Renault lost 1.666 million in the first half after leaving Russia

Renault loss 1,666 million euros in the first half of the year due to the accounting impact of the exit from its operations in RussiaIt required a negative charge of 2.323 million. Departure from Russia was considered an exceptional non-cash charge for abandoned activities, and without it the company would have made a net profit of 657 million euros (199 million in the same period of 2021), as detailed in a statement this Friday.

The French auto group recorded a turnover of 21,121 million euros between January and June (0.3% more than a year ago) and above all an operating profit of 988 million euros (4.7% of the turnover); that’s more than double the previous year. The company also significantly improved its operating cash flow, reaching € 956 million compared to € 514 million a year ago.

Based on these results, Renault has updated its forecasts upwards for the full 2022 with an operating margin of more than 5% and operating cash flow of more than 1,500 million euros.

Renault ceased operations in Russia. international sanctions Invasion of Ukraine, although there is an option to go back. In that country, he controlled Avtovaz, the main national manufacturer of the Lada brand. Russia was the group’s second national market, after only France.

“Despite all adversity due to the end of activity in Russia, the semiconductor crisis and rising costs, the group continues to improve its operating results and is starting to benefit from the success of new launches,” he said. CEO, Luca de Meo.

Source: Informacion

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