Renault sales growth falters on Asia setbacks
Renault said revenue rose by a smaller-than-expected 0.2% in the first quarter, as the French car-maker suffered sales setbacks in India, China and South Korea, compounded by the effects of a stronger euro.
Khodrocar - Revenue advanced to $15.93 billion, Renault said on Friday, well short of the $13.77 billion expected by analysts, according to an Inquiry Financial poll.
Sales in key growth markets showed a "mixed situation" in the quarter, added the French company.
While Europe and Russia showed solid gains, a spokeswoman said, sales tumbled almost one-third in the price-sensitive Indian market, where the Kwid mini-SUV’s early success has given way to rapid decline and the larger Captur subcompact is struggling to make inroads.
China registrations fell 16.8% amid a continuing slump in sales for the recently consolidated Jinbei and Huasong commercial vehicle brands, acquired through a joint venture with Chinese carmaker Brilliance.
Sales by South Korean unit Renault Samsung Motors fell more than a quarter.
The stronger euro cut automotive revenue by 4.8% or €575 million, weakening the value of overseas sales. The overall increase in sales volume contributed €275 million to revenue growth, and pricing improvements another €140 million.
Renault reiterated its 2018 market outlook and earnings guidance.
Source: businesslive.co.za
Sales in key growth markets showed a "mixed situation" in the quarter, added the French company.
While Europe and Russia showed solid gains, a spokeswoman said, sales tumbled almost one-third in the price-sensitive Indian market, where the Kwid mini-SUV’s early success has given way to rapid decline and the larger Captur subcompact is struggling to make inroads.
China registrations fell 16.8% amid a continuing slump in sales for the recently consolidated Jinbei and Huasong commercial vehicle brands, acquired through a joint venture with Chinese carmaker Brilliance.
Sales by South Korean unit Renault Samsung Motors fell more than a quarter.
The stronger euro cut automotive revenue by 4.8% or €575 million, weakening the value of overseas sales. The overall increase in sales volume contributed €275 million to revenue growth, and pricing improvements another €140 million.
Renault reiterated its 2018 market outlook and earnings guidance.
Source: businesslive.co.za
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