Slide 1: 2024 H1 Results
2024 H1 Results JULY 25, 2024 1
Slide 2: Agenda
Agenda 2024 H1 Highlights & Strategy 2024 H1 Financial Results Outlook Questions & Answers 5 Appendix 2
Slide 3: 2024 H1 Highlights & Strategy
1 2024 H1 Highlights & Strategy Luca de Meo CEO Renault Group 3
Slide 4: Strong execution with new record in profitability
Strong execution with new record in profitability Operating margin Free cash flow Automotive net financial position 8.1% € 1.3bn € 4.9bn 4
Slide 5: Cost reduction, strict commercial policy & fresh line-up
Cost reduction, strict commercial policy & fresh line-up EV PC ICE/HYBRID PC ICE/HYBRID PC Cash fixed costs reduction for Europe for Europe for International benefits >90% plant utilization rate RENAULT SCENIC E-TECH RENAULT RAFALE RENAULT KARDIAN Strict commercial policy RENAULT DUSTER RENAULT 5 E-
Slide 6: Transforming Renault Group into the most progressive European OEM
BUT TRADITIONAL RECIPES ARE NOT ENOUGH TRANSFORMING RENAULT GROUP INTO THE MOST PROGRESSIVE EUROPEAN OEM 6
Slide 7: Flexibility is key in a very volatile environment
Flexibility is key in a very volatile environment EV & SOFTWARE ICE & HYBRID Growth tech Highly cash-generating weapon businesses Ampere democratizing Power with EV & software in Europe PC + LCV 7
Slide 8: HORSE Powertrain: a bold move to lead the transition
HORSE Powertrain: a bold move to lead the transition with ICE/Hybrid solutions Combining technologies and know-how to achieve a successful decarbonization of the automotive industry 45% based on 45% € 7.4bn enterprise value 10% 8
Slide 9: Partnerships fuel our Revolution
Partnerships fuel our Revolution horizontal and open ecosystem 20+ strategic partnerships Accelerate Optimize Access businesses Reduce Capture growth innovation costs & capital with margin & share risk opportunities & time to market requirements > traditional auto 28.5% ROCE in 2023 9
Slide 10: Strengthen our value chain
Strengthen our value chain from buying parts to structure value chain Enhance Foster Improve Develop parts value chain strong & development in-house when control & innovative lead time it makes sense scrutiny partnerships & costs GO FASTER, BE STRONGER 10
Slide 11: A Renault Group program to optimize key processes
A Renault Group program to optimize key processes Development time …including diversity reduction… compression From only 3 -40% 1,000 parts years in -30% development 2 phase in industrial phase years to c.750 parts Supporting entry ticket reduction by -30% Development time measured from Concept Free
Slide 12: Make Renault Group the most AI-advanced OEM
Make Renault Group the most AI-advanced OEM Digital & AI-enabled 1 data lake with the creation of digital twins 6 digital platforms across all the organization Conception Manufacturing Support Sales Customer and R&D and Supply Chain functions & Marketing experience 12
Slide 13: AI programs across the entire lifecycle to boost the company
AI programs across the entire lifecycle to boost the company Some actual use cases Conception Manufacturing Support Sales Customer and R&D and Supply Chain functions & Marketing experience AI to automatically Intensive data usage Actionable Call centers agents reno, AI-powered generate code and like
Slide 14: 90x faster time-to-market acceleration for aerodynamics
Time-to-market acceleration for aerodynamics AI game-changing project use case Data Artificial intelligence Results Previous vehicles Dataset Style uploaded AI-based simulations training for analysis simulation Loop 90x faster Significant efficiency gains to reduce costs Multiple loops every day 2 w
Slide 15: 2024 H1 Financial Results
