Stellantis announced the results of the third quarter of 2023, which show a 7 percent growth in revenue, reaching 45.1 billion euros, thanks to increased sales and prices. However, the automotive group also faced a significant negative impact from strikes that affected its operations in the United States and Canada, where the UAW and Unifor unions demanded new labor contracts.
The strikes in the United States by UAW had an impact on Stellantis’ finances, resulting in a loss of approximately three billion euros in revenue
These strikes, lasting several weeks, led to production suspensions in various plants, resulting in sales and market share losses. Stellantis estimated that the strikes negatively affected net revenue by approximately 3 billion euros in October, compared to production plans. Stellantis recently announced that it has reached a provisional agreement with both the UAW and Unifor, pending ratification by the workers. The agreement includes wage increases, bonuses, investments in factories, and electric mobility. Additionally, it was also announced the reopening of the Belvidere plant, which had been closed since February, where a future Ram pickup will be produced.
Despite the challenges, Stellantis confirmed its 2023 objectives, including a gross operating margin between 10 percent and 11.5 percent, positive net industrial cash flow, and a stable or growing global market share. The group also announced that it will hold an Investor Day on June 13, 2024, in the United States, with hopes of recovering some of the losses incurred in recent weeks in the coming months.