Groupe Renault moves forward with a massive increase in group revenues helped by a 10% growth in sales Units.

• Group revenues totaled €13,129 million in first quarter 2017 (€12,560 million excluding AVTOVAZ). The 25.2% increase (19.7% excluding AVTOVAZ) resulted primarily from an increase in the Group’s brand volume and sales to partners.
• First quarter sales rose by 15.8% to 873,678 vehicles (at constant scope, including Lada) in a market that grew 4%.
• Sales volumes and market share increased in all regions. The Renault and Dacia brands set new sales records for a first quarter.
• In Europe, Group registrations rose 10% in a market up 8%, driven by new models and the confirmation of the good results of Kadjar, Clio 4, Captur and Duster. 
• UK is Groupe Renault’s fifth biggest market globally in Q1 2017
• Outside Europe, the Group posted a 100% increase in sales in Asia-Pacific and a 31% increase in the Africa-Middle East-India Region.
• The Group is confirming its guidance for the year.

Sales Results: first quarter highlights

Groupe Renault (including Lada) worldwide registrations (Passenger Car + LCV) increased by 15.8% in a market up 4%. The Group’s share of the world market now stands at 3.8%, up 0.4 points on 2016. The Renault and Dacia brands set new sales records for a first quarter. Renault Samsung Motors sales increased by 56.3% and those of Lada by 7%.

In Europe, the Group’s share of the PC + LCV market increased 0.2 points to 10.1%. Sales grew 10% to 478,706 vehicles. 

The Renault brand continued to progress, with a 10.1% rise in registrations. Market share came out at 7.7%, up 0.1 points. Renault notably benefited from the complete renewal in 2016 of the Megane family car line-up. 

Electric vehicle sales increased by 46% to nearly 10,000 units (excluding Twizy) thanks to the success of New ZOE with an official range of 250 miles (NEDC). Sales of ZOE rose 57% and reinforced the Group’s leadership with a 28% share of the electric vehicle market. 

The Dacia brand posted a sales record for a first quarter with 112,457 registrations and a 2.4% share of the market. This 9.5% growth resulted from the performance of New Sandero – the facelifted model launched in late 2016.

In France, Groupe Renault benefited from the growth of the market with a 5.6% increase in registrations. The Group placed five vehicles in the top ten best-selling passenger cars (including the top-seller, Clio) and occupied the top four positions in the LCV top ten. The Dacia brand was buoyed by the success of Sandero (the leader in sales to retail customers).

In the UK, Groupe Renault has experienced unprecedented growth over the last five years. This growth has continued in 2017 with 39,498 Groupe Renault vehicles being sold in Q1 – up 3.8% on Q1 2016. The UK is Groupe Renault’s fifth biggest market worldwide.

Outside Europe, all the Regions increased their sales volumes and market share.

Groupe Renault strengthened its positions with the success of its range: Kwid in India, QM6 and SM6 in South Korea, Kaptur in Russia, Koleos in China, Megane Sedan in Turkey, and Captur in the Americas.

In Africa-Middle East-India, Group registrations rose 30.9% for a market share of 6% (up 1.4 points).

Sales in Iran rose sharply (up 161.5%) for a market share of 9%, up 4.9 points, thanks to the success of Tondar and Sandero.

In India, Renault continued to rank as the number-one European brand with a 3.6% share of the market and a 9.9% increase in sales. Kwid registrations reached nearly 27,000.

In North Africa, the Group took a 41.5% share of the market, up 8.3 points with a 13.4% increase in sales.

In Eurasia, registrations increased by 6.3% in a market down 0.5%. The market share of Groupe Renault, now including the Lada brand, rose 1.5 points to 24.1%, notably thanks to a strong momentum in Russia.

In a Russian market that grew slightly (+1%) for the first time in four years, the Group increased its sales by 9.2% (including Lada).

The Renault brand took a 8.1% share of the market, up 0.8 points. Registrations of Kaptur, launched in June 2016, came to over 6,000 for the quarter.

Lada sales volumes rose 8% for a market share of 19.1% (up 1.2 points) thanks to the success of the new Vesta and Xray models. 

With the consolidation of Lada sales volumes, Russia has become the Group’s number-two market.

In Turkey, sales increased 0.8% in a market down 7.4%. The Group posted a 19% share of the market, up 1.5 points. New Mégane Sedan, awarded “Car of the Year”, is off to a successful start with over 6,500 registrations.

In the Asia-Pacific Region, registrations were up 99.7% in a market up 4.6%. 

In China, Renault sold nearly 18,000 vehicles (compared with 3,400 in first-quarter 2016), including 10,000 New Koleos, launched at end-2016 and produced locally at a new plant in Wuhan.

