Stellantis posts heavy loss after misjudging electric shift

Stellantis reported a net loss of €20.1 billion in the second half of 2025, driven by substantial write-downs following a reassessment of its strategy in the electric vehicle segment. The Netherlands-based carmaker acknowledged that the pace of the transition to electric drive had likely been overestimated and that the results reflect the impact of that correction.

Full-year write-downs totalled €25.4 billion, part of which will continue to weigh on the company’s finances for several years.

Operating figures were not entirely negative – sales in the second half of the year rose by 10 per cent and vehicle deliveries by 11 per cent.

Analysts speak of a possible turning point, but also note that competitors in Europe and the United States are in a stronger position. Shares in the group, formed through the merger of Fiat Chrysler and PSA, have fallen by 30 per cent since the beginning of the year.

Stellantis will not pay a dividend this year and expects free cash flow to improve no earlier than 2027, while also anticipating higher costs as a result of US tariffs.

(reuters, pir)