Stellantis: consensus missed in H1

(CercleFinance.com) - Stellantis has reported lower-than-expected H1 results on Thursday, as the automotive group suffered from a decline in sales, an unfavourable change in product mix and a difficult comparison basis.


H1 net sales fell by 14% to E85bn, giving operating income before non-recurring items of E8.5bn, i.e. a margin of 10%.

In comparison, the consensus was looking for sales of E86.5bn, operating profit of E8.8bn and a profit margin of 10.2%.

The company's H1 2024 results fell short of our expectations, reflecting both a difficult industrial context and our operational difficulties, management acknowledged.

Stellantis stated that it had taken "decisive" measures, particularly regarding its performance in North America, in order to revitalize its market share and reduce inventory levels.

Its industrial free cash flow was negative at -E400m in H1, although the group asserts that the reduction in capital expenditure should enable it to generate positive annual industrial free cash flow this year.

Stellantis has also maintained its target of achieving a "minimum double-digit" operating margin on ordinary activities by 2024, despite the current macroeconomic uncertainties.

Following this worse-than-expected publication, Stellantis shares lost more than 8% in early trading on the Paris Bourse on Thursday.


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