the Citroen C3 and Peugeot 3008, adding that it will offer 40 all-electric models in Europe this year. It also announced that it is set to deliver about 20 new models this year, adding that the reduction of bloated inventories, especially in the US, is progressing well.
Its total inventories fell by 129,000 vehicles between January and September to 1.3 million. The automaker noted that its US dealer inventory fell by 80,000 vehicles from June 30 to now. Stellantis predicts it will meet its goal of reducing U.S. inventories by 100,000 vehicles by the end of November.
Doug Ostermann, chief financial officer of Stellantis, admitted that the quarterly performance was “below our capabilities”, adding that US inventories have been “significantly reduced” and that the company will hit the target.
In Europe, strict quality requirements have delayed the launch of some high-volume products, but as difficulties are resolved, we will soon benefit from the significantly expanded reach brought by our wave of new generations to 2025 and beyond,
he said himself.
Source: www.autoblog.gr
