Stellantis is still profitable in Q3 2024, especially in North America

Despite a €3 billion stock buyback program and investments in Leapmotor, Stellantis was quite profitable in the third quarter of 2024. Large incentives cleared out 80,000 vehicles from dealer inventories in the United States, 80% of the goal of dropping by 100,000.

North America was the second largest generator of net revenues, coming in close behind Europe and far ahead of South America. Net revenues for the three groups were €12,482 million for Europe, €12,425 million for North America, and €4,215 million for South America. Margins in North America are stronger than in Europe or South America by a good margin. Asia-Pacific, including India and China, remains small in volume (14,000 shipments) but generated a decent net revenue (€426 million). Maserati, despite a hefty drop in shipments, generated a positive net revenue.

Shipments dropped by around 21% from the same period in 2023, which, with incentives, resulted in a 33% drop in net revenues. Year to date, the company is down around 15% in unit sales and 18% in net revenues, which remain positive. The company brought in €33 billion in net revenues in the third quarter of 2024.

The company claims it will have around 20 new models in 2024, closing temporary gaps which are “due in part to the transformational upgrade to the product portfolio.” The September 30, 2024 guidance for the full year remains intact, and the company suggested it could do an “early 2025 dividend calibration and buybacks.”

Stellantis has been targeting people at the individual level within factories and pushing buyouts across the North American salaried staff, as well as keeping one American plant closed and implying that Jefferson North will follow it, as its CEO has complained that high costs require these and other actions.

The third quarter held three new products, the Alfa Romeo Junior, Citroën C3, and Citroën Basalt (in South America; it was already sold in India). The next wave will include the Charger Daytona, Wagoneer S, Ram 1500 REV, and Ramcharger.

Leapmotor distributed its first vehicles in Europe to over 200 dealers.