As it looks to potentially consolidate a list of 14 automotive brands, Stellantis could sell off its most exclusive, Maserati, due to weak sales, a senior official warned. That’s on top of several other brands which, Headlight.News reported last week, may be shuttered entirely.
The Maserati GranCabrio Folgore is the brand’s first all-electric model.
“The future” is uncertain for the most exclusive brand in the Stellantis portfolio, the Euro-American automaker’s chief financial officer warned during a conference call with reporters.
Since it was formed through the merger of Fiat Chrysler Automobiles and France’s Groupe PSA, Stellantis has maintained a portfolio of 14 separate brands. But in response to weak second-quarter sales and earnings, Chief Executive Carlos Tavares last week said some of those marques may be abandoned. While he didn’t mention any specific names, the spotlight initially fell on three of the weakest: Chrysler, Fiat and Lancia.
But CFO Natalie Knight pointed in a different direction, noting that “the first half has been disappointing” for Stellantis’ most exclusive marque, Maserati, and suggesting it may be time to find another “home” for it, according to a report in Automotive News Europe.
Disappointing results
Stellantis CEO Carlos Tavares is hanging an ax over the company’s weaker brands.
After Ferrari was spun off by Fiat Chrysler, Maserati became its most exclusive brand – and it’s retained that role for Stellantis. But while it was never expected to match the sales and revenues of more mainstream brands like Jeep or Peugeot, the Italian manufacturer has struggled in recent times.
During the first half of the year it sold just 6,500 vehicles worldwide, down from 15,300 during the same period a year earlier. Meanwhile, it sank deep into the red with an operating loss of 82 million euros, or $88.7 million, for the period. A year earlier it delivered a 121 million euro, or $130 million, profit during the first half.
A lack of product
The numbers do need to be seen in the perspective that Maserati is in the midst of major changes to its product portfolio. It has abandoned three key models: the Ghibli, Levante and Quattroporte.
Maserati offers a number of models that aren’t generating strong sales n umbers, like the GranCabrio.
It currently offers a handful of others and, of those, the MC20, MC20 Cielo, GranTurismo and GranCabrio are niche products, even by exotic brand standards. Just 97 MC20 supercars reportedly were sold in Europe last year. The Grecale is its only volume model.
There are more products coming but they’re still several years away, reflecting the challenges Maserati faces as it shifts focus to battery power. Automotive News Europe reports the all-electric replacement for the Levante now won’t arrive until 2027, and a Quattroporte EV is on the books for 2028 – though even that scheduling for the two models is now up in the air.
More Stellantis News
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- What Brands Might Stellantis Cut?
Time is running out
Maserati isn’t the only Stellantis brand in trouble. Chrysler is one of the most endangered, analysts warn.
In the months after Stellantis was formed back in 2021 CEO Tavares declared that he would give the time needed for each of the new automotive giant’s brands to develop a working business model and get new products to market. But, after the automaker revealed a 48% downturn in earnings for the first half of this year, the executive told analysts and media on a conference call that time may be running out.
Tavares didn’t name any potential targets. But Chrysler, with just a single model, the Pacifica minivan, has long been seen as a brand with a limited future. Lancia, sold only in Italy, is another marque on life support. Even Fiat seems to be facing a losing battle – though some observers believe it could live on in South America where it remains a powerhouse.
As the corporate halo brand, Maserati seemed to many to be untouchable. But CFO Knight made it clear that all options are on the table.
Finding “the best home”
Stellantis CFO Natalie Knight told reporters the company may need to find a new “home” for Maserati.
“The future is about how we maintain best value. There could be some point in the future when we look at what’s the best home for [the Italian marque],” she told reporters.
What options Stellantis might have for Maserati are uncertain. It could choose to shut it down. But several industry insiders believe the more likely approach would be to sell it off. Who might buy is the big question.
Early in the new millennium, Volkswagen went on a major buying spree and today lags only Stellantis in terms of the number of brands it operates. But, if anything, there are questions about whether it might pare back some weaker names, as well. The more likely option, several observers said on background, would be one of the emerging Chinese manufacturers.
They’ve already snatched up several once-familiar European badges, such as MG. And they’re looking for ways to enhance their global presence. Despite its current sales problems, Maserati still has an oversized image. And, as it’s already in the process of going electric, it could very well fit into the business strategy of one of the EV-focused Chinese companies.
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