Stellantis outlined a €60 billion five-year plan aimed at restoring positive free cash flow by 2028 while cutting costs and refreshing its vehicle lineup.
Stellantis said Thursday it plans to invest 60 billion euros, or about $69.7 billion, under a new five-year strategy that targets positive free cash flow and 6 billion euros in annual cost savings by 2028.
The plan, led by CEO Antonio Filosa at his first investor day in the role, is a broad reset for the automaker as it tries to improve performance across major markets after losing 22.3 billion euros last year and undertaking a 22 billion euro restructuring tied to a pullback from all-electric vehicles.
Stellantis said 36 billion euros will go toward its large portfolio of automotive brands, with 60% of that investment expected to be directed to North America. The company said it plans more than 60 new vehicles and major updates to 50 models, spanning battery-electric vehicles, hybrids and traditional internal combustion engines.
The remaining 24 billion euros is slated for global vehicle platforms and new technologies. One central piece is a new STLA One platform planned for 2027, designed to consolidate five existing platforms into a single scalable architecture. Stellantis said the move is intended to reduce complexity and reach a 20% cost efficiency target.
Filosa said the company is not treating expansion and margins as competing priorities. “We're not choosing between growth and profitability. We will improve both together,” he said, referring to the company’s North American operations.
Stellantis set a goal of 25% revenue growth in North America through 2030, with adjusted operating income margins of 8% to 10%. In enlarged Europe, it is targeting 15% revenue growth and adjusted operating income margins of 3% to 5%. The company also expects double-digit revenue increases in South America, the Middle East and Africa, and an adjusted operating income margin of 4% to 6% in Asia Pacific.
The automaker said it does not plan to eliminate any of its 14 automotive brands. It will, however, fold operations of DS into Citroen and Lancia into Fiat in Europe. Fiat is being grouped among four “global brands” with Jeep, Ram Trucks and Peugeot, while regional brands include Chrysler, Dodge, Citroen, Opel and Alfa Romeo. Stellantis also owns Maserati.
The strategy also calls for changes to manufacturing. Stellantis said it expects to cut European capacity by more than 800,000 units while repurposing plants and using partnerships, though Filosa said the company plans to reduce production without plant closures. In Europe and the U.S., Stellantis is targeting 80% plant utilization in 2030.
Stellantis Chairman John Elkann described the plan as “ambitious, but realistic,” while pointing to both industry challenges and opportunities. Shares of Stellantis were down roughly 5% in New York premarket trading Thursday as investors weighed the scale of the plan and the company’s longer-term targets.
Filosa and other executives were set to provide further details throughout the day at the company’s North American headquarters near Detroit. The key test for Stellantis will be whether the planned product refresh, platform consolidation and regional strategy can deliver the cash-flow recovery the company now says it expects by 2028.
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