The French automaker Renault has said it has had a strong third quarter. The French took advantage of the attracting car market and increased sales of electric cars, reported the company in a trade report.
The turnover came to EUR 10.3 billion, 8% less than the same period a year ago. The order book, on the other hand, increased by 60% at the end of September. Stocks were one-fifth smaller than a year earlier.
Renault sold fewer cars and trucks in July, August and september. That number was 806,320 cars, a 6% drop compared to last year. The sales of the electric Model Zoe, on the other hand, increased by 157 percent to 27,000 cars. In Europe, the company, which includes Romanian Dacia and Russian Lada, sold 8% more cars in the third quarter.
“This quarter shows the change in our commercial policy,” says topman Luca de Meo about the figures. Renault is shifting the focus to profitability rather than volume, says the topman. The company is positive about the reserves. The Meo is expected to present a new strategy in January, where electric vehicles are reported to prevail.
Due to the pandemic, the company had to close factories and showrooms earlier this year. Renault also has problems with partner Nissan, which therefore paid less dividends to the major shareholder Renault. Earlier this year Renault announced plans to cut 14,600 jobs worldwide and reduce production capacity by one fifth. This should generate 2 billion in cost savings, of which 600 million already this year.
Peretz M. is an accomplished economist and financial journalist with a deep understanding of the global economy and financial markets. He is a regular contributor to EconomicInform, where he provides expert analysis and commentary on current economic trends and events. With a strong educational background in economics, Peretz has a talent for breaking down complex economic concepts for a general audience and is able to provide insightful perspectives on a wide range of economic issues.
