Renault Group has issued it's statement to clarify the news that investigations have intensified over cheat devices.

Following public disclosure by the EPA – US Environmental Protection Agency – of the existence of a Defeat Device software used by a leading car manufacturer, an independent technical commission was created by the French Government.

The purpose of this independent technical commission is to verify that French car manufacturers have not installed equivalent devices in their vehicles.

In this regard, the UTAC (French Homologation Authority mandated by the Ministry) is currently testing 100 vehicles in circulation, including 25 Renault vehicles reflecting Renault's market share in France.  

At the end of December 2015, 11 vehicles had already been tested, including 4 Renault vehicles enabling the French public authorities to initiate productive discussions with Renault's engineering team.

The French Agency for Energy and Climate (DGEC), which is, on behalf of the Ministry for Ecology, Sustainable Development and Energy, the main contact for the independent technical commission, already considers that the on-going procedure would not reveal the presence of a defeat device on Renault's vehicles.

This is good news for Renault.

The on-going tests open the way for improvement solutions for future and current Renault vehicles. Presented in its Renault Emissions Plan which is aimed at improving the energy performance of our vehicles.

At the same time, the DGCCRF decided to carry out additional on-site and material investigations, in order to definitively confirm the first findings resulting from the analysis of the independent technical commission.

The DGCCRF went to the Headquarters, the Renault Technical Centre in Lardy and the Technocentre in Guyancourt. 

Renault's teams are fully cooperating with the independent technical commission and the additional investigations decided by the Ministry of Economy.

Following the success of the COP21, Renault intends to accelerate its investment towards industrial solutions aiming at protecting the planet.

The Renault Group is already in the top 3 (1st in 2013, 2nd in 2014) in the improvement programs of the carbon footprint.  Over the last 3 years, the Renault Group has reduced by 10% the carbon footprint of its vehicles.

UK SALES 2015 - Renault group see's a four year high to it's sales, and new models will only increase this.

• Renault car sales up by 14 per cent in 2015 to 75,618 vehicles
• Renault cars represent 2.9 per cent of the 2015 car market
• Fourth consecutive year of growth
• Renault Group UK records 127,343 vehicle sales in 2015 – up 17.4 per cent

Renault’s UK car sales have significantly outpaced the UK car market in 2015, reaching a four-year high of 75,618 vehicles – up by 14 per cent on 2014 compared to a market that grew by 6.3 per cent, according to official figures released today by the Society of Motor Manufacturers and Traders. 

In 2015 full-year, the French car brand achieved a market share of 2.9 per cent – up 0.2 percentage points on 2014.

Renault continues to have one of the fastest growing B-segment ranges in the market with combined sales of the Clio hatchback, Captur crossover and the all-electric ZOE supermini up 5.8 per cent in 2015 representing 53,410 vehicles. Electric vehicles saw a further surge in 2015 with 2,053 ZOE models sold – out of total Z.E. sales of 2,266 – up 102 per cent versus 2014, compared to an electric car market up 48 per cent.

Kadjar, Renault’s new family-sized crossover, sparked the renewal of the brand’s C-segment line-up with all-new generations of Mégane and Scénic to be launched during 2016. A combination of design, efficient and economical engines, strong residual value and competitive maintenance costs has seen the Kadjar contribute to Renault’s growth since its UK launch, in the final quarter of 2015.

Commenting on the results, Ken Ramirez, Renault Group UK Managing Director, said: “This extraordinary growth has been fuelled by customer demand for our stunning new models, supported by our dealer network’s commitment to customer satisfaction. 

The addition of Kadjar in the final quarter of 2015 has boosted the range even further and we look ahead to its first full year of sales in 2016, as well as the exciting launches of All-New Mégane in the summer and All-New Scénic later in the year, completing the renewal of our family car range.

“This 2015 performance reflects Renault’s ongoing appeal in the UK market and its continued growth trajectory, delivering on our GO5+ mid-term plan objectives.”

The Renault Group, which comprises Renault cars, vans and Dacia, significantly outpaced the UK vehicle market during 2015, with sales totalling 127,343 vehicles for a market share of 4.2 per cent – up 17.4 per cent from the year before and outpacing a total market growth of 7.4 per cent, making Renault Group the fastest growing volume franchise in the UK, outperforming the overall market for the third consecutive year. 

