Stellantis shareholders’ assembly has approved the 2024 financial statements, which include the controversial compensation of former CEO Carlos Tavares: 23.1 million euros ($26.3 million) for the year, plus a severance package of 12 million euros ($13.6 million). The decision passed with 66.92% of favorable votes, despite opposition from 33.08% of shareholders and criticism from several investors, particularly concerned about the drastic 70% drop in company profits.
Stellantis: Tavares’ million-euro compensation approved despite declining profits
The approved financial statements show sharply contracting results: net revenues fell to 156.9 billion euros ($178.3 billion and -17% compared to 2023), and global deliveries declined by 12%. Consequently, the dividend was reduced to 0.68 euros ($0.77) per share, much lower than the 1.55 euros ($1.76) of the previous year.
During the assembly in Amsterdam, Chairman John Elkann acknowledged management’s responsibilities for the disappointing 2024 results, explaining that the misalignment between the board of directors and Tavares led to the latter’s resignation last December. Elkann, currently leading the executive committee on an interim basis, assured that concrete measures are being implemented to strengthen the company, while the appointment of a new CEO is expected by the first half of 2025.
Elkann also harshly criticized the European Union’s electrification strategy, describing it as disconnected from actual market conditions and too ambitious. He highlighted how numerous governments abruptly withdrew incentives for purchasing electric vehicles, while charging infrastructure remains insufficient. The chairman also expressed concern about the tariff situation between Europe and the United States, considering current tariff and regulatory policies excessively severe and potentially harmful to the transatlantic automotive industry.
However, he stated that an orderly transition is still possible with timely action, welcoming Donald Trump’s statements about potentially reducing the 25% tariffs, news that pushed Stellantis stock up by 5.23%.
