Renault races to record profits and sales


-File Photo

PARIS: French auto giant Renault said Friday that it enjoyed a record year in 2017, with sales and net profit rising to new heights.

Net profit soared 50 percent to a record 5.1 billion euros ($6.4 billion).

Sales at the group, which includes the low-cost Dacia brand, rose by 14.7 percent to 58.8 billion euros, benefitting from the integration from the Russian brand Lada into its accounts.

“2017 was another record year for Groupe Renault..,” chief executive Carlos Ghosn said in a company statement.
“The commercial and financial results are the outcome of our strategy deployed over the past years and the efforts of all the group’s employees”.

Sales by volume rose by 8.5 percent to 3.76 million vehicles.

For 2018 the company is targeting maintaining its operating margin of more than 6 percent of revenue and increasing sales.

On Thursday, the company’s board backed giving Ghosn a new four-year term as chief executive.

The Brazilian-born Frenchman of Lebanese origin has led Renault since 2005, after having saved Renault’s alliance partner Nissan from near bankruptcy in 1999.

Ghosn earned the nickname Le Cost Killer for his aggressive restructuring, but under his stewardship the entire Renault-Nissan-Mitsubishi alliance took the mantle of top-selling carmaker last year with 10.6 million vehicles worldwide. —AFP