Stellantis Swings to First-Half Loss as Tariffs Bite Jeep Maker

Stellantis (STLA) said Monday that it swung to a net loss in the first half of the year, as the Big Three automaker was hit by tariffs as well as restructuring costs and a sales slump.

Stellantis shares, which entered Monday down almost 30% so far this year, dropped about 2% in premarket trading. 

In preliminary results released Monday, the owner of brands including Jeep and Chrysler reported a 2.3 billion euro ($2.7 billion) net loss for the first half, compared to a net profit of 5.6 billion euros in the same period last year. First-half revenue of 74.3 billion euros was down from 85 billion euros a year earlier.

Stellantis said it booked 300 million euros ($349 million) in net costs from “the early effects of US tariffs,” which included the loss of planned production. The carmaker said in April it would suspend its full-year outlook, pointing to “tariff-related uncertainties.”

During the second quarter, Stellantis said North American shipments fell 25% year-over-year to around 109,000 units, while total sales dropped 10% year-over-year. U.S. retail sales were “relatively flat” however, with Jeep and Ram sales combined delivering a 13% increase in sales.

The preliminary results are the first under new CEO Antonio Filosa, who replaced Carlos Tavares, who abruptly left last December. 

UBS analysts Monday morning said “there is a high chance” Stellantis’ 2025 free cash flow will stay in negative territory, since the second half free cash flow is unlikely to “fully offset the H1 cash burn.”