In the first half of 2015, Renault reports improvements in every aspect

The Renault Group is enjoying success in almost every aspect that they have dipped their toes in, not only did automotive revenues increased the group revenue is up by a margin as well. With almost an up in every measurement the group calculated it is not surprising to know that Renault has big plans for the rest of the year 2015.

In H1 2015, the Renault Group’s revenues came up to €22,197 million (RM93,164 million), an up by 12 per cent compared to the previous year. Automotive revenues increased by 12.4 per cent to €21,065 million, the increase in automotive revenues is due to increased Group’s brands volumes and sales to partners and the drop of the euro currency against a basket of currencies like the Korean won and British pound that gave them a positive impact.

In terms of operating profits, the Group’s amounted to €1,069 million (RM4,487 million) (+47 per cent), compared to €729 million (RM3,059 million) in H1 2014, representing 4.8 per cent of revenues (3.7 per cent in H1 2014). While the automotive sees an up of €308 million (RM1,293 million) (+89 per cent) to €656 million (RM2,753 million), or 3.1 per cent of revenues. Renault explains that this result for the automotive side of the company can be explained by increased activity and reduced cost.

The contribution of Sales Financing to the Group's operating profit was €413 million (RM1,733 million), compared to €381 million (RM1,599 million) in H1 2014. This increase was due in particular to the rising contribution of services. The cost of risk improved to 0.31 per cent of the average performing loans outstanding compared to 0.47 per cent in H1 2014.

As you know, Renault has a long standing partnership with Nissan and a number of other associated companies. The contribution of associated companies came up to €912 million (RM3,828 million), compared to €725 million (RM3,043 million) in H1 2014.

Net income came to €1,469 million (RM6,166 million) (+83 per cent), and Group share totalled €1,396 million (RM5,859 million) (€5.12 [RM21.49] per share compared to €2.75 [RM11.54] per share in H1 2014, up 86 per cent).

The Renault Group expects the global car demand to grow about one per cent by the end of 2015 and the European market to grow by at least five per cent. With this information, the group aims to increase the registrations and revenues and continue to improve the company’s operating image and sales of the automotive division.

RENAULT HALF-YEAR CONSOLIDATED RESULTS

€ Million	H1 2015	H1 2014	Change
Group revenues	22,197	19,82	2377
Operating profit	1,069	729	340
Per cent of revenues	4.8 per cent	3.7 per cent	+1.1 per cent
Other operating income and expenses items	-116	-265	149
Operating income	953	464	489
Net financial income	-161	-124	-37
Contribution from associated companies	912	725	187
o/w : NISSAN	979	789	190
AVTOVAZ	-70	-55	-15
Current and deferred taxes	-235	-264	29
Net income	1469	801	668
Net income, group share	1396	749	647
Automotive operational free cash flow	-95	-360	265

Jerrica Leong