PROPERTY OF GROUPE RENAULT
1INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
H1 2020 Financial Results INVESTOR RELATIONS H1 2020 PRESENTATION - - PowerPoint PPT Presentation
H1 2020 Financial Results INVESTOR RELATIONS H1 2020 PRESENTATION JULY 30, 2020 PROPERTY OF GROUPE RENAULT 1 Disclaimer Information contained within this document may contain forward looking statements. Although the Company considers that
PROPERTY OF GROUPE RENAULT
1INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
PROPERTY OF GROUPE RENAULT
2INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
Disclaimer
Information contained within this document may contain forward looking statements. Although the Company considers that such information and statements are based on reasonable assumptions taken on the date of this report, due to their nature, they can be risky and uncertain (as described in the Renault Registration Document filed with the French Autorité des Marchés Financiers). Actual results may differ materially from those projected or implied in these forward looking statements. These forward looking statements are made as of the date of this presentation. Renault does not undertake to provide updates or revisions, should any new statements and information be available, should any new specific events occur or for any other reason. Renault makes no representation, declaration or warranty as regards the accuracy, exhaustiveness, adequacy, effectiveness and genuineness of any statements and information contained in this report. This information does not constitute an invitation to invest in shares or constitute or form a part of any offer for the sale or subscription of, or any offer to buy or subscribe for, any securities or other financial instruments. Further information on Renault can be found on Renault’s web site (www.group.renault.com), in the section Finance/Regulated Information.
PROPERTY OF GROUPE RENAULT
3INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
Clotilde Delbos
Deputy Chief Executive Officer Group Chief Financial Officer Agenda
Luca de Meo
Chief Executive Officer
PROPERTY OF GROUPE RENAULT
4INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
Luca de Meo
Chief Executive Officer
PROPERTY OF GROUPE RENAULT
5INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
Clotilde Delbos
Deputy Chief Executive Officer Group Chief Financial Officer
PROPERTY OF GROUPE RENAULT
6INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
▪ COVID-19 crisis impact ▪ Market slowdown even before the COVID-19 crisis ▪ Too high costs ▪ Adverse Forex & Raw materials ▪ Pricing discipline ▪ RCI resilience Key Take-Aways
H1 : An unprecedented situation
PROPERTY OF GROUPE RENAULT
7INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
▪ 2o22 plan project ▪ Electrified line-up ▪ RCI Bank & Services ▪ Liquidity reserves
Levers for recovery:
Key Take-Aways
PROPERTY OF GROUPE RENAULT
8INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
1,931 1,071 346 218 206 90 1,257 624 297 151 114 71 2019 2020 2019 2020 2019 2020 2019 2020 2019 2020 2019 2020
Groupe Renault’s Sales H1 2020 vs H1 2019
Thousand units (PC+LCV)
World Market Share: International TIV* GROUP
4.0%
Global Europe Eurasia Africa-ME-India- Pacific Americas China
* PC+LCV including USA & Canada
PROPERTY OF GROUPE RENAULT
9INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
H1 2020 Financial Results
In million euros
H1 2019 H1 2020 Change
Group Revenues 28,050 18,425
Operating profit 1,654
% of Group revenues 5.9%
Other operating income & expenses
EBIT 1,521
Net financial income & expenses
Associated companies
Current & deferred taxes
Net income 1,048
PROPERTY OF GROUPE RENAULT
10INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
H1 2020 Group Revenues
In million euros
H1 2019 H1 2020 Change
Global unit sales (units) 1,931,052 1,256,658
Group revenues 28,050 18,425
24,791 15,727
(1)
1,557 1,089
1,702 1,600
Q1 Q2
(1) AVTOVAZ net of eliminations (2) New segment as of 01/01/2020
(2)
PROPERTY OF GROUPE RENAULT
11INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
28,050 18,425
+ 9
Groupe Renault
Currency Volume Geographic mix Sales to partners Others
+0.2 pts +0.4 pts +2.0 pts
Price
H1 2019 H1 2020
Product mix
24,791
+496 +88 +57
(million euros)
Change H1 2020 vs H1 2019: -€9,064m
Automotive Excluding AVTOVAZ Revenues Variance Analysis
15,727
H1 2020 H1 2019
Automotive Avtovaz Mobility Services RCI
PROPERTY OF GROUPE RENAULT
12INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
In million euros
H1 2019 H1 2020 Change
