Stellantis, the automotive manufacturer, has revealed a staggering net loss of 22.3 billion euros for the year 2025, marking the second largest loss ever recorded by a French company. This financial setback is primarily attributed to an exceptional charge of 25.4 billion euros, which reflects the company's need to rethink its strategy regarding electric vehicles. The indication of a significant slowdown in electric vehicle sales has prompted Stellantis to revise its financial outlook to account for these unexpected losses.

The announcement follows an earlier revelation made on February 6, where Stellantis hinted at the potential for massive exceptional charges close to 22 billion euros. Given that the market demand for electric vehicles has not met expectations, Stellantis is now facing urgent challenges regarding its profitability and growth in the rapidly changing automotive landscape. This situation amplifies concerns regarding the sustainability of their electric vehicle segment moving forward.

In addition to the reported loss, Stellantis also noted a 2% decline in annual revenue, amounting to 153.5 billion euros. This decline only adds to the scrutiny that Stellantis will face from shareholders and analysts as they navigate the complexities of transforming their business model towards electric vehicle production that aligns with market demands. The consequences of these financial metrics will likely have long-term implications for Stellantis' position within the competitive automotive industry, particularly as it seeks to invest in technology and infrastructure for electric vehicles.