Stellantis Reports €22.3 Billion Net Loss for 2025, Unveils €60 Billion Investment Plan
Stellantis N.V. reported a net loss of €22.3 billion for the full year 2025, primarily driven by approximately €25.4 billion in charges related to a strategic business reset. Concurrently, the company announced a €60 billion investment plan through 2028, a new U.S. turnaround strategy under CEO Antonio Filosa, and adjustments to its electric vehicle (EV) roadmap.
The company also outlined an expanded partnership with Chinese automaker Leapmotor, though its CEO stated there is no current plan to bring that partnership to the United States.
Financial Performance and Strategic Reset
Stellantis reported net revenues of €153.5 billion for 2025, a 2% decrease from 2024, influenced by foreign exchange headwinds and net pricing declines in the first half of the year, partially offset by increased volume and product mix.
The company recorded a net loss of €22.3 billion for the year. This loss is largely attributable to €25.4 billion in charges, of which approximately €22.2 billion were incurred in the second half of 2025 as part of a "business reset" announced on February 6, 2026. The charges are related to:
- Adjusting product plans and the EV supply chain in response to customer demand and regulatory changes.
- Modifications to the estimation process for contractual warranty provisions.
- Additional charges, predominantly from previous workforce reductions in Europe.
About €6.5 billion of these charges are anticipated to be cash payments over the next four years.
CEO Antonio Filosa stated that the charges reflect an overestimation of the energy transition's pace, which had distanced the company from consumer needs, and addressed past operational execution issues. This writedown follows similar multi-billion-dollar charges by competitors Ford and General Motors related to their own EV strategy adjustments.
In response to the financial results, Stellantis suspended its dividend for 2026 and announced plans to raise up to €5 billion by issuing hybrid bonds to strengthen its balance sheet. Following the announcement, Stellantis shares declined 22.9% in Milan and 20.8% in premarket trading in New York.
U.S. Market Turnaround Strategy
CEO Antonio Filosa, who assumed the role in summer 2025 following the departure of Carlos Tavares in December 2024, has identified 2026 as a critical execution year. The strategy focuses on the Jeep, Ram, and Dodge brands, prioritizing Jeep and Ram to recover U.S. market share after several years of decline. Under former CEO Tavares, Stellantis' global sales decreased by 12.3% (from 6.5 million to 5.7 million vehicles) from 2021 to 2024, while U.S. sales declined by approximately 27% to 1.3 million vehicles. The company's U.S. market share decreased from 11.6% to 8% during that period, shifting its sales ranking from fourth to sixth.
Key actions of the reset strategy include:
- A $13 billion investment over four years in U.S. operations, projected to create 5,000 jobs.
- The launch of 10 new products.
- The cancellation of products unable to achieve profit at scale.
- Restructuring global manufacturing and quality management capabilities.
The company reported that these actions contributed to a return to positive volume growth in 2025. In the second half of 2025, Stellantis' U.S. market share increased to 7.9%.
Future Product Plans and Investment
Stellantis announced a €60 billion (US$69.7 billion) five-year strategic plan. The plan targets annual cost savings of €6 billion by 2028.
The investment allocation includes:
- €36 billion for the company's automotive brands to launch over 60 new vehicles and major refreshes of 50 other models, including electric, hybrid, and internal combustion engine vehicles.
- €24 billion for global vehicle platforms and new technologies.
The company plans to launch a new "STLA One" vehicle platform in 2027, designed to consolidate five platforms into one scalable architecture, aiming for 20% cost efficiency.
Specific upcoming product launches for 2026 include the Jeep Cherokee and Dodge Charger SIXPACK in North America, re-entering the mid-SUV and ICE muscle-car segments. The Ram 1500 HEMI V8 and Express models are expected in late 2025. In South America, the Ram Dakota mid-size pickup is a key offering, while Europe will see the Citroën C5 Aircross BEV, Jeep Compass BEV, and Fiat 500 Hybrid.
Brand Portfolio and EV Strategy
CEO Filosa stated the company does not plan to eliminate any of its 14 automotive brands. However, he did not exclude the possibility of regionally refocusing or adjusting the brand portfolio, noting that Italian brands like Fiat and Alfa Romeo have underperformed domestically. The company plans to fold the DS and Lancia European units into Citroen and Fiat, respectively. Filosa affirmed the company's intent to "stay together."
The company affirmed its commitment to EV development but emphasized that its electrification journey will proceed at a pace dictated by market demand rather than prior mandates.
Leapmotor Partnership
Stellantis sees opportunity to expand its partnership with Chinese automaker Zhejiang Leapmotor Technology Co. to Mexico and potentially Canada, but not the United States, according to CEO Antonio Filosa. Stellantis has a joint venture with Leapmotor since 2023, holding a 51% majority stake with exclusive rights for sale and manufacturing outside greater China. Stellantis is also the largest shareholder of Leapmotor with a 21% stake.
Filosa stated: "I believe that there is space in Mexico. … There is maybe space in Canada. We'll see. Now there is no space in the United States. We don't see that."
Canada currently allows 49,000 Chinese-made EVs to be imported annually at a 6.1% tariff. A notable potential production site is Stellantis' assembly plant in Brampton, Ontario, which has been idle since December 2023.
Filosa also mentioned opportunities for non-China partnerships in the U.S., citing a recently announced exploration with Jaguar Land Rover.
2026 Guidance
Stellantis forecasts:
- A mid-single-digit percentage increase in Net revenues.
- A low-single-digit Adjusted Operating Income (AOI) margin.
- Enhanced Industrial free cash flow generation.
The company projects sequential improvement from the first half to the second half of 2026.
Upcoming Schedule
- Full Year 2025 Results Management Call: February 26, 2026.
- Annual General Meeting: April 14, 2026.
- Stellantis Investor Day: May 21, 2026.
- The company will transition to quarterly financial reporting starting with Q1 2026 results on April 30, 2026.