A wave of new product launches and model refreshes in the first half of 2025 helps Renault moderate a write down loss over its investment in alliance partner Nissan.
New electric products like the Renault 5 E-Tech and performance sub-brand Alpine’s A290, both voted European 2025 Car of the Year, plus the smaller Renault 4 E-Tech, help mitigate the €11.19 billion ($13 billion) overall loss for the first six months of the year, especially considering the €9 billion one-time write down over Nissan.
Renault previously lowered its annual forecast in line with other European automakers in the face of U.S. import tariffs and rising competition from lower-cost vehicles from Chinese manufacturers.
Its sales volume growth slowed to 1.3% in the first half but it expects the trading environment to improve by year’s end, adjusting its expected operating profits 0.5% to 6.5%.
Renault also expects to achieve free cash flow of between €1.0 billion ($1.14 billion) and €1.5 billion ($1.7 billion), compared with €2 billion ($2.28 billion) previously anticipated.
The French automaker’s new launches and several model facelifts helped first-half revenues reach €27.6 billion ($31.5 billion), up 2.5% compared with the same period of 2024, although operating margin fell 2.1% to 6%, owing to a soft light-commercial-vehicle market also experienced by its main rival in the sector, Stellantis.
New Renault CEO François Provost, in a company statement, says he is confident the group is well set to ride the current industry challenges and has “countermeasures” in hand to deliver on its future targets.
“In a highly disruptive environment, we concentrate on what we control: energizing our teams, prioritizing investment on products, delivering best-in-class performance and leveraging our unique network of partners,” he says. “I am convinced that Renault Group is well-positioned to deliver sustainable, best-in-class value for the years to come.”
