Hyperdrive
Renault Seeks Margin Boost From Sweeping Overhaul Plan
- French carmaker hikes targets, to reinstate dividend next year
- Steps include teaming up with China’s Geely, IPO of EV Unit
By 2025, Renault is forecasting an operating margin above 8%.
Photographer: Nathan Laine/BloombergThis article is for subscribers only.
Renault SA plans plans to boost its profitability and reinstate its dividend as the French carmaker proceeds with a complex split of its electric-vehicle and combustion-engine businesses, backed by outside investors.
The manufacturer, whose mainstay is the highly competitive European market, is seeking an operating margin of more than 10% by 2030, up from more than 5% this year, Renault said Tuesday, ahead of the start of an investor day that comes as complex talks with partner Nissan Motor Co. continue. Dividend payments will resume next year as turnaround efforts take hold.