Renault group: that the drubbing in the 1st half of 2020

A THIRD OF SALES IN LESS – The first half of 2020 was among the most negative in the history of the Renault Group, made up of the sports brand Alpine, from Dacia, from AvtoVaz (especially in Russia under the brand Lada), by Renault, and the Korean Samsung. In this period, sales decreased by 34,9% compared to the 1.256.658 vehicles, and also the results of economic were strongly negative, as shown in the half-yearly report released today.

SINKS The ALLIANCE – A far jump is the operating profit, therefore, the difference between the revenues that accrue from the activities of the Group and the cost incurred to support them: it was negative for 7,29 billion, when to 30 June 2019, was positive for 970 million. The great part of this huge passive is attributable to Nissan, with which Renault has an alliance regulated by a stock exchange: the French house has 43% of Nissan, which in turn owns 15% of the Group.

Do NOT SAVE ANYTHING – Considering only the French group, the turnover was reduced to 18.4 billion euro, 34.3% less than the twelve months before, and the gross operating result was negative at € 2 billion at June 30, 2019 was positive for a 1.52 billion. The Renault Group has seen the collapse of the profitability in gross, therefore, the gain of the real to a gross-of-tax: in the first half of 2019, the margin was 1.65 billion, equal to 5.9% gross profit per vehicle sold, while as at 30 June 2020 is a loss of 1.20 billion and 6.5% to the vehicle. As at 30 June, the liquidity of the Group decreased by 6.5 billion compared to 31 march, but the intervention of the French State, which has been the guarantor for an expected 5 billion, has meant that in the “portfolio” of Renault, there are still 16.8 billion.