Stellantis Stock Sinks as Profit Plunges

Core Insights - Stellantis, the owner of Chrysler and Jeep brands, is taking decisive actions to address operational challenges amid a significant decline in financial performance [2][5][7] - The company reported a 48% year-over-year slump in first-half net profit to €5.65 billion ($6.13 billion) and a 14% decline in revenue to €85.02 billion [2][5] - The automotive industry is facing challenging times with cooling demand and inflation impacting consumer spending [5][10] Financial Performance - Stellantis experienced a 48% decline in net profit for the first half of 2024 compared to the previous year [2][5] - Revenue also fell by 14%, totaling €85.02 billion [2] - The company's shares dropped approximately 16% year-to-date through Wednesday's close [11] Operational Challenges - Stellantis is struggling with excess inventory in North America, which has contributed to its disappointing results [5][6] - The CEO highlighted that the company's performance fell short of expectations due to both industry challenges and internal operational issues [7] - Restructuring and foreign exchange costs have further impacted the company's financial results [9]