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Renault announces a loss of €11.185 billion in the first half of the year.

Virgilio Machado by Virgilio Machado
July 31, 2025
in Latest News
Reading Time: 3 mins read
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Renault mostra primeiras imagens do 4 E-Tech Eletric antes da estreia

Renault announced this Thursday that it recorded losses of €11.185 billion in the first half, due to the change in the accounting treatment of its stake in Nissan.

The French automaker explained in a statement, as it had already anticipated on July 1, that it recorded a loss of €9.300 billion in its results, with no impact on cash, due to the modification of the value assigned to the 35% stake it holds in Nissan. This accounting change also includes a charge of €2.300 billion for the losses of its Japanese partner in the first half.

Excluding the impact from Nissan, Renault achieved a profit of €461 million in the first six months of 2025, compared to €1.469 billion recorded in the same period last year.

The operating margin fell to €1.653 billion, down from €2.175 billion, representing 6% of revenue, and of that total, €989 million corresponded to the purely automotive business, compared to €1.600 billion recorded last year.

The French automaker justifies this decline with the decrease in van sales and the commercialization of electric vehicles, which in the initial phase of the technology are more expensive to produce and face strong competition in the European market, which represented a negative impact of €444 million; however, Renault admits that a large part will be reversed in the second half of the year.

The new CEO of Renault, François Provost, admitted that the results of the first half, in a difficult market context, were not in line with his “initial ambitions”.

However, Provost insisted that the management has already launched a set of measures to achieve its objectives and noted that, in addition to the net result, the profitability of the Renault group continues to be a “benchmark” in the sector.

“In a highly disruptive environment, we are focused on what we control: energizing our teams, prioritizing investment in products, delivering best-in-class performance, and leveraging our unique network of partners. I am convinced that the Group is well positioned to deliver sustainable, first-class value in the coming years”, said François Provost, CEO of the Renault Group.

Renault has also revised downward its financial outlook for 2025, “taking into account the deterioration of the automotive market dynamics, with increased commercial pressure from its competitors and the anticipation of continued market decline”.

Thus, Renault anticipates an operating margin “of about 6.5%”, instead of the “at least 7%”, as estimated when it presented the annual results in February, and a cash flow “between €1,000 and €1,500 million”

Tags: 2025CEO RenaultFrancois ProvostNissanprevisões para 2025primeiro semestreRenaultResultados
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