P1racenews AI automatic summary:
A surprise resignation has been followed by further bad news for Renault in a turbulent period for the French manufacturer.
Renault issued a major financial warning following the departure of CEO Luca de Meo, leading to a significant drop in shares of the French manufacturer.
de Meo’s resignation in June, after five years as CEO, prompted the appointment of Duncan Minto as interim CEO, who is currently the chief financial officer of Renault.
The company’s free cash flow (FCF) was reported at just €47 million, which fell far short of analyst projections of €645 million according to Reuters.
Following the profit warning, Renault shares (RENA.PA) plummeted by 18% to 33.8 euros per share by July 17th, showing a decline from the previous value of 40.79 euros on July 10th.
Renault cited lower-than-expected car sales for the financial setback, despite being shielded from the tariffs by US President Donald Trump, highlighting sluggish performance.
Renault holds ownership of the Alpine F1 team, having rebranded its works team to Alpine for the 2021 season to promote its sports car brand.
Plans for Alpine include a significant overhaul in 2026, with the decision by de Meo to discontinue power unit manufacturing at Viry for that year, transitioning the team from works to customer status with Mercedes set to provide power units to the Enstone squad.
