Renault SA
F:RNL1
Renault SA
Renault SA, a cornerstone of French automotive prowess, has a storied journey that dates back to its founding in 1899. Headquartered in Boulogne-Billancourt, France, the company has navigated the shifting tides of the auto industry with remarkable resilience and innovation. Renault's operations are anchored in the design, manufacturing, and distribution of their broad array of vehicles, which includes cars, vans, and electric models. With a commitment to sustainable mobility, Renault has invested heavily in advancing electric vehicles, underscored by partnerships and collaborations that enhance its technological edge. This forward-thinking approach positions Renault as a formidable player not only in traditional markets but also in the fast-evolving landscape of electric and hybrid technology.
Renault draws revenue extensively from vehicle sales, both in domestic markets and internationally, through its well-established network of dealerships. The company also benefits from strategic alliances, notably the Renault-Nissan-Mitsubishi Alliance, amplifying its global reach and sharing technological and operational synergies with its partners. After-sales services such as parts, maintenance, and financial services, provided through its Renault Credit division, contribute a significant chunk to its revenue stream. As Renault continues to adapt and innovate, it maintains a focus on cost efficiency and operational excellence, aiming to balance growth with profitability in an industry characterized by rapid change and environmental considerations. Through its diverse revenue channels and a keen eye on future trends, Renault navigates the complex dynamics of the automotive sector, retaining its status as a stalwart of industrial and technological advancement.
Renault SA, a cornerstone of French automotive prowess, has a storied journey that dates back to its founding in 1899. Headquartered in Boulogne-Billancourt, France, the company has navigated the shifting tides of the auto industry with remarkable resilience and innovation. Renault's operations are anchored in the design, manufacturing, and distribution of their broad array of vehicles, which includes cars, vans, and electric models. With a commitment to sustainable mobility, Renault has invested heavily in advancing electric vehicles, underscored by partnerships and collaborations that enhance its technological edge. This forward-thinking approach positions Renault as a formidable player not only in traditional markets but also in the fast-evolving landscape of electric and hybrid technology.
Renault draws revenue extensively from vehicle sales, both in domestic markets and internationally, through its well-established network of dealerships. The company also benefits from strategic alliances, notably the Renault-Nissan-Mitsubishi Alliance, amplifying its global reach and sharing technological and operational synergies with its partners. After-sales services such as parts, maintenance, and financial services, provided through its Renault Credit division, contribute a significant chunk to its revenue stream. As Renault continues to adapt and innovate, it maintains a focus on cost efficiency and operational excellence, aiming to balance growth with profitability in an industry characterized by rapid change and environmental considerations. Through its diverse revenue channels and a keen eye on future trends, Renault navigates the complex dynamics of the automotive sector, retaining its status as a stalwart of industrial and technological advancement.
Strong 2025 Performance: Renault Group delivered on its July guidance with a 6.3% operating margin (€3.63B), €1.5B automotive free cash flow, and a record €7.4B automotive net cash position.
Revenue Growth: Group revenue grew 3% to €57.9B, with automotive revenue up 1.8% and Mobilize Financial Services up 13.2%.
Brand Momentum: All key brands—Renault, Dacia, and Alpine—delivered growth; Alpine achieved triple-digit growth, selling over 10,000 units for the first time.
EV & Hybrid Surge: Renault Group's EV sales grew 77% in Europe; hybrid sales up 35%. The EV mix reached 14% for the group.
Cost Savings: Achieved €400 cost of goods sold reduction per vehicle in 2025, supporting margin resilience despite commercial pressure and higher warranty costs.
2026 Guidance: Targeting around 5.5% operating margin and €1B automotive free cash flow for 2026, with a continued focus on cost reduction, product launches, and cautious capital allocation.
Midterm Ambitions: Aims for 5–7% operating margin and over €1.5B free cash flow per year on average, with steady mid-single-digit revenue growth and strict cost discipline.
Dividend Policy: Proposing €2.20 per share for 2025 and confirming a progressive, steadily increasing dividend approach de-linked from payout ratios.