French daily newspaper Le Figaro claimed to have some details of Renault’s new long-term plan, notably less ambitious than Commitment 2009 which was victim of the economic recession.
According to Le Figaro, the plan will be in two steps – 2011 to 2013, and 2013 to 2016. The plan calls for an operating profit margin of four to five per cent, driven by cost savings on its entry level cars like the Logan, Sandero and Duster, plus some help from Clean Cars.
Commitment 2009 called for a profit margin of six per cent.
The plan is due to be announced on February 10, 2011.
Renault lost €3 billion in 2009, compared with a profit of €600 million the previous year.
Nomura International didn’t think Le Figaro had access to all the details, which included sales targets of 2.6 to 3.0 million.
“We would see this as the first clues of the plan but we can’t imagine Le Figaro has had access to everything; we don’t think it is finalised yet. We continue to believe Renault will speak about cash flow and balance sheet in the plan. This has been the biggest focus over the past three years and we see no reason for that to change,” Nomura said in a report.
Neil Winton – December 15, 2010