GROUPE RENAULT 2016 FINANCIAL RESULTS CONFERENCE

Transcription

1 GROUPE RENAULT 2016 FINANCIAL RESULTS CONFERENCE

2 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 in the Renault documentation registered within the French financial markets regulation authorities) and can lead to a difference between the exact figures and those given or deduced from said information and statements. Renault does not undertake to provide updates or revisions, should any new statements and information be available, should any new specific events occur or for any other reason. Renault makes no representation, declaration or warranty as regards the accuracy, sufficiency, adequacy, effectiveness and genuineness of any statements and information contained in this report. Further information on Renault can be found on Renault s web site ( in the section Finance / Regulated Information. 2

3 AGENDA FY 2016 FINANCIAL RESULTS CLOTILDE DELBOS EVP, Group Chief Financial Officer 2016 REVIEW AND 2017 OUTLOOK CARLOS GHOSN Chairman & Chief Executive Officer QUESTIONS & ANSWERS 3

4 01 FY 2016 FINANCIAL RESULTS CLOTILDE DELBOS EVP, Group Chief Financial Officer 4

5 GROUPE RENAULT UNIT REGISTRATIONS 2016 VS 2015 K units (PC+LCV) 3,183 2,809 1,805 1,614 INTERNATIONAL +15.3% GROUP GLOBAL +13.3% EUROPE +11.8% EURASIA +2.3% AFRICA-ME-INDIA +36.4% AMERICAS +0.1% ASIA-PACIFIC +34.5% TIV +4.6% +7.0% -6.3% -1.7% -4.1% +9.3% 5

6 FY 2016 GROUP REVENUES CHANGE Global unit sales (units) * 3,182,625 2,808, % Group revenues 51,243 45, % of which: Automotive 48,995 43, % (million euros) Sales financing 2,248 2, % *2015 restated: since January 1, 2016, volumes for China are reported based on retail sales versus wholesales previously. H1 H % +12.7% 6

7 AUTOMOTIVE REVENUES VARIANCE ANALYSIS CHANGE 2016 vs 2015: + 5,887m Volume +3,816 Geographic mix +68 Product mix +312 Price +1,691 Sales to partners +1,099 Currency -1,686 Others ,995 43, pts +0.2 pts +0.7 pts +3.9 pts +2.5 pts -3.9 pts +1.4 pts +13.7% FY 2015 FY 2016 (million euros) 7

8 OPERATING PROFIT BY ACTIVITY * CHANGE AUTOMOTIVE 2,386 1, % Automotive revenues 4.9% 3.6% +1.3 pts SALES FINANCING GROUP OPERATING PROFIT 3,282 2, % Group revenues 6.4% 5.2% +1.2 pts (million euros) * restated IAS 12 H1 H2 4.7% 5.1% 8

9 GROUP OPERATING PROFIT VARIANCE ANALYSIS CHANGE 2016 vs 2015: + 907m Monozukuri +184 G&A -112 Raw materials +331 Mix / Net Enrichment +115 Volume & partners +1,036 RCI Banque & other activities +55 Currency ,375 COST REDUCTION + 72m GROWTH + 1,091m 3,282 FY 2015* FY 2016 (million euros) * Restated IAS12 9

10 COST REDUCTION ANALYSIS CHANGE 2016 vs 2015: + 72m Monozukuri Purchasing (million euros) Warranty R&D Manufacturing & Logistics G&A 10

11 GROUP OPERATING PROFIT VARIANCE ANALYSIS CHANGE 2016 vs 2015: + 907m Monozukuri +184 G&A -112 Raw materials +331 Mix / Net Enrichment +115 Volume & partners +1,036 RCI Banque & other activities +55 Currency ,375 COST REDUCTION + 72m GROWTH + 1,091m 3,282 FY 2015* FY 2016 (million euros) * Restated IAS12 11

12 OTHER OPERATING INCOME & EXPENSES Restructuring costs Impairment of assets Profit / loss on asset sales AVTOVAZ first full consolidation impact Others Total other operating income & expenses (million euros) 12

