ANNUAL REPORT LIFE 2018 – ON THE MOVE 2017 ON THE ROAD TO THE FUTURE 14 A WORLD OF MOBILITY 22 A SHARED PASSION 28 TOMORROW’S MOBILITY IS ALREADY IN MOTION. We are working to that end, not simply by passionately building safe, attractive and high- performance cars for motorists around the world, but also by creating a new world of services. Today, we are looking further ahead. With our Drive the Future strategic plan, and as part of the largest automotive Alliance in the world, we are freeing up all the potential of our talents to invent the future. GROUPE RENAULT 1 ARE YOU READY? Ready for new driving and in-car experiences. Ready for a more peaceful, connected and socially-mindful mobility. Your curiosity and expectations are what drive us. 2 Autonomous driving seems so futuristic. FUTURE P. 14 How will it work in real life? AUGUSTINE 29, Web project manager, Paris 3 People say the car is a mass-produced object. Yes, but I’m unique and so is MOBILITY P. 22 the weather in my country. Can this be taken into account? OLGA 32, florist, Moscow 4 I try to limit waste. I have a compost bin in my garden and I’m eating less PASSION P. 28 and less meat. So when will I be able to drive without polluting? THIERNO 40, public writer, Mumbai GROUPE RENAULT 5 MESSAGE FROM CARLOS GHOSN LIFE ON THE MOVE “SUSTAINABLE MOBILITY FOR ALL, TODAY AND TOMORROW” 6 Groupe Renault set a new record in 2017 with sales Our objective is to double Alliance synergies from of 3.76 million vehicles. All Regions increased both over €5 billion in 2016 to over €10 billion by 2022. volume and market share. The Alliance is now the By taking advantage of the technological resources number one carmaker worldwide in terms of sales of the Alliance, we are targeting 100% connected volumes. vehicles in our key markets, the launch of 15 autono- mous cars and a range of new mobility services THE FUTURE (including on-demand mobility and robo-vehicles). Our new six-year strategic plan, Drive the Future, will In 2017, we also launched a light commercial vehicles harness these record results to build profitable and business unit bringing together Renault, Nissan and sustainable growth. By the end of the plan, we aim Mitsubishi. Groupe Renault’s objective in this seg- to top €70 billion in revenue, increase our operating ment is to advance from European leader to world margin to over 7% – a 50% increase in value on 2016 leader by doubling our market coverage. Lastly, – and launch 21 new vehicles, including 3 concept in electric vehicles, the Alliance is the world leader, cars. We are planning €4.2 billion in Monozukuri having sold over 500,000 vehicles thus far. And we will savings over six years and €18 billion in research and continue to lead. Groupe Renault’s objective is to development investments, increased through our produce 8 all-electric vehicles, equivalent to 20% of belonging to the Alliance. The fundamentals are all our range, by the end of the Drive the Future plan. there: financial discipline, innovation and a diversified product and geographic mix. United through the PASSION objectives set out in Drive the Future, our focus is The success of the Drive the Change plan relied on sustainable mobility for all, today and tomorrow. the people at Renault. To meet the objectives of Drive the Future, we need the commitment and WORLD passion of each one of our employees. Numerous Our growth will be global, profitable and sustainable. challenges are in front of us, including quality. To that end, we are strengthening our presence in The priorities of Drive the Future also include attract- emerging markets. In Russia first of all, where we ing the best professionals, developing talent, and have maintained our investments despite the crisis. training staff in new business areas to prepare for AVTOVAZ, whose LADA brand leads the Russian mar- tomorrow’s mobility. Passion is our signature, and we ket, returned to operational profitability in 2017. are using it to develop sustainable mobility for every- Groupe Renault also claimed almost one third of the one. Together we will shape the mobility of the future market in 2017. In China, we are stepping up our devel- – electric, connected and autonomous – as we showed opment through new strategic joint ventures in the this year with our EZ-GO and SYMBIOZ concept cars. electric and light commercial vehicle segments. Brazil, Faithful to the pioneering spirit that has driven us for India and Iran also represent potential growth for us. 120 years, we are innovating life on the move. The Alliance will turbo-charge growth and perfor- mance for Groupe Renault. By 2022, 80% of Groupe Carlos Ghosn, Chairman and Chief Executive Officer Renault