By
Mayowa Adebajo
August 16th, 2023
Stellantis reaffirmed its 2023 guidance and raised its growth outlook for Europe, the Middle East, and Africa from 5% to an impressive 7%.
Renowned automaker Stellantis NV (BIT: STLAM) responsible for classic brands such as Jeep, Dodge, and Peugeot has roared into the first half of 2023 with an impressive performance display of financial strength and business acumen.
Stellantis Records Impressive Financial Performance
According to reports, the company posted a notable 12% year-on-year increase in net revenues and an impressive 37% surge in net profit. The first half of 2023 witnessed Stellantis achieving net revenues reaching an impressive 98.4 billion euros ($108.8 billion), and a net profit of 10.9 billion euros.
One of the primary catalysts behind Stellantis’ success in the first half of 2023 was the surge in shipments. Stellantis reported a 9% year-on-year increase in consolidated shipments, totaling 3.202 million units for the year’s first half.
This growth was facilitated by the easing of supply constraints that had previously impacted the automotive industry, as well as a normalization of inventory levels. The company’s efficient supply chain management allowed it to meet the rising demand for its diverse range of vehicles, which includes popular brands like Jeep, Dodge, Peugeot, and others.
The company’s innovative and sustainable strategy has also contributed significantly to its success. Stellantis has been at the forefront of the Electric Vehicle (EV) revolution, and the first half of 2023 reflected its commitment to sustainable mobility. Global sales of Battery Electric Vehicles (BEVs) increased by an astounding 24% year over year, totaling 169,000 units.
Furthermore, sales of Low-Emission Vehicles (LEVs) increased 28% year over year, reaching an impressive 315,000 units. In addition to its strong financial success, Stellantis initiated a share repurchase program in H1, 2023, further cementing its market position.
The company repurchased 700 million euros of its own shares during this period, showcasing its confidence in its long-term prospects and underlining its commitment to returning value to shareholders.
Elevated Growth Outlook in Europe, the Middle East, and Africa
In a further display of its ambitious vision, Stellantis reaffirmed its 2023 guidance and raised its growth outlook for Europe, the Middle East, and Africa from 5% to an impressive 7%. This decision comes as a response to the company’s continued success in these regions and the identification of additional growth opportunities.
Stellantis’s aim to cement its market presence and extend its client base in these important markets is reflected in the higher growth expectation. Meanwhile, the car manufacturer gave an announcement in June that it was set to release its first European-made affordable electric vehicle, the new Citroën e-C3 by mid-October.
“Our outstanding performance in the first half of this year supports our long-term sustainability and our ability to achieve the bold ambitions of our Dare Forward 2030 plan,” CEO Carlos Tavares said in a statement.
As Stellantis continues to steer its course toward excellence, the world awaits further groundbreaking achievements from this automotive powerhouse. Stellantis stock is up by 1.72% at the time of writing and is worth 17.06 euros.