Slide 1: 2023 Financial Results
2023 Financial Results FEBRUARY 15, 2024 1
Slide 2: Agenda
Agenda 2023 Highlights 2023 Financial Results Outlook Questions & Answers 2
Slide 3: 2023 Highlights
1 2023 Highlights Luca de Meo CEO Renault Group 3
Slide 4: Record operating margin & free cash flow
Record operating margin & free cash flow Operating margin Free cash flow Initial Guidance (released in February 2023) ≥ 6% ≥€ 2bn Actual Guidance (upgraded in June 2023) 7% - 8% ≥€ 2.5bn Achievements 7.9% € 3.0bn 4
Slide 5: Breaking records and strong improvement
Breaking records and strong improvement Operating margin Free cash flow In percentage of Group revenue In billion euros 7.9% 3.0 2.1 5.5% 0.9 2.8% -1.0% -4.8 2020 2021 2022 2023 2020 2021 2022 2023 (1) (1) (2) (1) (1) (2) (1) Adjusted to reflect the exit from Russia (2) After IFRS 17 restatement 5
Slide 6: A focused & agile organization
Addressing each value chain A focused & agile organization Power PC ICE & hybrid Alpine LCV EV & Software ICE & hybrid powertrains ICE & EV & HIGH-END FINANCING, CIRCULAR HYBRID SOFTWARE ENERGY & ECONOMY MOBILITY 6
Slide 7: A clear roadmap to unlock value
Performance & smart capital allocation A clear roadmap to unlock value Relentless Increased Horizontal Faster & Capital focus on costs supply chain & open more agile discipline & control ecosystem developments efficiency ~2years >30% Cost reduction Share investments Enhanced scrutiny: roadmap: Reduc
Slide 8: Renault Group has the flexibility
Whatever the pace, whatever the energy Renault Group has the flexibility EV & SOFTWARE ICE & HYBRID Ampere Power & HORSE A growth tech weapon with Cash-generating businesses vehicles already on the road Low emissions technologies Mobilize & The Future Is NEUTRAL Supporting the Group’s business model
Slide 9: The Alliance re-ignited: focused on operations
The Alliance re-ignited: focused on operations 9
Slide 10: 2023 Financial Results
2 2023 Financial Results Thierry Piéton CFO Renault Group 10
Slide 11: Group revenue
Group revenue In million euros 2022(1) 2023 Change Global unit sales (Kunits) 2,051 2,235 +9.0% Group revenue 46,328 52,376 +13.1% o/w Automotive 43,121 48,150 +11.7% o/w Mobility Services 35 45 +28.6% o/w Sales Financing (Mobilize Financial Services) 3,172 4,181 +31.8% (1) After IFRS 17 restatement
Slide 12: Automotive revenue
Automotive revenue Change 2023 vs. 2022 +11.7% +€5,029m +16.5% at constant rate Sales to Product Partners Others Mix Price 48,150 Geographic Mix Volume Currency 43,121 -4.8pts +4.0pts +1.7pts +7.4pts +1.0pt +2.1pts +0.3pts In € millions 2022 2023 12
Slide 13: Automotive revenue
Automotive revenue Change 2023 vs. 2022 +11.7% +€5,029m +16.5% at constant rate Sales to Product Partners Others Mix Price 48,150 Geographic Mix Volume Currency 43,121 +5.7pts -4.8pts +4.0pts +1.7pts +7.4pts +1.0pt +2.1pts +0.3pts In € millions 2022 2023 13
Slide 14: Renault Group sales
Renault Group sales Sales evolution by brand(1) 2,235 2,051 2022 2023 1,549 1,415 574 658 62 28 RENAULT GROUP RENAULT DACIA Others(2) In % Δ / 2022 +9.0% +9.4% +14.7% -54.2% (1) PC+LCV in thousand units (2) Others = Alpine, Renault Korea Motors, Mobilize 14
Slide 15: New vehicle distribution inventories
New vehicle distribution inventories 2.5 months orderbook(1) In thousand units 580 569 542 487 480 484 Total: below 427 421 500ku, as guided 409 375 340 336 336 348 340 Independent 304 307 316 dealers 263 245 231 237 177 273 173 224 226 184 167 159 140 160 123 117 109 Group 91 Mar'21 Jun'21 Sep'21 D
Slide 16: Automotive revenue
Automotive revenue Change 2023 vs. 2022 +11.7% +€5,029m +16.5% at constant rate Sales to Product Partners Others Mix Price 48,150 Geographic Mix Volume Currency 43,121 +8.4pts -4.8pts +4.0pts +1.7pts +7.4pts +1.0pt +2.1pts +0.3pts In € millions 2022 2023 16
Slide 17: Strict commercial policy focused on value
