Peugoet finished 2013 on a high and looks forward to a better 2014

• Worldwide sales of 1,553,000 vehicles
• International growth

Main Points

• Worldwide sales of 1,553,000 vehicles down 8.7%
• International strategy well underway with sales outside Europe up 10.9 %

o   Percentage of sales outside Europe : 43 %  (39 % in 2012)
o   Sales in China up strongly by 25.8 % : ahead of the market
o   Making progress in Latin America up 5 .8 %

Europe : 879,000 sales , down 7.2 %
o   Strategy to give preference to more profitable channels of distribution
o   Improved performance in the retail market
o   Bounce back during the 4th quarter : registrations up by 3.5%          

• Move up-market strategy confirmed with the successful launches of the 208 GTi and XY, the new 308 and the 2008 Urban Crossover, which benefited from a particularly high level model mix
• Motor Sport: Victory for the 208 at Pikes Peak and at the 24 Hours Nürburgring
• Outlook for 2014 : PEUGEOT will have the youngest range in its history

In 2013, against the background of a generally depressed European market, although now with signs of stabilisation, and overseas markets showing contrasting trends, PEUGEOT recorded 1,553,000 sales worldwide.

Brand strategy for 2014 continues:

Continuation of a dynamic product and launch plan:
o   Expansion of the new PEUGEOT 308 range with a new body style (SW) and new power trains (Blue HDi and Pure Tech plus new automatic gearboxes
o   Renewal in the B1 segment

• Evolution of the  high capacity light commercial vehicle range
• Success of recent launches, 2008, 301, 308, 3008 China, will gain momentum
• Continuation of the Brand’s move up-market strategy
• Recovery expected in the southern European markets, favourable for the weighting of the Brand’s sales in Europe
• PEUGEOT’s continued growth in most emerging markets

Successful launches

2013 saw the PEUGEOT Brand continue the renewal and expansion of its product range.

The PEUGEOT 208 will soon pass 600,000 units produced in Europe and Brazil since its launch in 2012.

In 2013, 208 strengthened its position on the podium in the hotly contested European B2 hatchback segment, particularly in France, Belgium & Luxembourg, Holland, Portugal, and Denmark.

In spring 2013, the 208 range was topped by two new additions, the 208 XY and 208 GTi, which accounted for nearly 9,500 orders by the end of December and nearly a third of 208 customers have chosen the top trim levels (Féline, XY and GTi).

The PEUGEOT 208 also gained success in race car competitions: victory and record broken with the 208 T16 Pikes Peak at the iconic American hill climb race, triple win with the 208 GTi Peugeot Sport in its category in the 24 Hours at Nürburgring and the launches of private racing versions (208 R2, 208 Racing Cup Circuit and 208 T16).

The PEUGEOT 2008 Urban Crossover, with more than 82,000 customer orders since its launch in spring 2013, saw a level of success above its objective in the rapidly expanding CUV category of the B segment.

The strong appeal of the 2008, confirmed by several awards received in Europe, has led to an increase in production capacity at Mulhouse, progressively brought up to 650 units a day.

Qualitative success has also been achieved, with a particularly high trim level mix: 69 % of orders in Europe have been for trim levels 3 & 4 in the 2008 range, against an initial objective of 48 %.

2008’s international development will be realised by its sales launch in China during 2014, then in Brazil in 2015.

At the end of December and after less than three months on sale more than 35,000 orders were received for the new PEUGEOT 308 and that is even before its launch in the UK and various other overseas markets. This latest new car has seen a level of success above the ambitious targets that had been set for it.

With a model mix of more than 50% for trim levels 3 & 4 (Allure & Féline), it also demonstrates that all of the Brand’s models are contributing towards PEUGEOT’s move up-market.

Having already won several awards (France, Switzerland, Spain, Croatia, Slovakia), the new 308 is also one of the 7 finalists for the prestigious 2014 “Car of the Year” Award.

To its many qualities, the new 308 adds safety at the very highest level, as shown by the 5 * rating recently obtained under the new EuroNCAP tests.

In the spring, the new 308 range will expand with a new body style (SW) and new particularly innovative powertrains, such as the 1.6l BlueHDi and the brand new 1.2l THP and a new automatic gearbox.

The new PEUGEOT 301 gave the Brand a new model to conquest in emerging markets (93 % of sales are outside Europe) and with production and sales recently started in China, more than 67,000 examples were sold in 2013.

It made its mark especially in Algeria and Turkey. In 2014, the PEUGEOT 301 will contribute towards the growth of the Brand with a sales volume of 130,000 cars worldwide (of which, 65,000 in China).

PEUGEOT’s move up-market at the heart of the strategy for the brand

In 2013, with 338,000 units, ‘Premium’ vehicles represented 22 % of total sales for the Brand, against 18 % in 2012.

Among those, 89,000 PEUGEOT 508 vehicles were sold, in its internal combustion and HYbrid4 versions, 30 % of which were in China.

The 3008/3008 HYbrid 4 Crossover won 141,000 customers, especially in Europe and in China, while 74,000 examples of the 2008 Urban Crossover have been delivered.

