Numbers down for Renault and Volvo in the first quarter. The French automotive group closes the period January-March 2022 with revenues of 9,7 billion euros, down 2,7% year-on-year and 0,7% at constant scope and exchange rates. Deliveries, on the other hand, decreased by 17,1%, to 552 units, weighed down by the semiconductor crisis and the conflict in Ukraine.
The decline at the reported level is mainly related to the 23,1% reduction in the Russian Avtovaz unit. Renault Russia automobile sales decreased by 2,1%. Excluding the businesses of Avtovaz and Renault Russia, group revenues amounted to €8,9 billion, down 1,1%.
The group has confirmed his prospects, which were reviewed in late March to consider the suspension of operations at the production plant in Moscow and the assessment of available options regarding the stake in Avtovaz. Therefore, Reanult still expects a group operating margin of around 3% in 2022 and positive automotive operating free cash flow.
Volvo: net profit down
For VolvoFirst-quarter profits declined on higher materials and transportation costs and a previously announced provision related to the Russian operations. The group also announced that production disruptions due to component shortages and supply chain difficulties will continue.
In detail, Volvo has recorded a net profit of SEK 7,03 billion ($743,1 million), versus $8,84 billion in January-March 2021, lower than a FactSet consensus forecast that had set the bar at SEK 7,92 billion.
Le sales, however, rose to SEK 105,32 billion, beating a forecast of SEK 98,22 billion. The truck deliveries they were up 6% in the quarter, while order intake was down 47%, the company said.
“With transport activity in most regions at good levels, the demand for trucks is high,” said managing director Martin Lundstedt.
For the 2022Volvo confirmed its truck market forecasts for Europe, North America and Brazil. The group lowered its forecast for China's heavy and medium truck market to one million from 1,1 million and raised its forecast for India's heavy and medium truck market from 300 to 325.
