Stellantis N.V. Q4 FY2025 earnings call

• 2025 was a year of reset with H2 2025 showing return to top-line growth. Key actions in 2025: launched 10 all-new products, reset quality organization, increased MEV-8 engine production. - 2026 is year of execution: ongoing product wave with new products launched in late 2025 and early 2026, including midsize SUV offensive in US and CSUV offensive in Europe. - Regional updates: North America saw return to growth in H2, Europe has strong position in segments, South America maintains number one share, Middle East and Africa improved market share, China, India, and Pacific had shipment growth. - Upcoming investor day on May 21st to communicate new strategy plan.

Consolidated shipments of 5.5 million units were up 1%, with net revenues of 153 billion euros, down 2% year over year. AOI margin was negative at 0.5%. North America had 39% increase in shipments and 31% increase in revenues in H2 2025. Larger Europe had H2 AOI decrease due to higher LEV mix and net pricing decline. South America had H2 AOI decline due to increasing costs. Middle East and Africa had solid shipment growth but margins declined. Maserati business will be integrated into regional segments in 2026.

• Confirmed 2026 financial guidance laid out at February 6th. - Will start reporting full year earning results on a quarterly basis. - Expect progressive performance improvements on all business KPIs in 2026. - Industrial free cash flow expected to turn positive in 2026 and 2027.

• FX headwinds, especially Turkish lira devaluation affected results. - Competitive market environment in some regions impacted margins. - Regulatory dynamics present headwinds, particularly in light commercial vehicle electrification for Europe. - Technical issues in plant ramp up in North America affected production mix in H2 2025.

• Q: Concerns about Europe needing larger restructuring measures and U.S. business turning corner.

A: Europe has strong product lineup and order portfolio, U.S. sees market share up and new products coming. - Q: Operating leverage in North America and impact of Brazilian real on South America.

A: North America has mixed effects due to production issues, South America impacted by FX headwinds and price recovery. - Q: Mid-single-digit revenue growth outlook for 2026.

A: Forecasts North America market slightly down, Europe flat, growth driven by new products. - Q: Expectation of North America and Europe in positive AOI in 2026.

A: Yes, North America is major contributor. - Q: Investments and integration of Maserati.

A: Investments forecasted to be flattish, Maserati to be integrated into regional accounting. - Q: Quality development and operating leverage in North America.

A: Quality trending up, mix to improve in 2026. - Q: Affordable options in US and one-off adjustments in 2026.

A: Investing in below $40k market, one-off adjustments well below $3 billion. - Q: Operational leverage in North America and others segment.

A: North America to improve with volume and mix, others segment to improve with volume and operational efficiencies. - Q: Market pricing and competition in 2026.

A: Expect stable to slightly positive price in US, strong competitive environment in Europe. - Q: CapEx and Leap motor impact on European profitability.

A: CapEx to remain low, Leap motor partnership helps European profitability. - Q: Expectations for Middle East and South America, and working capital.

A: Expect growth in these regions, working capital to be tailwind excluding restructuring costs. - Q: Warranty charge and CAFE opportunity.

A: Warranty details provided, CAFE regulations provide opportunity to improve mix in North America.