vehicles will be built on common Alliance platforms, generating significant cost savings. https://www.linkedin.com/in/carlosghosn GROUPE RENAULT 7 8 EXECUTIVE Carlos Ghosn Chairman and Chief Executive Officer COMMITTEE At February 1, 2018 Thierry Bolloré Mouna Sepehri Clotilde Delbos Chief Operating Officer Executive Vice-President, Chief Financial Officer Groupe Renault Office of the CEO Groupe Renault, Chairman of the Board of RCI Banque Jean-Christophe Kugler Marie-Françoise Damesin Thierry Koskas Executive Vice-President, Executive Vice-President, Executive Vice-President, Chairman of Europe Region Groupe Renault Human Resources Sales and Marketing Gaspar Gascon Bruno Ancelin José Vicente de Los Mozos Executive Vice-President, Executive Vice-President, Executive Vice-President, Engineering Product Planning and Programs Manufacturing and Supply Chain GROUPE RENAULT 9 Passion first The number one French brand worldwide, sold in 134 countries, Renault has been making its customers’ lives easier for 120 years. With its RENAULT SAMSUNG MOTORS sensual and warm design, leading Elegance and quality position in the European electric- Created in 2000, vehicle market, the brand ranks in and motorsport the top five carmakers commitment, the in South Korea with brand is driven by a range of seven passion in all its sedans and SUVs. projects. Highly reputed for its service quality, the brand was voted number one in customer satisfaction in sales and after-sales in 2017 for the fifteenth consecutive year. 1 GROUP 5 BRANDS HIGHLIGHTS OF 2017 10 https://group.renault.com/en/ our-company/our-brands Pleasure, simply Present in 44 countries in Europe and in the Mediterranean Basin, Dacia has won over nearly 5 million customers since 2004 with simple, reliable and affordable vehicles. Through its emblematic Sandero and Duster models, it has successfully created a community Competitive DNA and a real sense Founded in 1955 of attachment. by motorsport enthusiast Jean Rédélé, the legendary brand made its comeback in 2017 with the Alpine A110 Première Édition. The graceful, compact and agile new model is faithful to the brand’s DNA and promise: driving pleasure. A new era A Groupe Renault brand since January 2017, LADA is the long-standing leader in the Russian market. It boasts the country’s largest dealership network with 300 points of sale. Armed with energetic design, a renewed range and a fast-transforming network, LADA is entering a new era. GROUPE RENAULT 11 +14.7% €58,770 REVENUES million at December 31, 2017 Americas Asia-Pacific 2.5% Africa, 6.9% Middle East, Europe India 39.8% 7.7% of which France 26.3% 75.2% MEN Eurasia 43.2% 181,344 of which AVTOVAZ 24.8% employees 27.4% WOMEN https://group.renault.com/en/finance-2/ WORKFORCE financial-information/key-figures at December 31, 2017 KEY FIGURES 12 Africa, Middle East, India Eurasia 532,391 Americas 732,786 389,419 Europe 3,761,634 1,911,169 Asia-Pacific of which France SALES 195,869 passenger cars + light commercial vehicles 673,852 BY REGION in 2017 France 673,852 Clio 26.44% 403,319 Russia 448,270 28.02% Germany 228,046 6.14% Italy Mégane 215,901 330,988 9.98% Spain 185,760 12.95% Turkey 178,646 Logan 18.68% 262,912 Brazil 167,147 7.69% Iran 162,079 Captur 10.81% 232,733 United Kingdom 115,262 3.96% Argentina Sandero 115,243 231,067 13.34% 10 MAIN TOP FIVE MARKETS SELLERS Groupe Renault sales at December 31, 2017 and market share in 2017 GROUPE RENAULT 13 ON THE ROAD TO THE FUTURE Combining personal and shared mobility, Renault is projecting itself into a peaceful urban life that is both agile and sustainable. What will the city of the future look like? Smarter, more connected and more collaborative, it will be home to clean, silent and shared vehicles. Personal vehicles will share the road and the city with new, use-based services such as carpooling, carsharing and robo-vehicles. Owning a car, maintaining it and driving it in the city will become a choice rather than a necessity. And that future is not so far away. Renault is preparing for it already by combining personal and shared mobility. With the SYMBIOZ concept car revealed at the 2017 14 ON THE ROAD TO THE FUTURE Combining personal and shared mobility, Renault is projecting itself into a peaceful urban life that is both agile and sustainable. Frankfurt Motor Show, the Group created a with Renault EZ-GO. A urban robo-vehicle, hatchback functioning as an extension of the EZ-GO is at ease at all times in the smart city home. SYMBIOZ is electric, autonomous and and embodies more perfectly than ever the connected. The exterior and interior design Renault brand’s philosophy and promise: Easy are informed by these technologies.