Stellantis Weathered UAW Strikes Better Than GM And Ford, With Less Financial Toll: CFO

Stellantis STLA has reportedly fared better financially than General Motors GM and Ford F during the recent United Auto Workers (UAW) strikes.

According to a report from Teslarati, the UAW strikes have had a less significant impact on Stellantis’s bottom line compared to its counterparts. The strikes coincided with the earnings reports from Ford and GM, disclosing the financial toll of the six-week strikes on each company.

Stellantis’ Chief Financial Officer, Natalie Knight, revealed that the strikes had cost her company less than they had GM and Ford. Despite the financial impact, Stellantis is not planning to adjust its cash or profitability forecasts.

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Knight further explained that the strikes would cost Stellantis less than 750 million euros (approx. $792 million) in total profitability, with a total revenue impact of roughly 3 billion euros ($3.16 billion). However, she did not disclose how much the strikes affected the company’s earnings.

On the other hand, GM and Ford announced last week the strikes had cost them around $800 million and $1.3 billion, respectively. Both companies also revealed plans to cut back on EV spending.

Despite the strikes, Stellantis confirmed its financial forecasts, which include expectations for a double-digit margin on adjusted operating profit and a positive free cash flow of 1.5 billion euros ($1.58 billion) in share buybacks.

The UAW strikes against the three automakers officially ended last week, with all three companies reaching agreements with the union.

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