13 FY 2016 FINANCIAL RESULTS CHANGE Revenues 51,243 45, % Operating profit * 3,282 2, in % of revenues 6.4% 5.2% +1.2pts Other operating income & expenses EBIT 3,283 2,176 +1,107 Net financial income & expenses Associated companies ** 1,638 1, Current & deferred taxes * -1, Net income ** (million euros) in % of revenues * 2015 restated IAS 12 ** 2015 restated for AVTOVAZ 3 month difference 3, % 2, % pts 13

14 ASSOCIATED COMPANIES CHANGE NISSAN 1,741 1, AVTOVAZ * Others Total associated companies 1,638 1, (million euros) * 2015 restated 14

15 FY 2016 FINANCIAL RESULTS CHANGE Revenues 51,243 45, % Operating profit * 3,282 2, in % of revenues 6.4% 5.2% +1.2pts Other operating income & expenses EBIT 3,283 2,176 +1,107 Net financial income & expenses Associated companies ** 1,638 1, Current & deferred taxes * -1, Net income ** (million euros) in % of revenues * 2015 restated IAS 12 ** 2015 restated for AVTOVAZ 3 month difference 3, % 2, % pts 15

16 AUTOMOTIVE NET FINANCIAL POSITION (million euros) AUTO EXCL.VAZ AUTO INCL.VAZ Cash flow Change in WCR +356 Net tangible & intangible investments -3,611 DEC 31, ,661 N/A DEC 31, ,925 2,720 Net capex -2,144 4,362 Capitalized R&D -903 Leased Vehicles -564 Operational free cash flow Dividends received from listed co. Dividends paid Share Buy-back Nissan +1,119 Financial investments & others -940 Net Change Auto Excl.VAZ 1,107 1,264 16

17 NEW VEHICLE DISTRIBUTION STOCK* EXCLUDING AVTOVAZ (IN K UNITS) TOTAL INDEPENDENT DEALERS GROUP DEC'14 MAR'15 JUN'15 SEP'15 DEC'15 MAR'16 JUN'16 SEP'16 DEC' Number of days of sales (previous period) * 2014 & 2015 restated 17

18 AUTOMOTIVE DIVISION LIQUIDITY EXCLUDING AVTOVAZ DECEMBER 2015 DECEMBER 2016 LIQUIDITY RESERVES LIQUIDITY RESERVES Cash 11.6bn Cash 11.8bn Available credit lines 3.3bn Available credit lines 3.3bn TOTAL 14.9bn TOTAL 15.1bn 18

19 RCI BANQUE New financings ( bn) Average performing assets ( bn) Net banking income 4.41% 4.75% Cost of risk (customer & dealer) -0.31% -0.33% Operating expenses* -1.39% -1.47% Pretax income* 2.74% 2.97% Operating profit ( m)* (in percentage of average performing assets) * 2015 restated IAS12 19

20 RCI BANQUE RETAIL DEPOSIT ACTIVITY End 2016 End 2015 DEPOSITS (billion euros) o/w GERMANY o/w UNITED KINGDOM o/w FRANCE o/w AUSTRIA

21 REVIEW & 2017 OUTLOOK CARLOS GHOSN Chairman - Chief Executive Officer 21

22 2016 FINANCIAL RESULTS GROUPE RENAULT RESULTS WRAP-UP DRIVE THE CHANGE UPDATE 2017 OUTLOOK FUTURE TRENDS 22

23 2016 OBJECTIVES MET & RECORD RESULTS REVENUES 2016 > 2015* * at constant exchange rates GROUP & AUTOMOTIVE OP. MARGIN 2016 > 2015 AUTOMOTIVE OPERATIONAL FREE CASH FLOW > 0 23

