- Stellantis’ net income for the first half of 2024 was EU5.65 billion, down 48% from last year, missing the estimated EU6.97 billion.
- Adjusted operating income fell 40% to EU8.46 billion, below the EU8.94 billion estimate.
- The adjusted operating margin dropped to 10%, compared to 14.4% last year, with an estimate of 10.3%.
- Industrial free cash flow showed a negative EU392 million, a significant drop from a positive EU8.66 billion last year, with an estimate of EU1.78 billion positive.
- Net revenue was EU85.02 billion, down 14% year-on-year, under the estimated EU87 billion.
- North America net revenue reached EU38.35 billion, a 16% decrease, close to the EU38.59 billion estimate.
- Enlarged Europe net revenue was EU29.97 billion, down 14%, missing the EU31.46 billion estimate.
- South America net revenue slightly decreased by 2.6% to EU7.37 billion, near the EU7.41 billion estimate.
- Middle East & Africa net revenue grew by 6.5% to EU5.01 billion, close to the EU5.2 billion estimate.
- China, India & Asia Pacific net revenue was EU1.07 billion, a sharp 46% drop, below the EU1.24 billion estimate.
- Maserati’s net revenue halved to EU631 million, missing the EU844.6 million estimate.
- Vehicle sales in North America were 838,000, a decrease of 18%, but above the 833,631 estimate.
- Enlarged Europe vehicle sales were 1.39 million, a 6.2% drop, aligning closely with the 1.38 million estimate.
- South America vehicle sales fell by 6.2% to 394,000, close to the 400,918 estimate.
- Middle East & Africa vehicle sales increased by 2.9% to 214,000, below the 231,963 estimate.
- China, India & Asia Pacific vehicle sales dropped drastically by 45% to 32,000, missing the 39,790 estimate.
- Maserati vehicle sales were 6,500, a 58% drop, under the estimate of 9,808 units.
- Stellantis reiterated its full-year financial guidance of a double-digit adjusted operating margin and positive industrial free cash flow.
- The company attributed lower volume and mix, foreign exchange headwinds, and restructuring costs to the decrease in net profit.
- Stellantis remains committed to returning at least EU7.7 billion to shareholders before the end of 2024.
- CEO Tavares acknowledged the company’s performance fell short of expectations due to industry challenges and operational issues.
- Tavares emphasized the need for significant efforts, especially in North America, to maximize long-term potential.
Stellantis NV on Smartkarma
Analyst coverage on Stellantis NV on Smartkarma reveals positive sentiments towards the company’s recent developments. Ming Lu‘s report highlights Stellantis’ joint venture with Leapmotor to sell electric cars in Europe, showcasing a move towards sustainability. Additionally, the report mentions cost-cutting measures at GAC and Li Auto, contrasting with Tencent Music’s impressive 43% YoY revenue growth in 1Q24.
Further insight from Baptista Research emphasizes Stellantis’ strong performance in Full Year 2023 Results, indicating the company’s resilience amidst challenges. CEO Carlos Tavares’ focus on profitable growth aligns with the company’s ambitious electrification strategy. This positive outlook from analysts bodes well for Stellantis NV‘s future prospects in the automotive industry.
A look at Stellantis NV Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 5 | |
| Dividend | 5 | |
| Growth | 4 | |
| Resilience | 5 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 4.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Stellantis NV, a company engaged in manufacturing automobiles and commercial vehicles, as well as producing metallurgical products and production systems for the automobile industry, is positioned well for long-term success. According to Smartkarma Smart Scores, Stellantis receives high ratings in key areas such as value, dividend, and resilience, indicating a solid foundation for growth and stability. With top scores in value and dividend, investors can expect strong returns and consistent payouts over time, bolstered by the company’s ability to weather market challenges with resilience.
Although Stellantis shows slightly lower momentum according to the scores, the overall outlook remains positive due to its robust performance across other important factors. With a strong focus on value and dividends, coupled with solid resilience, Stellantis NV is poised to deliver long-term value for investors seeking stability and growth in the automotive industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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