Strict commercial policy focused on value C & above segment(1) +26% 42% Pricing Product mix growthin 2023 of the mix High trims 60 +8.4pts ≥ % on new launches(2) vs 2022 Retail channel mix (3) 65% 2023 (1) Renault brand, passenger cars Europe – year-on-year growth (2) Renault Megane Electric, Renaul
Slide 18: Renault Megane E-TECH 100% Electric
State-of-the-art BEV to conquer new customers Renault Megane E-TECH 100% Electric #3 C-EV in Europe 47,000+ units sold 2.2 % BEV market share in Europe Figures as of 2023 Start of sales: June 2022 18
Slide 19: Renault Austral
C-segment conquest Renault Austral 86,000+ units sold 60% high trim versions 62% E-TECH Full Hybrid Figures as of 2023 Start of sales: November 2022 19
Slide 20: Renault Espace
D-segment conquest Renault Espace 80% commonality with Austral Highest contribution margin 100% E-TECH Hybrid engine Figures as of 2023 Start of sales: June 2023 20
Slide 21: New Renault Clio E-TECH Hybrid
Clio, story of a best-seller New Renault Clio # 3 in Europe # 1 in France E-TECH Hybrid Core engine Figures as of 2023 Start of sales: September 2023 21
Slide 22: Dacia Brand Uplift
Dacia Brand Uplift Strong results driven by new brand identity # 2 retail brand in Europe 2 models on the podium of retail sales in Europe 30 % EXTREME trim order mix New Dacia Duster Revealed with orders opening March 2024 Figures as of 2023 22
Slide 23: Alpine A110
Double-digit growth, once again Alpine A110 4,300+ units sold #1 Sports car in France 75 % of sales on top-of-the-range versions Figures as of 2023 Start of sales: April 2018 23
Slide 24: Automotive revenue
Automotive revenue Change 2023 vs. 2022 +11.7% +€5,029m +16.5% at constant rate Sales to Product Partners Others Mix Price 48,150 Geographic Mix Volume Currency 43,121 -4.8pts +4.0pts +1.7pts +7.4pts +1.0pt +2.1pts +0.3pts In € millions 2022 2023 24
Slide 25: Record operating margin
Record operating margin In million euros 2022(1) 2023 Change Group operating margin 2,570 4,117 +1,547 % of Group revenue 5.5% 7.9% +2.4pts o/w Automotive 1,402 3,051 +1,649 % of segment revenue 3.3% 6.3% +3.0pts o/w Mobility Services -30 -35 -5 o/w Sales Financing (Mobilize Financial Services) 1,19
Slide 26: Operating margin evolution: breaking records
Operating margin evolution: breaking records Group margin Auto margin 8.1% Horse impact 7.6% 6.3% 6.2% 6.5% 4.6% 4.2% 3.5% 2.6% 2.1% 2.1% 0.3% 0.7% -0.7% -7.3% -11.0% 2020 H1 (1) 2020 H2 (1) 2021 H1 (1) 2021 H2 (1) 2022 H1 (2) 2022 H2 (2) 2023 H1 2023 H2 (1) Adjusted to reflect the exit from Russia
Slide 27: Group operating margin variance analysis
Group operating margin variance analysis Raw Manufacturing Change 2023 Materials Purchasing Warranty & logistics & other vs 2022 +€1,547m Price / Mix / -216 -514 +2.4pts Enrichment -129 -771 Costs Horse impact Mobilize Others R&D SG&A Financial Services +4,117 Volume 7.9% Currency +2,570 5.5% In € m
Slide 28: Horse accounting impacts
Horse accounting impacts In million euros 2022(1) 2023 Group operating margin 2,570 4,117 % of Group revenue 5.5% 7.9% Horse cessation of amortization impact (IFRS 5) 87 482 Group operating margin excluding IFRS 5 Horse impact 2,483 3,635 % of Group revenue 5.4% 6.9% • No impact from Horse on free c
Slide 29: Sales Financing: Mobilize Financial Services
Sales Financing: Mobilize Financial Services 2022(1) 2023 Change New financings (€bn)(2) 18.0 21.0 +17.1% Average performing assets (€bn) 44.7 51.2 +14.4% Net banking income 4.51% 3.84% -0.67pt Cost of risk (customer & dealer) -0.43% -0.29% +0.14pt Operating expenses -1.39% -1.38% +0.01pt Pretax inc
Slide 30: Group consolidated income statement
Group consolidated income statement In million euros 2022(1) 2023 Change Group revenue 46,328 52,376 +13.1% Operating margin 2,570 4,117 +1,547 % of Group revenue 5.5% 7.9% +2.4pts Other operating income & expenses -379 -1,632 -1,253 EBIT 2,191 2,485 +294 Net financial income & expenses -486 -527 -4
Slide 31: ROCE reaching new heights with still room for improvement