	Volume			Market share
	2014	2015	change	2014	2015	change
Renault cars	66,334	75,618	+14%	2.7%	2.9%	0.2
Renault LCV	18,244	25,458	+39.5%	5.5%	6.7%	1.2
Dacia	23,862	26,228	+9.9%	0.96%	1%	0.0
Total Renault Group	108,440	127,343	+17.4%	3.9%	4.2%	0.3

Renault hammers last years results with some HUGE increases in H1 2015, expect it to grow more too.

The Renault Group continued to grow and increased its profitability in the first half of 2015

• Group revenues up 12.0% to €22,197 million
• New registrations up 0.8% to 1.38 million units
• Group operating profit: €1,069 million (+47%), representing 4.8% of revenues, compared to €729 million, representing 3.7% of revenues in H1 2014
• Automotive operating profit: €656 million (+89%), compared to €348 million (3.1% of revenues versus 1.9%)
• Group operating income: €953 million (+105%), compared to €464 million
• Net income: €1,469 million (+83%), compared to €801 million
• Automotive operational free cash flow near breakeven at -€95 million.

“Thanks to a stronger than forecasted recovery in a European market, and despite a more adverse environment in our main emerging markets, Groupe Renault half-year results marked a further step towards “Drive the change” plan targets.

“The successful line-up renewal and expansion, European momentum and disciplined execution put the Group in a favorable position to reach its revenue growth and operating margin targets,” said Carlos Ghosn, Chairman and Chief Executive Officer of Renault. 

In H1 2015, Group revenues came to € 22,197 million, up 12.0% from H1 2014.

Automotive revenues amounted to €21,065 million, up 12.4% due to increased Group’s brands volumes and sales to partners. The euro's drop against a basket of currencies (Korean won, UK pound, etc.) had a positive impact. 

The price effect was also positive, primarily due to higher prices decided in late 2014 in emerging markets in order to offset currency depreciations (particularly in Russia and Brazil).

The Group's operating profit amounted to €1,069 million (+47%), compared to €729 million in H1 2014, representing 4.8% of revenues (3.7% in H1 2014).

The Automotive operating profit was up €308 million (+89%) to €656 million, or 3.1% of revenues. This performance can be explained by increased activity and reduced costs. The currency impact was positive in the first half; on the other hand, the mix/price/enhancement effect was negative.

The contribution of Sales Financing to the Group's operating profit was €413 million, compared to €381 million in H1 2014. This increase was due in particular to the rising contribution of services. The cost of risk improved to 0.31% of the average performing loans outstanding compared to 0.47% in H1 2014.

Other Operating Income and Expenses Items were negative at €116 million, primarily related to restructuring costs related to the ongoing implementation of the competitiveness agreement in France (-€265 million in H1 2014).

The Group's operating income came to €953 million (+105%), compared to €464 million in H1 2014. This improvement is due to the increase in the operating profit and the €149 million reduction in other expenses.

The contribution of associated companies, mainly Nissan, came to €912 million, compared to €725 million in H1 2014, including a €70 million negative contribution by AVTOVAZ.

Net income came to €1,469 million (+83%), and Group share totalled €1,396 million (€5.12 per share compared to €2.75 per share in H1 2014, up 86%).

Automotive operational free cash flow was near breakeven at -€95 million, despite a negative €369 million change in the working capital requirement.

At June 30, 2015, total inventory (including the independent dealer network) represented 64 days of sales compared to 62 days at end-June 2014.

OUTLOOK 2015

Global car demand should continue to grow about 1% in 2015 despite a significant slowdown in emerging markets. On the other hand, the European market should grow by at least 5%.

Within this context, the Renault group aims to:

• increase further its registrations and revenues (at constant exchange rates),
• continue to improve the Group’s operating margin and that of the Automotive division,
• generate a positive Automotive operational free cash flow.

Renault HALF-YEAR CONSOLIDATED RESULTS

€ million	H1 2015	H1 2014	Change
Group revenues	22,197	19,820	+2,377
Operating profit % of revenues	1,0694.8%	7293.7 %	+340+1.1%
Other operating income and expenses items	-116	-265	+149
Operating income	953	464	+489
Net financial income	-161	-124	-37
Contribution from associated companies	912	725	+187
o/w : NISSAN	979	789	+190
AVTOVAZ	-70	-55	-15
Current and deferred taxes	-235	-264	+29
Net income	1,469	801	+668
Net income, group share	1,396	749	+647
Automotive operational free cash flow	-95	-360	+265

ADDITIONAL INFORMATION

The condensed half-year consolidated financial statements of the Renault group at June 30, 2015 were approved by the Board of Directors on July 29, 2015.

The Group’s statutory auditors have conducted a limited review of these financial statements and their half-year report will be issued shortly.