Groupe Renault - 2020 Universal Registration Document

71 GROUPE RENAULT I UNIVERSAL REGISTRATION DOCUMENT 2020 01 EARNINGS REPORT – 2020 GROUPE RENAULT GROUPE RENAULT: A COMPANY THAT ACTS RESPONSIBLY CORPORATE GOVERNANCE FINANCIAL STATEMENTS RENAULT AND ITS SHAREHOLDERS ANNUAL GENERAL MEETING OF RENAULT ON APRIL 23, 2021 ADDITIONAL INFORMATION EARNINGS REPORT – 2020 1.3 In brief KEY FIGURES 2020 2019 Change Worldwide Group registrations (1) (million vehicles) 2.95 3.75 -21.3% Group revenues (€ million) 43,474 55,537 -12,063 Group operating profit (€ million) -337 2,662 -2,999 % revenues -0.8% 4.8% -5.6 pts Group operating income (€ million) -1,999 2,105 -4,104 Contribution from associated companies (€ million) -5,145 -190 -4,955 Of which Nissan (€ million) - 4,970 242 - 5,212 Net income (€ million) -8,046 19 -8,065 Net income, Group share (€ million) -8,008 -141 -7,867 Earnings per share (€) -29.51 -0.52 -28,99 Automotive operational free cash flow (2) (€ million) -4,551 153 -4,704 Automotive net financial position (€ million) -3,579 at 12/31/2020 +1,734 at 12/31/2019 -5,313 Sales Financing, average performing assets (€ billion) 46.9 47.4 -1.1% Group registrations include Jinbei, Huasong & Shineray registrations. (1) Automotive operational free cash flow: cash flows after interest and tax (excluding dividends received from publicly listed companies) minus tangible and intangible (2) investments net of disposals + /- change in the working capital requirement. Overview In a context of the COVID-19 pandemic, the 2020 Groupe Renault worldwide sales totaled 2,951,971 vehicles, down 21.3%. After a first half of 2020 in which the Group’s main markets were severely impacted by the pandemic and the associated containment measures, the second half of the year shows greater resilience: Group sales in Europe remained in line with the markets. On the European electric market, the Renault brand doubled its sales and confirmed its leadership with 116,196 electric vehicles sold. ZOE is the best-selling electric car with 114% growth at 100,815 units. Groupe Renault achieved its CAFE targets (1) (passenger cars and light commercial vehicles) in Europe. Group revenues reached €43,474 million (-21.7%). At constant exchange rates, the decrease would have been -18.2%. Automotive excluding AVTOVAZ revenues stood at €37,736 million, down -23.0%. The volume effect was -19.2 points. It stemmed primarily from the health crisis and, to a lesser extent, from our commercial policy favoring profit over volume. Sales to partners declined by -5.1 points, also impacted by the health crisis and the Nissan ROGUE production discontinuation. Forex impact was negative -2.8 points, and related to the devaluation of the Argentinean peso, Brazilian real and Turkish lira and to a lesser extent to the Russian rubble. Price effect, up 3.9 points, came from a more ambitious price policy and measures to mitigate devaluations. Product mix impacted for 1.1 points thanks to ZOE sales increase. Effect “others” weighed for -1 point, notably because of lower contribution from spare parts activity, largely impacted by the confinement measures in H1. The Group’s operating margin amounted to -€337 million and represented -0.8% of revenues (4.8% in 2019) thanks to a marked improvement in H2 (3.5% of revenues). Automotive excluding AVTOVAZ operating margin was down -€2,734 million to -€1,450 million, which represented -3.8% of revenues compared to +2.6% in 2019. In the second half, it was positive at €198 million (0.9% of revenues). The change can be explained by the following: volume effect had a negative impact of -€2,556 million, including P sales to partners; mix/price/enrichment effect was positive +€172 million despite P the enrichment of new products and the regulatory content; CAFE: Corporate Average Fuel Economy. These results should be consolidated and formalized by the European Commission in the coming (1) months.