Stellantis Records 22.2 Billion Euros in Charges for the Second Half of 2025 and Suspends its 2026 Dividend
On February 6, 2026, automotive manufacturer Stellantis announced it had recorded exceptional charges of approximately 22.2 billion euros for the second half of 2025, as part of a strategic reset of its operations. These charges, excluded from the adjusted operating results, resulted in a net loss for the fiscal year 2025, the suspension of the annual 2026 dividend, and the release of preliminary financial results for the latter half of the year.
Strategic Review and Cost Alignment
Stellantis has conducted a thorough review of its strategy and associated costs, aiming to align its product portfolio and industrial capabilities with actual customer preferences and evolving environmental regulations, particularly in the United States. Of the total 22.2 billion euros in charges, the group specifies that 14.7 billion euros are related to realigning product plans with customer demand and new U.S. emission standards. This component notably reflects a significant downward revision of expectations for battery electric vehicles.
Additionally, 2.1 billion euros are related to resizing the supply chain for electric vehicles, and 5.4 billion euros correspond to other operational changes within the group. Stellantis notes that about 6.5 billion euros of these charges will result in cash payments, spread over the next four years. The group also indicates that the majority of corrective decisions have already been made and are reflected in the recorded amounts.
Operational Performance
Operationally, Stellantis reports an improvement in net revenues and free industrial cash flow in the second half of 2025 compared to the first half, in line with the latest financial guidance provided.
The consolidated volume of shipments reached 2.8 million vehicles in the second half of 2025, an increase of 277,000 units, or +11% year-over-year. North America contributed most significantly to this growth, with an increase of 39%, while annual increases were also recorded in broader Europe, South America, the Middle East and Africa, as well as China and the India & Asia-Pacific region.
Despite these factors, the group indicates that the adjusted operating result and net result were negatively impacted by specific items, including revisions of estimates related to contractual warranties and the announced charges. The adjusted operating margin for the second half of 2025 thus fell below the guided range of 'low single digit'.
Dividend Suspension and Financial Strategy
Due to the net loss recorded for the fiscal year 2025, the board of directors of Stellantis has decided to not distribute an annual dividend in 2026.
Concurrently, the group has authorized the issuance of non-convertible perpetual subordinated hybrid bonds, for an amount up to 5 billion euros. According to Stellantis, these measures aim to preserve a strong balance sheet and a high liquidity position, in a context of strategic transformation.
The available industrial liquidity stood at approximately 46 billion euros at the end of 2025, representing 30% of the net revenues of 2025, a level at the upper end of the target range of 25 to 30% set by the group.
