Renault Says Third-Quarter Revenue Rose 9.4% on European Marketby
Renault SA, Europe’s third-largest carmaker, said third-quarter revenue rose 9.4 percent as the market in its home region improved along with sales to its partners, such as the engines it sells to Daimler AG.
Revenue advanced to 9.34 billion euros ($10.2 billion) from 8.53 billion euros a year earlier, the Boulogne-Billancourt, France-based company said in a statement. This beat the 9.16 billion-euro average of seven analyst estimates compiled by Bloomberg. Renault confirmed its full-year targets for higher margins for the automotive division as well as the company as a whole.
Renault, which holds 43.4 percent of Japanese partner Nissan Motor Co., has been expanding overseas to reduce its reliance on Europe and is set to start production in China in 2016. As markets shrank in Brazil and Russia, the carmaker has sought growth from its low-cost product range and pushed to lower its operational costs.
The manufacturer and Nissan are reviewing the structure of their alliance after the French government increased its voting rights in Renault. Nissan, which owns a 15 percent stake in Renault and is more profitable, currently doesn’t have voting rights in its partner. Carlos Ghosn, who’s chief executive officer of both carmakers, said Wednesday that it’s vital the two companies preserve the 16-year collaboration.