Renault Samsung Motors posted a growth of 56.4% in a South Korean market up 0.9%, for a market share of 6.2%, up 2.2 points, driven by the success of the latest product launches (SM6 and QM6).

In the Americas region, sales increased 19% in a market up 9%, for a market share of 6.3%, up 0.5 points. The success of Sandero, Logan and Duster Oroch models was confirmed.

Groupe Renault continue to take full advantage of the recovery in the Argentinean market, with an 87.2% increase in registrations in a market up 42.8%. Market share rose by 3.1 points to 13.1%. Renault is fully benefitting from the local production of Sandero and Logan since end-2016. The market in Brazil has stabilized (down 1.2%) and the Group maintained its market share at 6.8%.

First quarter revenues by operating sector

Group revenues came to €13,129 million in first quarter 2017, up 25.2%. Excluding the impact of the consolidation of AVTOVAZ, Group revenues increased by 19.7% to €12,560 million (up 18.4% at constant exchange rates).

Automotive excluding AVTOVAZ revenues totaled €11,939 million, up 20.1%, mainly thanks to growth in sales volumes (up 9.2 points). The increase in sales to partners contributed 3.5 points to this growth. The performance reflects the strong momentum in our CKD1 activity in Iran and China and in the sales of vehicles assembled in Europe (notably with the start of Nissan Micra production). The price effect (+2.4 points) benefited primarily from recent launches. The currency effect was positive at 1.3 points, mainly owing to the strengthening of the Russian ruble and Brazilian real, despite the negative impact of the British pound.

Sales Financing (RCI Banque) posted revenues of €621 million in the first quarter, up 13.5% on 2016. The number of new financing contracts increased by 21.4%. Average performing assets rose 21.9% to €37.9 billion. 

Outlook for 2017

In 2017, the global market is expected to a record growth of 1.5% to 2.5% (versus 1.5% to 2% previously). The European market is still expected to increase by 2% this year, as is the French market. 

Outside Europe, the Russian market might increase by up to 5% (versus stable previously), whereas the Brazilian market should remain stable. China (+5%) and India (+8%) are expected to continue their growth momentum. 

With this context, and following the consolidation of AVTOVAZ, Groupe Renault is confirming its guidance:

• increase Group revenues, beyond the impact of AVTOVAZ (at constant exchange rates)*,
• increase Group operating profit in euros*,
• generate a positive automotive operational free cash flow.

* compared with 2016 Groupe Renault published results

Groupe Renault consolidated revenues

(€ million)	2017	2016	Change
			2017/2016
Q1
Automotive excluding AVTOVAZ	11,939	9,942	+20.1%
Sales Financing	621	547	+13.5%
AVTOVAZ	750	-	-
AVTOVAZ eliminations	-181	-	-
Total	13,129	10,489	+25.2%
Excluding the impact of AVTOVAZ consolidation	12,560	10,489	+19.7%

1CKD: Complete Knock Down

WORLDWIDE SALES H1 - Renault Group grows by a huge amount with a significant 13.4% over increase is sales.

• Groupe Renault registered a total of 1.57 million vehicles, an increase of 13.4% versus H1 2015, setting a new worldwide record for a half year for the Renault and Dacia brands.
• In Europe, Group’s registrations grew by 14%, outperforming the market (+9.6%) thanks to the success of the renewed range. More than one in ten vehicles registered in Europe were sold by the Group.
• Outside Europe, the Group’s registrations increased by 12.5%, with strong momentum in the Africa Middle-East India region. Sales in all regions grew faster than their market.
• The Group confirms its objectives for 2016. It will enjoy traction from the year’s many launches to continue to grow its sales.

Groupe Renault today announced record sales for the first half of 2016. In H1 2016, in a global automotive market up 2.5%, Groupe Renault’s registrations grew strongly by 13.4% to 1.57 million vehicles. Market share was up 0.3 points at 3.5%.  

“Our market share grew across all regions, with particularly strong momentum in Europe and the Africa Middle-East India area. Buoyed by the success of a renewed range, the Renault brand grew by 16% worldwide, and Renault Samsung Motors by 25.9% in Asia. Dacia continued to grow setting a new worldwide sales record this half-year,” said Thierry Koskas, Groupe Renault Executive Committee member and Executive Vice President, Sales and Marketing.

In Europe, the Group’s registrations continued to grow at a faster pace than the market. They rose by 14% in a market up 9.6%, i.e. 968 603 vehicles registered in H1. The Group's market share rose to 10.6% in Europe.

The Renault brand alone recorded growth of 15.6% thanks to the renewed range with Kadjar, Espace, Talisman and New Megane. Clio 4 is the second bestselling vehicle in Europe and Captur is the leading crossover in its class in Europe. In the Electric Vehicle market, Renault’s market share reached 27%. ZOE’s sales increased by 40%.

