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Renault Shares Tumble 17% After Guidance Cut
EUROPE, JUL 16 – Renault cut its 2025 operating margin forecast to 6.5% and free cash flow to €1-1.5 billion amid soft sales and strong competition from Chinese carmakers, shares fell 17%.
- Renault named Duncan Minto as interim CEO yesterday and announced a 17% plunge in share price following a lowered 2025 profit guidance in Paris today.
- The guidance cut occurred due to weaker-than-expected June sales volumes and a challenging European market amidst increasing competition from Chinese automakers.
- Renault lowered its full-year operating margin target to approximately 6.5%, revised down from a previous minimum of 7%, and reduced its free cash flow projection to between 1 billion and 1.5 billion euros, compared to an earlier estimate of 2 billion euros.
- UBS analyst Justinus Steinhorst called it a "shock profit warning," with Renault contributing 60% to the autos sector selloff and estimates cut by 10% amid volume misses and commercial pressures.
- The company plans to increase cost-cutting in the second half and expects some improvement alongside scheduled launches, but leadership clarity remains crucial amid ongoing market pressures.
31 Articles
31 Articles
Yet in better health than other manufacturers and despite very good electric vehicles released in the last two years, the French company expects a lower operating margin than expected in 2025. An announcement made on Luca De Meo's last day at the head of the box.
The French car manufacturer Renault warns against lower profits in 2025: On the one hand, a weak European market is burdening the company and a new boss is not in sight. The share collapses by 16 percent.
The French car manufacturer Renault’s actions have expired by 17% after the company reviewed the estimates for 2025 and announced the appointment of a new interim director, reports CNC and Financial...
The group reduced the operating margin forecast to 6.5% from a minimum of 7%. In Paris the shares collapse by 16%. Names for the house guide
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