Group operating profit
% of Group revenues
1,654
5.9%
% of segment revenues
981
4.0%
(1)
82
(2)
591 469
H1 2020 Operating Profit by Activity
(1) AVTOVAZ net of eliminations (2) New segment as of 01/01/2020
PROPERTY OF GROUPE RENAULT
13INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
Currency Volume & partners Mix / Net Enrichment G&A RCI Banque & others Monozukuri Raw materials AVTOVAZ(1)
1,654
+133
Change H1 2020 vs H1 2019 : -€2,857m
H1 2019 H1 2020
(million euros)
Group Operating Profit Variance Analysis
(1) AVTOVAZ net of eliminations
PROPERTY OF GROUPE RENAULT
14INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
+122 +50
+133 G&A Manufacturing & Logistics R&D Warranty Purchasing Monozukuri (million euros)
Change H1 2020 vs H1 2019: +€93m
Cost Reduction Analysis Excluding AVTOVAZ
PROPERTY OF GROUPE RENAULT
15INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
Currency Volume & partners Mix / Net Enrichment G&A RCI Banque & others Monozukuri Raw materials AVTOVAZ(1)
1,654
+133
Change H1 2020 vs H1 2019 : -€2,857m
H1 2019 H1 2020
(million euros)
Group Operating Profit Variance Analysis
(1) AVTOVAZ net of eliminations
PROPERTY OF GROUPE RENAULT
16INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
H1 2019 H1 2020
New financings (€bn) 10.9 7.7 Average performing assets (€bn) 46.7 48.1 Net banking income 4.35% 4.22% Cost of risk (customer & dealer)
Operating expenses
Pretax income 2.62% 1.98% Operating profit (€m) 591 469
(in percentage of average performing assets)
RCI Banque
PROPERTY OF GROUPE RENAULT
17INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
In million euros
H1 2019 H1 2020
Restructuring costs
Impairment of PP&E*, intangible assets and goodwill
Capital gain/loss on disposal of assets +3
Others
Total other operating income & expenses
Other Operating Income & Expenses
* Property, Plant and Equipment
PROPERTY OF GROUPE RENAULT
18INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
H1 2020 Financial Results
In million euros
H1 2019 H1 2020 Change
Group Revenues 28,050 18,425
Operating profit 1,654
% of Group revenues 5.9%
Other operating income & expenses
EBIT 1,521
Net financial income & expenses
Associated companies
Current & deferred taxes
Net income 1,048
PROPERTY OF GROUPE RENAULT
19INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
In million euros
H1 2019 H1 2020 Change
NISSAN
Others
Total associated companies
Associated Companies
Q1 Q2
PROPERTY OF GROUPE RENAULT
20INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
H1 2020 Financial Results
In million euros
H1 2019 H1 2020 Change
Group Revenues 28,050 18,425
Operating profit 1,654
% of Group revenues 5.9%
Other operating income & expenses
EBIT 1,521
Net financial income & expenses
Associated companies
Current & deferred taxes
Net income 1,048
PROPERTY OF GROUPE RENAULT
21INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
Net tangible & intangible investments
Capitalized R&D Net capex
Operational free cash flow Cash flow*
Change in WCR Dividends paid
Net Change
Dividends received from listed co. Financial investments & others
December 31, 2019: +€1,734m June 30, 2020:
(million euros)
Leased vehicles
Forex IFRS 16 impact AVTOVAZ FCF*
Automotive Net Financial Position
+22
+110
+77
Restructuring
* w/o restructuring
PROPERTY OF GROUPE RENAULT
22INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
660 588 622 656 630 603 599 660 547 236 285 182 300 218 290 157 270 189 424 303 440 356 412 313 442 390 358
JUN'18 SEP'18 DEC'18 MAR'19 JUN'19 SEP'19 DEC'19 MAR'20 JUN'20
(In thousand units)
New Vehicle Distribution Stock Excluding Avtovaz
Group Independent dealers Total
Number of days of sales (backward)
61 69 70 76 65 75 68 109 107
PROPERTY OF GROUPE RENAULT
23INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
2o22 Cost Reduction Project on Track
2020 perspective in line with cost reduction objective for the year (30%)
H1 2020
ENGINEERING SG&A PRODUCTION
€433m
1- Execution of the €2bn reduction plan does not rely on new Alliance projects or external factors like market growth 2- Includes production labor cost savings
PROPERTY OF GROUPE RENAULT
24INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
▪ E-TECH ▪ Pricing management ▪ Government incentives impact ▪ Pace of market recovery ▪ Content costs ▪ Covid-19 evolution H2 2020 Risks & Opportunities Risks Opportunities
PROPERTY OF GROUPE RENAULT
25INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020
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26INVESTOR RELATIONS – H1 2020 PRESENTATION JULY 30, 2020