Stellantis Books €22.2 Billion Hit as It Scales Back EV Plans

Overview

• The company said the impairment will be recorded in second-half 2025 results and reflects a realignment of product plans with reduced expectations for battery models under new U.S. rules.
• Milan-listed shares dropped about 25% to their lowest level since 2021, and the company will not pay a dividend this year.
• Stellantis guided to a preliminary net loss of €19–21 billion for H2 2025 and flagged industrial cash burn of €1.4–€1.6 billion for the period.
• The charges include roughly €6.5 billion in cash payments to suppliers spread over 2026–2029, and the group plans up to €5 billion in perpetual hybrid notes while targeting about €46 billion in year-end industrial liquidity.
• Costs cover EV supply-chain resizing, higher warranty provisions, and previously announced European job cuts; final H2/2025 results arrive Feb. 26, with 2026 guidance pointing to mid-single-digit revenue growth and positive industrial free cash flow expected in 2027.