Stellantis CEO Carlos Tavares Resigns Amid Profit Turmoil

Stellantis CEO Carlos Tavares abruptly resigned following a profit warning and a 40% drop in the company's value this year. Major shareholder disagreements and criticism over financial forecasts led to his departure. A new CEO will be appointed by mid-2025, with interim leadership established.

Carlos Tavares, the CEO of Stellantis, has resigned unexpectedly, adding to the tumultuous phase at the automotive giant. The decision follows a profit warning that has seen Stellantis shares plummet by 40% this year.

The company announced its intent to find a replacement CEO by the first half of 2025. The move stems from divergent views among key stakeholders, including the board, major shareholders, and Tavares himself.

Tavares faced criticism after Stellantis projected a cash burn exceeding 10 billion euros for 2024, primarily due to sluggish sales in North America. The process of appointing a new CEO is set to accelerate, with interim leadership led by John Elkann.

(With inputs from agencies.)