Revenues slump for Iveco Group: 14.5% drop on the stock exchange

Brescia. Iveco Group, an Exor Group company, slows down in the second quarter: consolidated revenues are €3.9 billion, down 5% on the same period of 2023, while adjusted net profit is €182 million (up €15 million).
Cash flow from industrial activities is negative 98 million and ‘disappoints again’ Morgan Stanley analysts
At the Italian Stock Exchange, the stock plummeted and ended the session down 14.5% at EUR 10.06.

The confirmation of the financial targets for 2024 by new CEO Olof Persson, in his first quarterly report, was not enough to reassure the market. ‘I don’t comment on the share price performance, it is what it is. My job is to work towards the targets. We look ahead, there is a lot of work to be done,’ Persson said in a press briefing.
‘We are surprised by such a big drop, I don’t think it is related to our results. We have given positive numbers and also on the reduction of cash flow we have given explanations,’ adds cfo Anna Tanganelli, who recalls the negative performance of the whole sector. Persson assures that Iveco Group will continue to grow and that ‘it has shown solid profitability, despite a slight drop in revenues’.
‘My appointment as ceo of Iveco will not bring any changes to the strategy presented at Capital Markets Day in March, all the paths of the individual business units are confirmed,’ explains Personn who, speaking of his first thirty days at Iveco, says “I have found an excellent commitment in the top management team and in the business units to achieve the medium and long-term objectives”. The level of orders in all segments is positive: orders for the 2024 model year are also going well, with deliveries ‘gaining momentum in the latter part of the year’.

With regard to the Defence Division, Persson comments that it is part of the new plan and the company is ‘very satisfied’: ‘there are no formal negotiations with other companies,’ he points out with regard to the recurring rumours of a sale to Leonardo. The new CEO adds that he is not against mergers and acquisitions, given Iveco’s smaller size compared to its competitors, but the group is focusing on partnerships.
‘Italy is central to our activities,’ the manager stresses, ‘if you look at the number of employees, plants and production. It is one of our focuses. I have no specific information on individual plants, but based on the information I have the Foggia plant is going ahead according to plan’.
In the Exor group, Stellantis announced the extension until 31 December of the solidarity contracts at Mirafiori: more than 3,000 workers will be involved.