Stellantis posts modest Q3 operating income but burns €4 billion
The automaker said cost cuts are starting to lift profit, even as it burned nearly $4.5 billion in industrial free cash flow.
- On Wednesday, October 28, 2026, Stellantis reported a slight rise in third-quarter operating income, though the automaker's turnaround process generated a €4 billion industrial cash outflow during the period.
- CEO Antonio Filosa launched a group-wide cost-cutting plan this year to drive recovery, while UBS and Morgan Stanley downgraded the stock and RBC Capital Markets raised a potential break-up scenario.
- Third-Quarter revenue remained little changed at €37.6 billion, and Filosa stated the company remains on track to implement at least 40% of its total €6 billion in run-rate efficiencies by year-end.
- North America revenue dropped 3% in the quarter, though the company reaffirmed its 2026 full-year forecasts as shares sit near record lows with investors weighing margin targets.
- Management reaffirmed its target to return to positive cash flow generation in 2027, as the company navigates a difficult year marked by a suspended 2026 dividend.
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72 Articles
Stellantis stock rises 13% as automaker's turnaround plan, cost cuts gain traction
Stellantis shares rose 13% following stronger-than-expected third-quarter results and confirmation of its turnaround plan progress, with management reaffirming 2026 guidance and targeting positive free cash flow next year.
Automaker Stellantis shares leap on bullish cost cuts, cash flow comments
The automaker said it was confident of exceeding its cost-saving targets, underpinning its profit outlook and expectations of a return to positive cash flow in 2027, after reporting higher third-quarter operating income.
The group led by Antonio Filosa reduces by 90% the net losses in the third quarter and confirms the goals for 2026. The title jumps to Piazza Affari, while Mercedes cuts the forecasts on the margins due to the difficulties on the Chinese market. The article Stellantis is no longer falling: +15.3% on the Stock Exchange comes from The Truth.
The car group – which in 2025 constituted a high provision to make a reinitialisation of its strategy, a decision that says it is already bearing fruit – indicates that the improvement recorded is more evident in the adjusted operating result, which rose 184% in homologous terms between July and September, to 256 million euros.
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