Stellantis N.V. (STLA) Q1 2023 Earnings Call Transcript

For the period ending December 31, 2022

May 3, 2023 8:00 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Hello and welcome to the Stellantis First Quarter 2023 Revenues. My name is George and I will be your coordinator for today’s event. For your information today’s call is being recorded.

I’d now like to turn the call over to our host, Mr. Ed Ditmire, Head of Investor Relations of Stellantis. Please go ahead, sir.

Ed Ditmire

Thank you and welcome to everyone joining us today as we review Stellantis’ revenues for the first quarter of 2023. Earlier today, the presentation material we use during this call along with the related press release was posted under the Investor section of the Stellantis Group website. Today, our call is hosted by Richard Palmer, the company’s Chief Financial Officer. After his presentation Mr. Palmer will be available to answer questions from the analysts.

Before we begin, I want to point out that any forward-looking statements we might make during today’s call are subject to the risks and uncertainties mentioned in the Safe Harbor statement including on Page 2 of today’s presentation. As customary, the call will be governed by that language.

Now, I would like to hand the call over to Richard Palmer, CFO of Stellantis.

Richard Palmer

Thanks very much, Ed. Good day to everybody. Happy to be here today to discuss Stellantis shipments and revenues numbers for Q1 2023. So starting on Page 3, we present a summary of the operational financial highlights for the quarter. After delivering record results in our first two years at Stellantis, we entered year three with great momentum and focus on the execution of our long-term strategic plan, Dare Forward 2030. We posted strong Q1 net revenues of €47.2 billion, up 14% against the prior year, thanks to a 7% increase in consolidated shipments and continued pricing discipline with all segments posting year-over-year increases in net revenues and positive pricing. On a year-over-year basis, we saw our market share decline in North America and EU30 by 160 and 170 basis points respectively, but we improved versus Q4 2022 and expect the current level of inventory and commercial actions from our teams to support further progress in those markets.

Our market share grew by 20 basis points in South America and by 230 basis points in Middle East and Africa, highlighting the success of our strategy to expand our presence in growing markets and the competitiveness of our global brand portfolio. Our global LEV sales reached 137,000 units, up 25%, and within those our BEV sales grew 22% to 73,000 units. Our PHEV sales progressed by 29% to 64,000 units with a strong performance in North America, pushed by the continuous success of the Jeep Wrangler, which is the number one selling PHEV in the U.S. market.