Giant car manufacturer: billion-euro losses, blames electric cars
Stellantis, one of the largest car manufacturers, reported massive losses for the latter half of 2025 and blamed overly optimistic electric vehicle sales forecasts.
Stellantis, recognized for having one of the most extensive brand portfolios in the automotive industry, has announced significant financial losses for the latter half of 2025. The company reported a net loss of 20.1 billion euros and an operational loss of 1.4 billion euros, marking 2025 as its first year of losses since its formation in 2021. This downturn is attributed to an earlier overly optimistic forecast for electric vehicle sales, which led to Stellantis warning investors of substantial write-downs amounting to several tens of billions of euros in February.
In the latter half of 2025, Stellantis's financials showed a steep decline, culminating in a total net loss of 22.3 billion euros over the year and an operational loss of 842 million euros. This harsh financial environment has prompted the new CEO, Antonio Filosa, to reassess the strategies set by his predecessor, Carlos Tavares. Amidst the challenging landscape, there is an increased focus on recalibrating the company's electric vehicle projections and adapting to evolving market conditions.
The implications of these losses could be profound, not only for Stellantis but for the wider automotive industry as it navigates the transition to electric vehicles. Investors are likely to scrutinize the company's ability to pivot in response to changing market dynamics and the viability of its electric vehicle strategy moving forward. The current challenges underscore the complexities of managing extensive brand portfolios while aligning them with future automotive trends, particularly in the context of sustainability and consumer preferences.