Stellantis may close underperforming brands due to weak profits; Maserati at risk of sell-off
Car group Stellantis is taking steps to recover weak margins and high inventory levels after weaker-than-expected results in the first half of 2024 and may shed underperforming brands from its portfolio, according to a report. Reuters.
“If they don’t make money, we’ll shut them down. We can’t have brands that don’t make money,” said Carlos Tavares, CEO of Stellantis, which has 14 brands in its portfolio, or 15 with the majority of them recently acquired Chinese brand Leapmotor.
Reuters cited a reported adjusted operating loss of 82 million euros (RM410.7 million) for Maserati in the first half of 2024, compared with a profit of 121 million euros (RM606 million) in 2023, the report said. Auto blogand analysts note that Maserati could be a target for Stellantis to acquire.
Natalie Knight, chief financial officer of Stellantis, said European Auto News that the decline in Maserati’s sales performance may be partly due to the discontinuation of Ghibli And Four doors in 2023, and end of production Levante this early year.
The Knight Recounts European Auto News that there may be “some time in the future” when Stellantis will reconsider “where the best place is” for the Italian luxury brand. Meanwhile, other brands in the group, Lancia and DS, could also be at risk of being axed because of their small contribution to the group’s overall sales.
Current models in the Maserati lineup include MC20, MC20 Cielo, GranTurismo, GranCabrio and The Greek languageand only the latter model, an SUV, is expected to contribute significantly to sales.
Both the Levante and Quattroporte will be replaced by all-electric successors, according to reports. Auto blogwith the full-size SUV and flagship sedan expected to debut in 2027 and 2028, respectively. However, the company cited internal sources as saying The next Quattroporte may come first, even before Levante.
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