Renault’s first quarter revenue fell 9% 9.54 billion-euros

Article by Anita Panait, on April 27, 2012

Renault logged a nine-percent decline in revenues for the first three months of 2012 to EUR9.54 billion, down from EUR10.4 billion for the same period in 2011. The company blamed the current weak European market, the continent’s financial crisis, and overcapacity, for its poor sales performance in the region. Renault’s global sales volumes dropped 7.9 percent to 638,498.

In a statement, Renault said that the European market, particularly the French market, was weaker than it anticipated.  Last year was a good year for carmakers in Europe as drivers took advantage of incentives for trading in old units for newer ones. Renault expects the fall in the European market to slow in the second quarter of 2012.

France's automakers' association CCFA reported earlier this month that Renault’s deliveries in the country dropped 25 percent in the first quarter, while industry association ACEA disclosed that the company registrations in the 27 European countries including Switzerland, Iceland and Norway plunged 23 percent in the first quarter of 2012 to 281,969 vehicles.

Renault, however, remains positive about its overall results at the end of the year, expecting its global sales to grow by around 3 to 4 percent, according to Jerome Stoll, the company’s sales chief. Renault is banking on sales on markets outside Europe and on the roll out of nine new models to spur its global sales.

Stoll said Renault expects sales for the first half of 2012 to remain flat from a year ago, while anticipating growth in the second half of the year. Renault also confirmed its full year objective of having a positive operational free cash flow, and record ratio of capital expenditures and R&D under nine percent of group revenues.

Topics: renault, income

If you liked the article, share on:

Pin It

Comments

Recommended

South Korean car company SsangYong recently revealed sketches of their upcoming SUV. We’re not always impressed by Korean car designs, but this one looks quite promising. Yup, it is the...
by - March 26, 2017
Twenty-eight years after the company was first launched by Toyota, which was initially targeted to the United States market only, Lexus has already made its way to over 70 countries....
by - March 26, 2017
Last year was probably Porsche’s best year ever in terms of sales. Their factory in Stuttgart delivered 237,778 cars in total, which represents a six percent increase compared to the...
by - March 26, 2017
Lamborghini has disclosed that it is looking into the possibility of releasing electric vehicles. With the Volkswagen Group revealing that it will be releasing electric vehicles within several years, there...
by - March 25, 2017
Daimler AG, through its Smart division, has disclosed that its two electric models, the Smart ForTwo and the Smart ForFour are now open for orders in Germany. Official market launch...
by - March 25, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries