Automotive News Europe — 2023-05-03
Automotive Industry
Stellantis said its revenue grew 14% in the first quarter on higher shipments, favored by an improvement in semiconductor supply, and strong net pricing power.
Net revenues amounted to €47.2bn ($52bn) in the January-March period, topping analyst expectations of €45.5bn. Consolidated shipments were up 7% in the quarter to 1.48m units, Stellantis said.
"A better fulfilment of semiconductor orders is slowly but surely improving our capacity to produce vehicles," Chief Financial Officer Richard Palmer said in a media call on 2023 May 3.
Palmer, who is stepping down at the end of June, said the group is also seeing an improvement in its logistic situation in Europe, after issues with vehicles deliveries last year.
"We have a strong portfolio in Europe, the logistic situation there is improving," he said, adding this will improve Stellantis' market share in the region during this year.
Stellantis said its sales of battery-electric vehicles rose 22% in the first quarter and that it would add nine new BEV models to its offerings in 2023.
The company reaffirmed full-year guidance for double-digit adjusted operating income margin and positive industrial free cash flows.
Stellantis said new vehicle inventory was at 1.3m cars at the end of 2023 March, reflecting a return to more normal levels.
As supply-chain problems ease, automakers are set to struggle to maintain high prices that have underpinned margins in the aftermath of the pandemic.
Successive price cuts from U.S. rival Tesla, whose Model Y was Europe’s best-selling car during the first quarter, is adding to the pressure.
Ford Motor on 2023 May 2 said it anticipated more downside on pricing as industrywide sales volumes "normalize."