As European Car Market Slows, Renault 2011 Profit Remains Flat
France’s second largest car maker, Renault, announced that profit in 2011 did not increase due to European car sales falling for the fourth consecutive year and competition increasing.
The Paris-based car manufacturer’s profits matched the predictions of 20 analyst’s estimates after it was announced in a statement earlier today that earnings before interest, taxes and one-time items fell by 0.7% to a minor 1.09 billion.
The company forecast that the car market will contract around 3% to 4% in 2012, marking the fifth year in decline. Throughout the entire industry, car sales in Europe fell by approximately 1.4% in 2011 bringing the amount of cars sold, to around 13.6 million vehicles. Renault’s deliveries fell more than 8%.
Renault’s deliveries outside of Europe actually rose by 19% last year, which accounted for 43% of the company’s sales, compared with 37% in 2010.
Sales in Brazil jumped a whopping 21% in 2011, which then pushed the company’s market share up 0.9 percentage point, leaving them with a 5.7% market share in Brazil. Sales in Russia grew by an astonishing 60%, making the country Renaults 4th biggest market, as appose to its 9th biggest market in 2010. The French manufacturer is therefore likely to reach a target market share in of 8% in Brazil, a year before its set date of 2016.

So, for my first blog post on my website, I thought I should explain my passion in a little more detail, by writing a post about my favourite classic car, here is some history about the Mercedes-Benz 300 SL…