For its part, the RCZ, with the range extended by the radical R version developed by Peugeot Sport, attracted more than 9,200 customers, while the Coupé Cabriolets and the 4008 SUV sold 14,500 and 9,100 units respectively.

Emissions reduction a top priority

PEUGEOT’s environmental commitment can be seen in the figures for 2013: the offering of three HYbrid 4 models, the optimisation of petrol and HDi engines, the extension of the new generation 3-cylinder petrol engines (1.2l VTi) through the range and the wide implementation of Stop & Start e-HDi have allowed the Brand to reduce the weighted average emissions of its European range to 115.2 g/km CO2 (11 months of 2013), against 121.6 g/km CO2 in 2012.

PEUGEOT is continuing its efforts towards the objective of 141.24mpg by 2020: developed in cooperation with TOTAL, the 208 HYbrid FE technology demonstrator explores various solutions and achieves the feat of reducing its emissions to 46 g/km CO2 (123.8mpg).

Europe: PEUGEOT gives preference to profitable sales

Against the background of a European car & light commercial vehicle market that remains competitive on price, down slightly by 1.6 % and on track towards stabilisation during the second half, PEUGEOT adopted a sound commercial approach in 2013 by choosing more profitable channels of distribution.

However, PEUGEOT improved its performance in Europe during 2013 compared to 2012: down by 11.7 % in the first quarter, its registrations then recovered over the year to finish 3.5 % up in the fourth quarter.

The Brand achieved 897,000 registrations (743,000 cars and 154,000 light commercial vehicles), down by 6.1 %, for a market share of 6.5 %, against 6.8 % the year before.

This change reflects an unfavourable market mix, against the background of persistent weakness in the large southern European markets, traditionally the most important for the Brand.

In 2013 the Brand recorded an increased market share for cars & light commercial vehicles in several countries in the area – particularly in France, Portugal and Ireland – and increased volumes in the United Kingdom, Spain and Portugal. It should be noted that in Spain, PEUGEOT shares the leadership of the total overall market and is the undisputed forerunner in the LCV market.

In Central and Eastern Europe, in the context of a market that had stabilised globally, PEUGEOT saw its registrations increase by 6.3 %, with noticeable increases for the main markets in the region (Czech Republic, Hungary, Poland, Slovakia).

In the European LCV market, PEUGEOT maintained its strong position with a quasi-stable market share of 10.5%.

Strong progress in overseas markets

With 673,000 assembled vehicles, the percentage of PEUGEOT’S sales outside Europe jumped from 39 to 43 %, in line with the Brand’s objective of achieving 50 % of its sales outside Europe by 2015.

2013 demonstrated the Brand’s acceleration in nearly all of the major regions in the world showing growth.

In China the biggest vehicle market in the world, PEUGEOT is outperforming with vehicle registrations growth of 25.8 % (+ 19 % for the market), at 272,000 units and a market share of 1.8% (1.7% in 2012).

PEUGEOT is reaping the rewards of an ambitious product policy (two launches in 2014 : 3008 China and 301), the development of its Dealer network (540 Dealers at the end of 2013), its rigorous approach to Chinese customers (Number 1 in the JD Power China classification for after sales service quality) and the development of new power units (e-Power).

In Latin America (Argentina, Brazil, Chile, Mexico) PEUGEOT registrations grew by 4.6% in a market up 2.9% albeit with contrasting results across the region.

In Argentina with 98,300 registrations, an increase of 21.6% - nearly double that of the market - PEUGEOT achieved a new historical record.

The successful launch of the PEUGEOT 208 should be noted in particular, on sale from summer 2013 and already in 2nd place in a B segment (second half), which accounts for 65 % of the Argentine market.

In Chile PEUGEOT’s registrations saw growth of 33.1 %, to 12,000 units, in a market up 10.3 %

In Mexico registrations grew by 33.4 %, to 6,900 units, widely outperforming the increase in the market (+ 7.9 %).

In Brazil on the other hand, in difficult economic circumstances and a very strained vehicle market, the PEUGEOT 208, launched during the year, has not yet made it possible for the Brand to return to growth. PEUGEOT sold 57,500 vehicles, down by 20.2 % in a market itself also slightly down (-1.5 %).

In Russia where the market contracted by 5.4% in 2013, the Brand decided to restrict its sales, profitability being seriously impacted by a very unfavourable Euro-Rouble exchange rate. Against this rather special context, PEUGEOT registrations in Russia reached 33,900 units in 2013, down by 23.8%.

On the other hand, sales were up 26.3% (5,400 units) in Ukraine, in a market that is also down.

In the Mediterranean region, success has been achieved.

In Algeria in a market going through a period of slight consolidation (-1.5 %), PEUGEOT established a new sales record, at 74,400 registrations (+ 12.1 %), a result helped by the success of the new PEUGEOT 301. The Brand, market leader for the first time in ten years, recorded a penetration of 17.0% (15 % in 2012).

Finally, in Turkey thanks also to the warm welcome given to the PEUGEOT 301, the Brand saw its registrations grow by 15.1 % in 2013, to 34,000 units (+ 9.8 % for the market).