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Revenues of €12.5 billion in the first quarter of 2019

Revenues of €12.5 billion in the first quarter of 2019
  • Group sales decreased by 5.6% to 908,348 vehicles in a global market down 7.2%.
  • Group revenues amounted to €12,527 million in the quarter (-4.8%). At constant exchange rates and perimeter[1], the decrease would have been 2.7%.
  • The Group confirms its guidance for the year.

COMMERCIAL RESULTS: FIRST QUARTER HIGHLIGHTS

Groupe Renault worldwide sales (passenger cars PC + light commercial vehicles LCV) dropped by 5.6% in the first quarter, in a market down 7.2%. The market share shows resilience at 4.1% (+0.1 points compared to Q1 2018).

In Europe, Group sales increased by 2.0% in a market down 2.4%, thanks to the strong performance of Clio, New Duster, Zoe and LCVs.

In Brazil, Groupe Renault sales were up 29.4% with a record market share at 8.9%. Kwid confirmed its success in the region.

In Russia, the market and Group’s sales were almost flat versus 2018 with a market share at 28.5%. Lada Granta is the best-seller in this market.

In Argentina and Turkey, Groupe Renault continues to gain market share with sales down 47% and 42% respectively, in markets down 49% and 44%.

In Iran, the application of US sanctions led to the cessation of sales for the Group since August 2018.

New product launches are in preparation, with the upcoming to be launched New Clio in Europe, Arkana in Russia, Triber in India and City K-ZE in China.

FIRST QUARTER REVENUES BY OPERATING SECTOR

In the first quarter of 2019, Group revenues came to €12,527 million (-4.8%). At constant exchange rates and perimeter1, the decrease would have been 2.7%.

Automotive excluding AVTOVAZ revenues amounted to €10,916 million, down 6.3%. This decrease was mainly explained by the negative volume impact (-4.7 points) and decreasing sales to partners (-3.1 points). The currency effect impacted negatively for 1.5 points, due to the devaluation of the Argentine peso, the Brazilian real, the Russian ruble and the Turkish lira. The price effect was positive by 0.3 points and mix effects by 1 point.

Sales Financing (RCI Banque) generated revenues of €844 million in the first quarter, up 6.4% compared to 2018. The number of new financing contracts decreased by 2.7% reflecting lower activity in Turkey and Argentina. Average performing assets rose 8.2% to €46.5 billion.

AVTOVAZ contribution to the Group's revenues totalled €767 million in the quarter, up 7.1%, thanks to Lada sales growth, and despite a negative exchange rate effect of €67 million.

OUTLOOK 2019

In 2019, the global market is expected to decrease about 1.6%.

The European market is expected flat providing that there is no hard Brexit.

Outside Europe, the Russian market is expected to grow about 3% (versus above 3% previously) and the Brazilian market should be up 10%.

Within this context, Groupe Renault confirms its guidance:   

  • Increase Group revenues (at constant exchange rates and perimeter1)
  • Achieve Group operating margin around 6.0%
  • Generate a positive Automotive operational free cash flow

[1]  In order to analyze the change in consolidated revenues at constant perimeter and exchange rates, Groupe Renault recalculates revenues for the current year by applying the average annual exchange rates of the previous year, and excluding significant changes in perimeter that occurred during the year.

Groupe Renault consolidated revenues

 (€ million)

2019

2018

Change

2019/2018

Q1

 

 

 

Automotive excluding AVTOVAZ

10,916

11,646

-6.3%

AVTOVAZ

767

716

+7.1%

Sales Financing

844

793

+6.4%

Total

12,527

13,155

-4.8%

Total Group sales PC+ LCV by region

 

Year-to-date March

 

2019

2018

% Change

France

178,057

177,722

+0.2%

Europe (1) (excluding France)

324,920

315,230

+3.1%

Total France + Europe

502,977

492,952

+2.0%

Africa Middle-East India

83,811

120,536

-30.5%

Eurasia

158,487

165,720

-4.4%

Americas

97,917

103,402

-5.3%

Asia-Pacific

65,156

79,515

-18.1%

Total excluding France + Europe

405,371

469,173

-13.6%

TOTAL

908,348

962,125

-5.6%

(1) Europe = European Union, Iceland, Norway & Switzerland

Total Group sales PC+ LCV by brand

 

Year-to-date March

 

2019

2018

% change

RENAULT

     

PC

471,378

544,033

-13.4%

LCV

105,504

104,764

+0.7%

PC+LCV

576,882

648,797

-11.1%

RENAULT SAMSUNG MOTORS

     

PC

15,690

19,105

-17.9%

DACIA

     

PC

171,458

160,869

+6.6%

LCV

12,584

10,776

+16.8%

PC+LCV

184,042

171,645

+7.2%

LADA

 

 

 

PC

91,005

82,415

+10.4%

LCV

2,581

3,687

-30.0%

PC+LCV

93,586

86,102

+8.7%

ALPINE

 

 

 

PC

1,406

39

+++

JINBEI&HUASONG

 

 

 

PC

1,908

4,196

-54.5%

LCV

34,834

32,241

+8.0%

PC+LCV

36,742

36,437

+0.8%

GROUPE RENAULT

     

PC

752,845

810,657

-7.1%

LCV

155,503

151,468

+2.7%

PC+LCV

908,348

962,125

-5.6%

Groupe Renault’s Top 15 markets year to date March 2019

 

 Year-to-date 03 2019

Volumes (1) 

(units)

PC+LCV
Market Share

(in % )

1

France

178,057

26.38

2

Russia

111,712

28.52

3

Germany

59,714

6.26

4

Italy

58,688

10.10

5

Brazil

51,266

8.86

6

Spain + Canary Islands

47,219

12.71

7

China

42,687

0.72

8

United Kingdom

36,007

4.47

9

Belgium + Luxembourg

23,980

12.31

10

Argentina

20,637

15.33

11

India

19,193

1.90

12

Algeria

18,528

48.25

13

Poland

17,866

11.41

14

Morocco

17,647

43.42

15

Turkey

16,891

19.09

(1) Sales excluding Twizy

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Automotive Export Manual 2019