Stellantis posts higher revenues, trims estimates on U.S. tariff impact

Core Insights - Stellantis reported a 13% year-on-year increase in revenues for Q3, marking its first top-line growth after seven quarters, indicating initial success of new CEO Antonio Filosa's turnaround efforts [1][2] - The company estimated an impact from U.S. tariff policies of around 1 billion euros ($1.2 billion) for 2025, a reduction from previous estimates [1] Financial Performance - Net revenues for Stellantis in the July-September period reached 37.2 billion euros, driven by strong performances in North America and Europe, aligning with analyst expectations [2] Strategic Focus - New CEO Antonio Filosa is focused on reversing sales decline in the U.S. and reducing excess vehicle inventories, which contributed to the previous CEO's ousting [3] - Stellantis plans to invest $13 billion to enhance production in the U.S. and counteract tariffs imposed by the previous administration [3] Operational Changes - Filosa has initiated significant changes, including booking billions in pre-tax charges, reintroducing popular models like the Jeep Cherokee SUV, and shifting focus back to hybrid and petrol vehicles after a previous emphasis on electrification [4] - By the end of Q3, Stellantis introduced six new models out of a planned ten for 2025, indicating ongoing commercial progress [4] Future Guidance - Stellantis confirmed its forecasts for increased net revenue and cash flow generation in the second half of 2025, along with a low-single digit adjusted operating income margin [5] - The company anticipates charges in the second half due to strategic and product plan changes, but these are not expected to affect forecasts, assuming no supply chain disruptions [5]