Stellantis CEO Antonio Filosa cautioned that the strategic changes would require time to yield results after the fourth-largest automaker globally reported lower-than-anticipated second-quarter results, leading to a decline in its shares. In May, Stellantis presented a $70 billion U.S. turnaround plan to investors, aiming to introduce 60 new models by 2030 and reclaim the high-margin U.S. market share lost under the previous CEO, Carlos Tavares, who was removed in late 2024.
During a recent call with analysts, Filosa outlined the company’s focus on three key priorities: expanding market reach, cutting industrial costs, and enhancing product quality. However, progress in these areas has been gradual. Filosa emphasized that addressing these challenges requires time and cannot be resolved overnight, but assured that the company is on track and executing its plans efficiently.
Stellantis witnessed a 6% sales increase in North America, primarily driven by an 11% surge in high-margin Ram pickup trucks and Jeep models, which Filosa has emphasized to boost U.S. market share. Notably, the Windsor-built Chrysler Pacifica minivan recorded a 7% year-over-year sales growth. Conversely, revenue in Europe remained stagnant as Stellantis had to reduce prices to fend off increasing competition from Chinese automakers.
To counter the rising competition from Chinese counterparts like BYD and Chery, Filosa mentioned leveraging the company’s Chinese joint-venture partner, Leapmotor, whose European sales surged nearly sixfold in the first half of 2026. Stellantis is also working on developing new vehicle platforms for the European market that aim to match the competitiveness levels seen in China.
In the second quarter, the Franco-Italian group reported adjusted earnings before interest and tax of $884 million U.S., bolstered by robust revenue in North America. Despite this, the figure fell short of analysts’ expectations in a Reuters poll, leading to a 4.31% decline in the carmaker’s Milan-listed shares by the end of the day.
Citi analysts highlighted that the adjusted operating income margin remained low at 1.8%, citing reasons such as price reductions in Europe, increased administrative and R&D costs, unfavorable currency fluctuations, and tariffs. Since assuming the CEO position in June of the previous year, Filosa has concentrated on reviving volumes and regaining lost market share, with hopes that this recovery in the core business will pave the way for a broader turnaround.
Stellantis has scaled back its electrification ambitions, with the company’s shares hitting a record low recently, down approximately 40% since Filosa took the helm. Despite the challenges, the company reaffirmed its full-year projections, including mid-single-digit revenue growth and a low-single-digit adjusted operating income margin, with positive industrial free cash flow expected next year. Stellantis also estimated U.S. tariff costs to range between $1.15 billion and $1.38 billion for the year.