24 2016 ACHIEVEMENTS PRODUCT LAUNCHES 1. MEGANE 2. TALISMAN SW 3. MEGANE ESTATE 4. SCENIC 5. MEGANE SEDAN 6. GRAND SCENIC 7. KADJAR 8. KOLEOS COMPLETE RENEWAL WITH C & D SEGMENT PRODUCT OFFENSIVE IN CHINA WITH LOCAL PRODUCTION 9. KAPTUR 10. ALASKAN OTHER INTERNATIONAL LAUNCHES 24

25 2016 ACHIEVEMENTS CONSOLIDATION OF AVTOVAZ SUCCESSFUL RECAPITALIZATION NEW RECOVERY PLAN OPERATIONAL PROFITABILITY EXPECTED BY

26 DRIVE THE CHANGE UPDATE GROWTH TARGET OVER ACHIEVED PROFITABILITY TARGET OVER ACHIEVED POSITIVE FCF EVERY YEAR Group revenues % Automotive COP Free cash flow Group COP 4.9% 1,084 1,083 1,107 1, % 2.2% 3.9% %

27 MORE DIVERSIFIED PRODUCT MIX NEW PRODUCTS Pioneer & leader in E.V Twizy Zoe Kangoo ZE Full cross-over line-up for all our markets Kwid Captur Kadjar Koleos (+QM6) Enlarged LCV range and Pick-ups Dokker Oroch Alaskan PRODUCTS RENEWAL Complete renewal of C&D segment Megane 4 Scenic 4 Talisman (+SM6) Espace 5 Reinforced leadership in B segment Clio 4 Captur 27

28 BETTER BALANCED REGIONAL MIX EUROPE SPAIN ITALY UK GERMANY FRANCE EURASIA TURKEY ASIA PACIFIC S. KOREA AMERICAS BRAZIL 2010 : 8 countries > 100,000 units sold 28

29 BETTER BALANCED REGIONAL MIX EURASIA EUROPE SPAIN ITALY UK GERMANY FRANCE TURKEY RUSSIA AMERICAS BRAZIL AMI INDIA IRAN ASIA PACIFIC S. KOREA 2010 : 8 countries > 100,000 units sold 2016 : 11 countries > 100,000 units sold 29

30 SALES TO PARTNERS 40% contribution to growth of revenues

31 SCALE EFFECTS CMF C-D SUV PLATFORM MODULAR APPROACH 2/3 of value of upcoming vehicles from standardized modules KADJAR KOLEOS <10% 60% QASHQAI XTRAIL 2010 >

32 COMPETITIVENESS AGREEMENT AGREEMENT 500m investment 3600 recruitments 220m in training 32

33 COST REDUCTIONS Cost reductions Raw material Enrichment Net Volume FOREX 1, % > 3 billion 3, % (million euros) CUMULATED 33

34 PRODUCT ENRICHMENT RANGE BEFORE 2010 RANGE EXTENDED AUTONOMY 34

35 2017 OPPORTUNITIES AND RISKS OPPORTUNITIES RISKS Full year impact of new products Alliance synergies Emerging markets recovery (Brazil, Russia) & ramp-up (China, India) Raw materials Brexit impact Trade agreements 35

36 2017 TIV OUTLOOK EUROPE +2% FRANCE +2% RUSSIA stable GLOBAL TIV * + 1.5% to + 2% INDIA +8% CHINA +5% * PC+LCV INCLUDING USA & CANADA BRAZIL BRAZIL stable -6% 36

37 2017 OUTLOOK INCLUDING AVTOVAZ, THE GROUP IS AIMING TO : Increase group revenues, beyond the impact of AVTOVAZ (at constant exchange rates)* Increase group operating profit in euros* Generate a positive Automotive operational free cash flow * compared with 2016 Groupe Renault published results 37

38 BEYOND 2017 PREPARING FOR THE FUTURE ELECTRIC AUTONOMOUS CONNECTED 38

39 OUTLOOK 2017 AND BEYOND DRIVE THE CHANGE NEXT 2017 MID-TERM PLAN

40 03 QUESTIONS & ANSWERS 40

41 41