Elkann calls 2025 a “year of reckoning” for Stellantis

Stellantis Chairman John Elkann has described 2025 as “a year of reckoning” for the automaker in his annual letter to Exor shareholders, acknowledging that its 2023 record results—net revenues of €189.5bn (US$219bn) and net profit of €18.6bn—“proved unsustainable” and obscured internal misalignments that surfaced sharply in the years that followed. Net revenues fell to €153.5bn last year and the company reported a net loss of €22.3bn.

The punishing losses of 2025 were driven by approximately €25bn in charges, primarily related to electrification walkbacks, reflecting what Elkann described as a “comprehensive clean-up of the balance sheet” and strategic reset. The chairman drew a clear line between the approach under former Chief Executive Carlos Tavares—of course, without naming him—and the direction now being set under Antonio Filosa, who took the reins in June 2025. 

According to Elkann, Stellantis had moved toward electrification faster than consumer demand warranted, drifted from customer preferences, and allowed aggressive cost-cutting to constrain product quality and delivery pace. The charges taken in 2025 were framed as painful but deliberately front-loaded to restore strategic clarity rather than drag the problems forward.

The recovery plan under Filosa appears to centre on a multi-powertrain strategy, reintroducing combustion and hybrid variants of key models including the Dodge Charger and a new Jeep SUV, while pausing the all-electric Ram truck in favour of a range-extended hybrid. Dealer relationships, which deteriorated badly under the previous regime, are being actively rebuilt, with North American operations given greater regional autonomy over pricing and product planning. 

Indeed, dealer network relations got so bad under Tavares that a group representing the dealers sent an open letter calling his leadership “disastrous” and urging his imminent departure. He was gone within several months of the letter’s publication. Elkann stated that Stellantis is also repairing ties with unions and suppliers, shifting its internal culture toward a willingness to raise problems openly rather than manage appearances.

Stellantis shares traded in Italy remain around 40% lower year-to-date. Elkann acknowledged that 2026 “will continue to be a demanding year” given the multiple ongoing geopolitical disruptions and broader market uncertainty. The Capital Markets Day on 21 May 2026 will be the first full public presentation of Filosa’s industrial plan.