French carmaker Renault posted an 8.2% fall in third-quarter revenues today in the first months of its turnaround attempt under new boss Luca de Meo, an improved performance compared with earlier in the year during coronavirus lockdowns.
The company said in a trading update it had taken market-share in Europe, helped in part by sales of vehicles like its electric Zoe.
Revenues in its automotive division had been dented by lower volumes, but benefited from a pricing effect - a key plank of De Meo's strategy as he tries to boost profitability by focusing on pricier models.
Renault, which posted a record net loss of over €7 billion in the first half of the year, has also embarked on cost cuts to try and jumpstart its recovery.
The carmaker was already struggling more than some rivals with falling sales before the coronavirus crisis hit, while trying to patch up a rocky relationship with its Japanese partner Nissan.
The group said overall revenues were €10.4 billion in the July to September period. The 8.2% year-on-year drop was compared with a 35% fall in Renault's revenue in the six months to June.
Renault also said it had drawn down €3 billion out of its €5 billion loan guaranteed by the French state, an aid measure put in place amid the pandemic.
The carmaker had liquidity reserves of €15.2 billion at the end of September, down €1.6 billion since the end of June due to debt repayments and working capital needs.
But it said it still expects its automotive division to produce positive free cash flow in the second half of 2020.
