Renault is growing again and thinks about an IPO for Ampere

The Renault Group is steadily recovering. For Q1 of 2023, turnover has risen by 30% to € 11,5 billion. The loss due to the withdrawal from Russia is not integrated into the figures, but Renault stays optimistic for the future. By the end of the year, it wants to go IPO with its electric division Ampere.

Renault’s sales have been boosted by selling vehicles at higher prices, e.g., the electric and hybrid Renaults and SUVs like Austral and Arkana. Renault’s low-cost daughter Dacia also performed very well last year and seems to continue in the same direction in 2023, with sales up 41% to nearly 150 000 units in Q1.

The Russian withdrawal, on the contrary, has cost Renault approximately € 2,3 billion until now, with future loss of income not included. Renault ceded its Avtovaz subsidiary for one symbolic Rouble after the Ukrainian war began but has the right to regain possession for another five years.


The Renault Group remains optimistic and confirms its encouraging financial forecasts for 2023. Not considering the Russian debacle, 2022 was already a good year for Renault, with a higher income drawn from fewer sales at higher prices.  Turnover rose by 11,4% to € 46,4 billion, while the operating margin almost doubled to 5,6% of total turnover (€ 2,6 billion). For 2023 Renault forecasts an operating margin of around 6% and an automotive cash flow turning around € 2 billion.

“Renault Group is off to a solid start in the year with a 30% increase in the first quarter revenue, supported by strong pricing and product mix effects. The Group pursues its commercial policy focused on value – by optimizing its pricing policy and commercial discounts, and focusing on the most profitable channels,” said Thierry Piéton, Chief Financial Officer of Renault Group.

“It also benefits from the first successes of its renewed line-up with Arkana, Megane E-TECH Electric, and Austral for the Renault brand and Dacia Jogger. The strong order book (3,3 months) at the end of March and all forthcoming launches will keep supporting the Group’s commercial activity,” he added.

Ampere going IPO

Renault Group has also selected investment banks to work on the planned initial public offering (IPO) of its Ampere electric-vehicle business, according to people familiar with the matter. The company has been aiming for a valuation of roughly € 10 billion for Ampere, with an IPO expected to launch in the fourth quarter, Bloomberg News has reported.

The listing would rank among Europe’s largest this year if it goes ahead. Deliberations are ongoing, and details of the potential offering, including the final bank lineup, could change.

“The Ampere carveout is ‘on track’ and should be completed in the second half of this year,” CFO Thierry Piéton commented on a conference call last Thursday. “Renault is still planning to hold an initial public offering of the business towards the end of this year at the earliest, he added.

“Obviously, we will look at market conditions,” he continued. “We are not under pressure from a funding perspective. Our intent is still to float this company because we believe strongly that we have a set of assets that are very unique and a business proposition that’s going to be very interesting for investors.”

For the moment, Ampere is focused on Megane Electric, but the model is the first of a range of six cars that will be launched between now and 2025. “The development of these vehicles is perfectly on track,” Piéton concluded.


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