Dacia’s registrations rose by 9%. The brand set a new sales record in the first half.

In France, the Group’s market share reached 27.4%, a gain of 0.5 points. Registrations were up 11.2% in a market up 9%. Over the first six months of the year, the Group sold 361,670 vehicles, with four of its vehicles featuring among the top 10 passenger cars and the Clio 4 leading the market.

Internationally, turbulence in Russia, Brazil and Algeria continued to weigh on local automotive markets, but the Group proved its resilience, increasing its market share in all three countries. This strength, coupled with strong momentum of the Group within markets such as India, Turkey, Argentina and Iran, allowed the Group to grow its market share in each region.

In the Africa Middle-East India region, the Group’s registrations grew by a 38.2%, with market share of 5.4%.

In India, the Kwid enjoyed further success, with 150,000 orders since its launch, lifting its market share by 2.3 points to 3.8%.

In Iran, the Group continued on its end -2015 trajectory, tripling its deliveries on the back of the gradual reopening of the market. Its market share increased by 4.2 points to 5.8%.

In North Africa, despite a 3.9 point increase in market share, registrations were down 14.7% in an Algerian market down 53.7%.

Against the backdrop of new regulations in Algeria, aimed at reducing imports, the Group demonstrated its leadership, with record market share of 41.7%, a gain of 10 points. The launch of production of the Dacia Sandero at the Oran plant, announced on June 23^rd, is a new strength to expand volumes.

In the Asia-Pacific region, sales were up 12.8% in a market up 3.8%, mainly due to the good performance ofRenault Samsung Motors in South Korea, which recorded growth of 25.9%. Sales of the SM6, launched in March 2016, already total 27,200.

In China, the first half marks the start of production of Kadjar.

In the Eurasia region, the Group improved its registrations by 4% and its market share by 1.6 points to 12.9%. The good performance in Turkey, where the Group outperformed a market up 1.4% with registrations growth of 16.8%, was driven above all by Fluence which registered a growth of 39%. This performance offset the fall of the Russian market (-14%), where the Group also demonstrated resilience, with market share up 0.4 points at 7.7%.

In the Americas region, the Group’s market share increased by 0.3 points to 6.2%. In a regional market down 8.2%, its registrations fell by only 3.1%.

The Renault brand benefited fully from the reopening of the market in Argentina, with its registrations up a strong 22.2% in a market up 5.7%.

In Brazil, in an automotive market down sharply (-25.1%), the Group held up well, increasing its market share by 0.3 points to 7.3%.

The upcoming launch of the new Renault Alaskan pick-up, unveiled on June 30^th in Colombia, is a new asset to position the Group in the region on this sector.

2016 MARKET OUTLOOK

In the second half, the Group expects to continue enjoying traction from the renewal of its range, both in Europe – with the recent launches of the Talisman, New Mégane and the imminent renewal of the Scénic – and internationally – with the success of Kwid in India, the recently launched Kaptur in Russia, Kadjar in China and the SM6 in Korea.

In this context, the Group confirms its full-year objectives:

• Continued growth in global volumes;
• Strengthening of the Renault brand in Europe;
• Improvement in its positions in each of its five regions

TOTAL PC-LCV REGISTRATIONS BY REGION

	YTD end of June*
	2016	2015	% variation
France	361 670	325 360	11,2%
Europe** (outside France)	606 933	524 076	15,8%
Total France + Europe	968 603	849 436	14,0%
Africa Middle East India	208 690	151 041	38,2%
Eurasia	165 511	159 189	4,0%
Americas	158 191	163 288	-3,1%
Asia Pacific	66 725	59 168	12,8%
Total outside France + Europe	599 117	532 686	12,5%
Worldwide	1 567 720	1 382 122	13,4%

* Total registrations at end of June ** EU (28 countries - Bulgaria & Romania) + Balkans (5 countries) + Iceland, Norway & Switzerland

TOTAL REGISTRATIONS BY BRAND

	YTD end of June*
	2016	2015	% variation
RENAULT
PC	1 030 464	891 477	15,6%
LCV	193 250	163 601	18,1%
PC + LCV	1 223 714	1 055 078	16,0%
DACIA
PC	275 732	269 529	2,3%
LCV	21 357	20 246	5,5%
PC + LCV	297 089	289 775	2,5%
RENAULT SAMSUNG MOTORS
PC	46 917	37 269	25,9%
GROUPE RENAULT
PC	1 353 113	1 198 275	12,9%
LCV	214 607	183 847	16,7%
PC + LCV	1 567 720	1 382 122	13,4%