Renault SA
RNO,
+5.67%
posted a loss within the first half amid its withdrawal from Russia and the semiconductor shortage, however raised its targets for the total yr.
The French auto maker stated Friday that web loss for the interval got here in at 1.36 billion euros ($1.39 billion), in contrast with a revenue of EUR354 million a yr earlier. It unloaded its Russian enterprise, valued at EUR2.2 billion, amid the nation’s invasion of Ukraine.
Six-month income stood at EUR21.12 billion, down from EUR23.36 billion a yr earlier.
Earlier this month, the automotive maker reported that worldwide car gross sales declined by almost 30% for the interval following its withdrawal from the Russian market and it stated Friday that the affect of the semiconductor shortage this yr could be round 300,000 automobiles.
“Despite all the headwinds related to the stop of the activity in Russia, the semiconductor crisis and cost inflation, the group continues to improve its operating performance and is beginning to benefit from the success of new launches,” Chief Executive Luca de Meo stated.
Therefore, Renault raised its group targets for 2022. It expects an working margin of greater than 5%, up from a earlier forecast of round 3%, and automotive operational free cashflow of greater than EUR1.5 billion, in contrast with a previous “positive” cashflow goal.
Write to Kim Richters at kim.richters@wsj.com