ROCE reaching new heights with still room for improvement CAPITAL EFFICIENCY ROCE above 30% from 2025 28.5% >30% 12.6% 0.0% 2021 (1) 2022 2023 2025 (1) Adjusted to reflect the exit from Russia. Disclosed figure: 3.4% 31
Slide 32: Record free cash flow generation
Record free cash flow generation Tangible & intangible • Capex: -€1,608m Cash flow investments • Disposals: +€282m • Capitalized R&D: -€1,306m 5,485 • Leased vehicles: +€30m Change in WCR Restructuring Operational o/w €600m free cash MFS(1) dividend +637 -496 flow -2,602 3,024 In € millions (1) MFS:
Slide 33: Automotive net financial position
Automotive net financial position Change Dec. 2023vs. Dec. 2022 +€3,175m Forex IFRS 16 Net Financial Nissan shares impact & investments & disposal others Operational dividends free cash +764 flow +89 -702 +3,024 3,724 Incl. €200m from the sale of a 24% stake in Alpine Racing Ltd. In € millions 549 D
Slide 34: Debt and liquidity
Debt and liquidity Auto division liquidity reserves Credit ratings In billion euros Year-on-year evolution (2) 17.7 17.8 S&P Global BB+/Stable 16.7 16.8 from BB+/Negative 15.8 Moody’s Ba1/Stable from Ba2/Stable (in €bn) R&I A-/Stable from A-/Negative JCR A-/Stable (unchanged) (1) Dec. 2021 June 2022
Slide 35: Increased proposed dividend to €1.85 per share
Increased proposed dividend to €1.85 per share DIVIDEND POLICY PRIORITY: Progressive ramp-up to RETURN TO 35% payout ratio INVESTMENT on Group consolidated GRADE net income parent share Proposed dividend of €1.85 per share, 35% payable in cash 17.5% €0.25 per share 2023 2024 Mid-term (based on FY 20
Slide 36: Outlook
3 Outlook Luca de Meo CEO Renault Group 36
Slide 37: Playing offense… 10 launches in 2024
Playing offense… 10 launches in 2024 Scenic E-Tech Rafale Renault 5 E-Tech* Duster A290* Kardian Symbioz Spring Electric vehicle (100% electric exclusively Master D-SUV South Korea or as part of the powertrains proposed for Renault Master) (*) Prototypes - illustrative 10 new vehicles launches in 20
Slide 38: …the best defense: Cost reduction
…the best defense Cost reduction EV Industrial base Energy competitiveness transformation efficiency 40% cost reduction program Production cost reduction Consumption reduction to reach EV/ICE price parity by 2027 in the plants before competition(1) -30% on ICE & hybrid 2025 vs. 2021, per vehicle -50
Slide 39: 2024 financial outlook
2024 financial outlook Operating margin Free cash flow ≥ 7.5% ≥€ 2.5bn 39
Slide 40: Questions & Answers
Questions & Answers 40
Slide 41: Renault 5 E-Tech electric
Are you ready to love cars even more? Renault 5 E-Tech electric at Geneva International Motor Show 41
Slide 42: Annexes
5 Annexes 42
Slide 43: Renault Group sales – by region
Renault Group sales – by region Market and sales evolution by region(1) 2,235 2,051 2022 2023 1,566 1,321 282 314 283 267 165 88 Global Europe Eurasia Asia Pacific Latin America Africa & Middle East In % Car Market +13.8% +15.4% +8.1% +8.3% Δ / 2022 Renault Group +18.5% +11.5% -46.5% -5.6% (1) PC+LC
Slide 44: Other income & expenses
Other income & expenses In million euros 2022 2023 Change Restructuring costs -354 -389 -35 Impairment of PP&E(1), intangible assets and goodwill -257 -501 -244 Capital gain/loss on disposal of assets 202 -562 -764 Others 30 -180 -210 Total other operating income & expenses -379 -1,632 -1,253 (1) Pr
Slide 45: Associated companies
Associated companies In million euros 2022 2023 Change Nissan 526 797 +271 Others -103 83 +186 Total associated companies 423 880 +457 45
Slide 46: Debt redemption schedule
Debt redemption schedule In billion euros – as of December 31, 2023 Bond & Assimilated 2024 1.6 0.8 2.4 NEU CP 2025 2.4 2.4 2026 3.1 3.1 € 9.6bn 2027 1.1 1.1 2028 0.6 0.6 46
Slide 47: Disclaimer
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 i
Slide 48: Download Invest'R
Download Invest’R The app dedicated to Renault Group investors To download the free application, scan this QR code with your smartphone 48
Slide 49: 2023 Financial Results
2023 Financial Results FEBRUARY 15, 2024 49