2 2024 H1 Financial Results Thierry Piéton CFO Renault Group 15
Slide 16: 2024 H1 Group revenue
2024 H1 Group revenue Change at In million euros 2023 H1 2024 H1 Change constant FX Global unit sales (Kunits) 1,133 1,155 +1.9% Group revenue 26,849 26,958 +0.4% +3.7% o/w Automotive 24,850 24,372 -1.9% +1.2% o/w Mobility Services 21 31 +47.6% +46.8% o/w Sales Financing (Mobilize Financial Services
Slide 17: Revenue for Automotive
Revenue for Automotive Change 2024 H1 vs. 2023 H1 -1.9% +1.2% at constant FX Currency Geographic Other Product mix Mix Volume Sales to Price Partners 24,850 24,372 -3.1pts -4.7pts +0.2pts +1.8pts +1.0pts +1.1pts +1.8pts In € million 2023 H1 2024 H1 17
Slide 18: Revenue for Automotive
Revenue for Automotive Change 2024 H1 vs. 2023 H1 -1.9% +1.2% at constant FX Currency Geographic Other Product mix Mix Volume Sales to Price Partners 24,850 24,372 -3.1pts -4.7pts +0.2pts +1.8pts +1.0pts +1.1pts +1.8pts In € million 2023 H1 2024 H1 18
Slide 19: Renault Group sales
Renault Group sales Sales evolution by brand(1) 1,133 1,155 2023 H1 2024 H1 772 787 345 358 1.8 2.7 RENAULT GROUP RENAULT DACIA ALPINE In % Δ / 2023 H1 +1.9% +2.0% +3.8% +47.2% (1) PC+LCV in thousand units. Renault Group data comprises other brands such as Renault Korea Motors, Mobilize and Eveasy (
Slide 20: New vehicle distribution inventories
New vehicle distribution inventories 2.6 months orderbook(1) In thousand units 580 569 542 530 480 484 500 Total 409 +69ku 375 -6ku 369 340 Independent 307 316 302 dealers ∆ -75ku 273 Group 160 226 228 140 131 109 Dec'22 Mar'23 Jun'23 Sep'23 Dec'23 Mar'24 Jun'24 (1) Forward sales, in Europe, as of J
Slide 21: Revenue for Automotive
Revenue for Automotive Change 2024 H1 vs. 2023 H1 -1.9% +1.2% at constant FX Currency Geographic Other Product mix Mix Volume Sales to Price Partners 24,850 24,372 -3.1pts -4.7pts +0.2pts +1.8pts +1.0pts +1.1pts +1.8pts In € million 2023 H1 2024 H1 21
Slide 22: Revenue for Automotive
Revenue for Automotive Change 2024 H1 vs. 2023 H1 -1.9% +1.2% at constant FX Currency Geographic Other Product mix Mix Volume Sales to Price Partners 24,850 24,372 +3.9pts -3.1pts -4.7pts +0.2pts +1.8pts +1.0pts +1.1pts +1.8pts In € million 2023 H1 2024 H1 22
Slide 23: Revenue for Automotive
Revenue for Automotive Change 2024 H1 vs. 2023 H1 -1.9% +1.2% at constant FX Currency Geographic Other Product mix Mix Volume Sales to Price Partners 24,850 24,372 -3.1pts -4.7pts +0.2pts +1.8pts +1.0pts +1.1pts +1.8pts In € million 2023 H1 2024 H1 23
Slide 24: Record H1 operating margin
Record H1 operating margin In million euros 2023 H1 2024 H1 Change Group operating margin 2,040 2,175 +135 % of Group revenue 7.6% 8.1% +0.5pts o/w Automotive 1,541 1,600 +59 % of segment revenue 6.2% 6.6% +0.4pts o/w Mobility Services -19 -18 +1 o/w Sales Financing (Mobilize Financial Services) 518
Slide 25: Operating margin evolution
Operating margin evolution Group margin Auto margin 8.1% 8.1% Horse impact 7.6% 6.3% 6.2% 6.5% 6.6% 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 2024 H1 (1) Adjusted to reflect the exit from Russia
Slide 26: Group operating margin variance analysis
Group operating margin variance analysis Change 2024 H1 Raw Purchasing Warranty Manufacturing Materials & logistics vs 2023 H1 & other +€135m +165 -7 -13 +0.5pts +117 Mobilize Financial R&D Services Costs Horse Currency SG&A Others impact Volume Price / Mix / Enrichment 2,175 2,040 8.1% 7.6% In € mi
Slide 27: Mobilize Financial Services
Mobilize Financial Services 2023 H1 2024 H1 Change New financings (€bn)(1) 10.4 10.7 +2.5% Average performing assets (€bn) 49.9 54.9 +9.9% Net banking income 3.93% 3.94% +0.01pts Cost of risk (customer & dealer) -0.38% -0.41% -0.03pts Operating expenses -1.44% -1.34% +0.10pts Pretax income 1.97% 2.0
