Renault Group Appoints CFO Duncan Minto As Interim CEO

Earlier today, French automaker Renault named current CFO Duncan Minto as its new interim CEO.

French automaker Renault (Renault Group) named its new interim CEO earlier today. Stepping into said role, albeit temporarily, is current CFO Duncan Minto. Additionally, the French automaker says it will also step up its cost-cutting measures too.

In its press release, Renault says Minto will ensure the day-to-day management of the company alongside Jean-Dominique Senard, who will serve as Chairman of Renault s.a.s., the operating company of the Group, until a new permanent CEO is appointed.

The 50-year-old Briton has been a part of Renault since 1997 and, according to the automaker itself, has a solid experience in finance and a deep understanding of the issues at stake.

The new interim CEO appointment comes ahead of the automaker's earnings call scheduled for July 31.

Appointed as Renault Group CFO back in March this year, Minto also previously served as CFO of Renault-owned Alpine and Dacia brands in 2023 and 2022 respectively. He also acted as VP Finance, Group Control Analysis in 2017.

Regarding the search for a permanent successor to previous CEO Luca de Meo, Renault says the selection process for the new CEO is already well underway, overseen by the Governance and Remuneration Committee of the Board of Directors.

Interim CEO aside, Renault says its first half free cash flow would reportedly amount to just €47 million (approx. RM233.23 million). The amount comes after being hit by negative working capital requirement of around €900 million (approx. RM4.47 billion).

Ahead of its earning calls, Renault adjusted its full year operating margin from 7% to 6.5%, as well as as its free cash-flow target from €2 billion prior to about €1-1.5 billion. 

The automaker adds the amount noted stems from delayed billings and a decline of Europe’s passenger car and van markets. As a result, Renault now aims to achieve a full year operating margin of 6.5% instead of 7% as announced prior.

That latter fact also sees Renault reportedly adjusting its free cash-flow target from €2 billion prior to about €1-1.5 billion instead (approx. RM4.96-7.44 billion). The automaker further adds that June volumes stood lower than expected.

Cost-cutting actions and plans to ensure the group's cost competitiveness, as well as the working capital reversal, will be in focus during its July 31 earnings call.