Stellantis cut its 2024 profit forecast on Monday and warned it will burn through more cash than expected as Europe's No.2 carmaker pledged to reduce output and offer big discounts to revive its U.S.

Stellantis had been forecasting double digit adjusted operating income margins for this year, until Monday. Now the automaker is changing its outlook.

Stellantis NV on Monday lowered its annual financial guidance for the year and said it was accelerating actions to reduce U.S. inventories as sales struggle. The transatlantic automaker is forecasting an adjusted operating income margin of 5.