Categories: Invest

Stellantis CEO: ‘we’re well-positioned to deliver strong performance’

Stellantis NV (NYSE: STLA) is up 6.0% in the stock market on Wednesday after the company reported solid results for its fiscal 2021 that handily beat Wall Street expectations.

Stellantis’ net profit nearly tripled

Stellantis said its full-year net profit printed at €13.4 billion ($15 billion). The world’s fourth-largest car manufacturer generated €152 billion in revenue. This compared to €11.4 billion of profit and €148.4 billion in revenue that experts had forecast.


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It was the first annual report for Stellantis since its inception in early 2021 out of a merger between France’s PSA Groupe and Italian-American Fiat Chrysler. The results represent a YoY increase of 14% in revenue and close to 200% in net profit.

The stated numbers are on a pro forma basis, adjusted for the timing of the FCA-PSA combination. The earnings press release reads:

Stellantis posted record results, accelerating realisation of merger synergies and unveiled ambitious electrification and software plans in the year, with over €30 billion investments through 2025, and strong partnerships announced in battery technology, battery materials, and software development.

Impact of semiconductor shortage

Stellantis cited favourable vehicle mix and strong pricing for the upbeat results, despite a 20% hit to its planned production due to semiconductor shortage.

Its adjusted operating margin stood at 11.8%, ahead of its own target of 10%, and well above last year’s 6.9%. All of its businesses were profitable in fiscal 2021. CEO Carlos Tavares said:

Today’s record results prove that Stellantis is well-positioned to deliver strong performance, even in the most uncertain market environments. We are focused on executing our plans as we race to become a sustainable mobility tech company.

For fiscal 2022, Stellantis expects positive industrial FCF and double digits operating profit margin (adjusted). The stock is still down more than 10% from its high in mid-January.

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