Alexandre
As Carlos Tavares predicted at the time of the first-quarter results 2024Stellantis' first-half figures are clearly down on previous years. Sales, revenues, margins and free cash flow all show a marked decline.
A mixed financial picture
Stellantis' financial results for the first half of 2024 show a significant decrease in several key indicators:
- Total sales From 6.2 million units in 2023 to just 2.9 million in the first half of 2024.
- Sales figures : Down from 189.5 billion euros in 2023 to 85 billion euros for the first half of 2024.
- Benefits : Reduced from 18.6 billion euros in 2023 to 5.64 billion euros for the first half of 2024.
- Margin From 12.8 % in 2023 to 10 % in the first half of 2024.
- Free Cash Flow : Free-falling from 12.9 billion euros in 2023 to a deficit of 392 million euros.
A difficult market environment
All the markets in which Stellantis operates are in decline. Two markets in particular give cause for concern:
- The European market In addition to lower sales, a reduced margin of 6.9 % in the first half of 2024.
- The U.S. market Sales declined from 1 million units in the first half of 2023 to 838,000 units in 2024, resulting in a drop in sales from €40 billion to €38 billion.
A product offensive to turn things around
Stellantis is counting on the second quarter to reverse the trend. A series of new products has already been launched, with models such as the Peugeot 3008, Lancia Ypsilon, Peugeot 2008, Citroën Basalt, Peugeot 5008, Dodge Charger, Citroën C3, Alfa Romeo Junior, Opel Grandland, Opel Frontera, and Fiat Grande Panda to name but a few.
Despite these declining figures, Carlos Tavares remains optimistic and reassuring. He stresses that the double-digit margin (10 %) will be maintained, and recalls that a few years ago, the industry average was 3 %, with the best achieving only 6 % margin.
Dividends up
Stellantis plans to distribute $7.7 billion in dividends for 2024exceeding that of previous years. Carlos Tavares reaffirmed that this target would be met, despite the current challenges.
The company's results for the first half of 2024 fell short of our expectations, reflecting both a difficult industrial context and our operational difficulties. Corrective measures were necessary and have been taken to address these issues. At the same time, we have launched a major product offensive, with no fewer than 20 new vehicles planned for this year, offering us even more opportunities if we get it right. We have a lot of work to do, particularly in North America, to realize our full long-term potential.
Carlos Tavares, CEO Stellantis
While results for the first half of 2024 are down, it's important to put things into perspective. Stellantis remains profitable, and is doing its utmost to preserve its margins, even in the face of falling sales and revenues. The second quarter will be decisive in turning things around and achieving the ambitious targets set for the year.
It's clear that the puretoc warranty and airbags on the c3 and ds3 didn't help profits, but carlito's priority is to give to shareholders.....not to satisfy customers.
Exactly.
Short-term policy.
Paying out a record 7.7 billion euros in dividends at a time of economic slowdown is an insane choice.
When Fca sold Magneti Marelli, they gave 3/4 to the shareholders.
"A series of new products has already been launched, with models such as the Peugeot 3008, Lancia Ypsilon, Peugeot 2008, Citroën Basalt, Peugeot 5008, Dodge Charger, Citroën C3, Alfa Romeo Junior, Opel Grandland, Opel Frontera, and Fiat Grande Panda to name but a few."
This list speaks for itself: with the exception of the Charger, all these models are more or less low-end, more precisely low quality but with pricing power.
All this is a far cry from the skills and ambition needed for a brand like Maserati.
I think that the Peugeot 3008 and 5008, like the Alfa Junior - with the exception of the Fiat 600 - are not low-end models, even when compared with German production. On the other hand, VW has recently abandoned its 3-cylinder 1.0L engines in favor of a good old-fashioned 1.5L on its latest Golf. If you're looking for reliability (a great idea with the start of a new scandal in the USA, according to Auto-infos.fr), there's a FCA engine available in 1.3L.
......es ist zu befürchten, daß der offizielle Optimismus nur verdecken soll, was seitens Stellantis wirklich langfristig für die Italo - Marken (außer - wahrscheinlich Fiat als " Dritte Welt Marke - ) geplant ist: nämlich deren mittelfristige Einstellung. Ob es wenigstens Alfa _ bei seinem aktuellen bescheidenen " Zwischenhoch - schaffen wird, dem zu entgehen ist nicht klar.