Stellantis NV, the automaker behind brands like Jeep and Dodge, saw its shares tumble over 5% in pre-market trading on Wednesday as the company reported a steep 70% drop in profit for 2024 and provided a cautious outlook for 2025.

For the full year 2024, Stellantis reported net profit of €5.5 billion, down from €18.6 billion in 2023, as consolidated shipment volumes fell 12% due to product gaps and inventory reduction initiatives. Adjusted operating income plunged 64% to €8.6 billion, with an operating margin of just 5.5%.

The company blamed the weak performance on production adjustments, negative product mix, increased sales incentives, and higher warranty costs. However, Stellantis said it has begun transitioning to its next generation of products built on new multi-energy platforms.

Looking ahead to 2025, Stellantis forecasts "positive" revenue growth, a "mid-single digit" operating margin, and "positive" industrial free cash flows. But analysts viewed the guidance as disappointing, with the margin outlook potentially leaving room for consensus estimates to be revised lower.

While the company proposed a dividend of €0.68 per share, its shares slid lower on Wednesday as investors reacted to the soft second-half results and relatively loose guidance for 2025.