Renault have submitted forecast busting 1st quarter sales results and have confirmed their aim for positive free cashflow (operating cash flow minus capital expenditures) for 2010 as a whole, whilst at the same time forewarning of a tough economic environment.
Carmakers whose sales have been buoyed through government scrappage incentive schemes are concerned about the impact on demand from buyers when the schemes finally come to an end.
The French car manufacturer confirmed a previous forecast which expected a 10 percent decrease in the European market as a whole in 2010.
Renault stated it was on the right track to satisfy its 2010 targets of positive free cash flow and a growth of market share. Its global market share was up .37 points in the first quarter.
Renault said revenue reached 9.07 billion euros in the first quarter, as opposed to 7.07 billion in the same period 2009, when the turmoil was raging.
First-quarter revenue had been anticipated to reach an average of 8.8 billion euros, as outlined by a Reuters opinion poll of 8 analysts.
Revenue from the car division amounted to 8.64 billion euros in the initial 3 months of the year, up 30.3 percent on a like-for-like basis.
News source: Reuters