Renault's higher-value brands focus pays off in 2021
Reuters
Published Jan 17, 2022 07:42
Updated Jan 17, 2022 12:21
By Gilles Guillaume and Dominique Vidalon
PARIS (Reuters) -A solid performance by Renault (PA:RENA)'s higher-value brands helped soften an overall drop in annual worldwide group sales at the French carmaker, as its focus on more profitable models pays off.
Renault's worldwide group sales fell for the third year in a row in 2021, due notably to problems with the supply of chips used in vehicles.
Renault, whose Chief Executive Luca de Meo has moved from a strategy of chasing volume to creating value, said sales of passenger cars and light vehicles fell 4.5% to 2,696,401 units.
Sales of the Renault brand were down 5.3% although sales of the low-cost Dacia brand increased by 3.1%, Lada's sales progressed by 0.3% while sales of the Alpine sport model jumped 74%.ts last year. Renault's shares rose around 2%.
"The sales policy initiated in the third quarter of 2020, is leading to an increase in the share of sales in the most profitable channels," Renault said in a statement.
Renault brand commercial boss Fabrice Cambolive said he expected the Renault brand to increase in terms of net revenue per model in 2022.
Renault said that in its five main European countries - France, Germany, Spain, Italy and the United Kingdom - the share of sales to retail customers now represented 58%, up 6 points compared to 2019, before the start of the COVID-19 pandemic.
Get The App
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.