Shares of Stellantis NV (NYSE:) fell 2.3% in European trading on Tuesday after the company missed analysts’ expectations for fiscal first-quarter net revenue.
The automaker reported quarterly revenue of 41.7 billion euros, below the consensus estimate of 45.97 billion euros.
The company’s vehicle sales were 1.34 million units, down 10% from last year and also below the 1.47 million units expected.
Looking ahead, Stellantis reiterated its commitment to achieving double-digit adjusted operating income (AOI) margins in 2024 and said it expects industrial free cash flow to be positive this year.
Moreover, the previously announced €3 billion share buyback should be completed within a year, Stellantis said.
Commenting on the report, analysts said they expected a “neutral to slightly negative” reaction to the first-quarter failure.
“We expect the generally encouraging commentary for the upcoming quarters to show better earnings performance than in the first quarter. Another important catalyst (potentially positive) will be the CMD on June 13, when we expect Stellantis to present an updated medium-term capital allocation policy,” they added.