Stellantis CEO Antonio Filosa has highlighted that the strategic reorganization efforts will require time to yield results following the automaker’s below-par second-quarter performance, which led to a decline in its stock value. In a bid to regain lost U.S. market share and introduce 60 new models by 2030, Stellantis presented a $70 billion turnaround plan earlier this year.
During a recent call with analysts, Filosa emphasized the company’s three key priorities: expanding market reach, reducing operational expenses, and enhancing product quality. Although progress has been made on these fronts, Filosa acknowledged that addressing these challenges is a gradual process that cannot be resolved overnight.
Stellantis witnessed a 6% increase in sales in North America, driven by a notable surge in sales of high-margin Ram pickup trucks and Jeep models, which have been a focal point of Filosa’s strategy to boost market share in the U.S. The company also saw flat revenue in Europe due to price adjustments made to tackle rising competition from Chinese automakers.
To counter the competition from Chinese rivals like BYD and Chery, Stellantis plans to leverage its partnership with Chinese joint-venture partner Leapmotor, whose sales in Europe soared nearly sixfold in the first half of 2026. Filosa further mentioned that Stellantis is working on developing new vehicle platforms for the European market to enhance competitiveness.
Despite a significant increase in adjusted earnings before interest and tax to $884 million in the second quarter, surpassing the previous year’s figure, the results fell short of analysts’ expectations, resulting in a 4.31% decline in Milan-listed shares. Analysts attributed the lower-than-expected performance to various factors, including price cuts in Europe, higher operational costs, unfavorable currency fluctuations, and tariffs.
Since assuming leadership in mid-2024, Filosa has concentrated on rebuilding volumes and recapturing lost market share to lay the groundwork for a broader recovery. Stellantis has revised its electrification goals and witnessed a decline in its shares since Filosa took the helm.
Stellantis reported a 13% year-on-year increase in second-quarter revenue, with a notable surge in North American revenue driven by strong sales of models like the Jeep Grand Wagoneer and Ram 1500 truck. However, Fabio Caldato, a fund manager at Stellantis investor AcomeA Sgr, expressed the need for Stellantis to streamline operations before introducing new higher-margin models.
The company reaffirmed its full-year outlook, anticipating mid-single-digit revenue growth and a low-single-digit adjusted operating income margin. Positive industrial free cash flow is projected for the next year, with the expectation of U.S. tariff costs ranging from $1.15 billion to $1.38 billion for the current year.