Luca De Meo’s cure works: Renault is back in profit in 2021 with a net result of 967 million euros, thanks in particular to an increase in its sales prices. This was announced by Renault today in a statement. After a very complicated 2020 from the point of view of operational performance, the group recorded sales of 46.2 billion euros in 2021, up by 6.3% compared to the previous year, despite the impact on production due to the shortage. of semiconductors. Net income followed the previous year’s losses of 8.01 billion and a loss of 141 million in 2019. The group’s operating margin of 3.6% also exceeded its expectations. It had previously aimed for an operating margin at the same level of 2.8% recorded in the first half of the year. Cash flow was positive for 1.6 billion. The group will not propose any dividends for 2021.
“The results of Renault Group – commented the CEO Luca de Meo – have largely exceeded the financial targets for 2021 (the group expected to reach an operating margin of more than 3% in 2023, ed) despite the impact of the shortage of semiconductors and rising commodity prices. This is a reflection of the rapid pace of the profound transformation of the group ”.
Despite a context “still impacted by the semiconductor crisis which should cost” a loss of 300 thousand vehicles “on the current year’s production and rising raw material prices, Renault estimates to increase the operating margin for the company to at least 4%. current year and to generate automotive operating cash flows of at least 1 billion. Finally, the repayment of 1 billion euros of the 4 billion loan guaranteed by the French state and disbursed to the manufacturer after the outbreak of the pandemic is expected. The payment is in addition to the billion that must be repaid this year. Renault plans to repay the loan “at the latest” in 2023.