Slide 28: Group consolidated income statement
Group consolidated income statement In million euros 2023 H1 2024 H1 Change Group revenue 26,849 26,958 +0.4% Operating margin 2,040 2,175 +135 % of Group revenue 7.6% 8.1% +0.5pts Other operating income & expenses 56 -277 -333 of which capital loss on Nissan shares disposal - -440 -440 EBIT 2,096 1
Slide 29: Solid free cash flow generation
Solid free cash flow generation Tangible & intangible • Capex: -€925m Cash flow investments • Disposals: +€28m • Capitalized R&D: -€638m • Leased vehicles: +€29m 3,139 o/w €600m MFS(1) dividend Change in WCR Operational Restructuring -1,506 free cash -209 flow -167 1,257 In € millions (1) MFS: Mobil
Slide 30: Automotive net financial position
Automotive net financial position Change June 2024vs. Dec. 2023 +€1,136m Operational free cash Nissan shares Net Financial Forex IFRS 16 flow Horse disposal investments & impact & deconsolidation +1,257 dividends +358 others +420 -58 4,860 -841 3,724 In € millions Dec. 2023 June 2024 30
Slide 31: Evolution of Nissan's capital held by Renault Group
Evolution of Nissan’s capital held by Renault Group 1,831.8m shares 211m 1,620.8m 43.40% shares 99.1m 1,521.7m shares shares shares 40.42% 38.92% 1,198.7m shares 28.40% Bought at ¥568.5 and cancelled by Nissan 987.7m shares Bought at ¥593.4 and cancelled 888.6m shares c.€ 2.8bn cash potential(2) by
Slide 32: Debt and liquidity
Debt and liquidity Auto division liquidity reserves Credit ratings In billion euros Evolution vs. December 2023 17.7 17.8 17.6 16.8 S&P Global BB+/Stable (unchanged) Moody’s Ba1/Positive (in €bn) from Ba1/Stable R&I A-/Stable (unchanged) JCR A-/Stable (unchanged) Dec. 2022 June 2023 Dec. 2023 June 2
Slide 33: Outlook
Outlook Luca de Meo CEO Renault Group 33
Slide 34: Confirmed 2024 financial outlook
Confirmed 2024 financial outlook Operating margin Free cash flow ≥ 7.5% ≥€ 2.5bn 34
Slide 35: Fast execution, no time for rest
Fast execution, no time for rest Power PC ICE & hybrid Alpine LCV EV & Software ICE & hybrid powertrains ICE & EV & HIGH-END FINANCING, CIRCULAR HYBRID SOFTWARE ENERGY & ECONOMY MOBILITY 35
Slide 36: Questions & Answers
Questions Answers 36
Slide 37: Appendix
5 Appendix 37
Slide 38: Renault Group sales – by region
Renault Group sales – by region Market and sales evolution by region(1) 1,133 1,155 2023 H1 2024 H1 794 848 153 155 124 104 53 41 Global Europe (2) Eurasia Asia Pacific (3) Latin America Africa & Middle East In % Car Market +5.5% +6.1% +1.0% +5.6% Δ / 2023 H1 Renault Group +6.7% +0.9% -23.0% -16.5%
Slide 39: Other income & expenses
Other income & expenses In million euros 2023 H1 2024 H1 Change Restructuring costs -188 -123 +65 Impairment of PP&E(1), intangible assets and goodwill 1 -48 -49 Capital gain/loss on disposal of assets 227 -121 -348 Others 16 15 -1 Total other operating income & expenses 56 -277 -333 (1) Property, P
Slide 40: Associated companies
Associated companies In million euros 2023 H1 2024 H1 Change Nissan 582 264 -318 Others -16 -69 -53 Total associated companies 566 195 -371 40
Slide 41: Debt redemption schedule
Debt redemption schedule Renault S.A. – in billion euros – as of June 30, 2024 Bond & Assimilated 2024 0.8 0.7 1.5 NEU CP 2025 2.3 2.3 2026 3.0 3.0 € 8.5bn 2027 1.1 1.1 2028 0.6 0.6 41
Slide 42: 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 43: Download Invest'R: the app dedicated to Renault Group investors
Download Invest’R The app dedicated to Renault Group investors To download the free application, scan this QR code with your smartphone 43