Renault returns to profit in H1 2026 and reaffirms full-year margin outlook

Renault returned to profit in the first half of 2026 and reaffirmed its full-year outlook, with revenue rising 9.5% to 30.3 billion euros and net income reaching 0.7 billion euros as stronger sales of electrified vehicles and disciplined cost management helped offset mounting price pressure in Europe. The group reported a 5.2% operating margin and automobile free cash flow of 653 million euros, while its automotive net financial position stood at 6.6 billion euros. Group sales totaled 1,165,133 vehicles in the first half, down 0.4% from 1,169,644 a year earlier. The decline was driven by Dacia, whose sales fell 8.1% to 327,077 vehicles from 355,985, with Renault linking the drop to the increasing presence of Chinese brands in Europe. By contrast, Renault-badged vehicle sales rose 2.6% to 829,518, extending a fourth straight year of growth, including a 14% increase in Northern Europe and a 2.8% gain outside Europe to nearly 296,000 vehicles. Electrified models continued to support momentum. Renault said its electrified mix in Europe reached 52.0%, with pure electric vehicle sales up 47.6% and hybrids accounting for roughly one-third of group sales. The company maintained its 2026 targets for an operating margin of around 5.5% of revenue and automobile free cash flow of about 1.0 billion euros, even as competition intensifies in Europe’s entry-level segment.