Dodge maker Stellantis posts 27% drop in revenues, flags progress in slashing U.S. inventories

Stellantis worker at work inside of the new Hybrid and PHEV Vehicles Stellantis Group eDCT Assembly Plant on April 10, 2024 in Turin, Italy.

Stefano Guidi | Getty Images News | Getty Images

Auto giant Stellantis on Thursday reported a 27% decline in third-quarter net revenues, but said it was making headway in addressing operational issues such as U.S. inventories.

The Netherlands-based company, which owns household names including Jeep, Dodge, Fiat, Chrysler and Peugeot, said that net revenues for the July-September period came in at 33 billion euros ($35.8 billion). Analysts had expected third-quarter net revenues to come in at 36.6 billion euros, according to an LSEG-compiled consensus.

The transAtlantic automaker issued a profit warning in late September, trimming its annual guidance on the back of deteriorating “global industry dynamics” and a push to expand remediation actions on North American performance issues.

Milan-listed shares of Stellantis have tumbled more than 42% year-to-date.

Like many in the auto industry, Stellantis has been contending with a perfect storm of challenges on the road to full electrification, including faltering global demand for electric vehicles (EVs) and competition from China.

The pressure on European automakers is poised to ratchet up even further next year, when emissions-reduction targets come into force. Against this backdrop, car manufacturers have recently launched an array of low-cost EV models, acutely aware of the need to boost sales.

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