Nissan's financial impact on Renault Group's profit for the second quarter of 2024

In the world of international automotive business, the Renault Group has solidified its position as a major stakeholder in Nissan. This is evident in the company's second quarter 2024 net income, which received a boost of €38 million from Nissan's first quarter results for the fiscal year 2024/2025.

The financial contribution, however, was not influenced by the interest rate, as stated in the provided information.

As for the ownership structure, as of June 30, 2024, Renault Group held 38.92% of Nissan's capital. Of this holding, 16.19% is directly owned by Renault Group, while 22.73% is held in a French trust, with Renault Group being the beneficiary.

The alliance's strategic management, under the leadership of Renault's new CEO François Provost, likely held Nissan shares in June 2024. This reorganisation of leadership roles within the Renault-Nissan-Mitsubishi Alliance was not a recent development, as it was happening concurrently with the sales and buyback by Nissan.

It is important to note that the interest rate, as mentioned, is not related to the financial performance of Nissan or Renault Group. The average exchange rate for the period under review, between April 1 and June 30, 2024, was 167.8 yen per euro.

Prior to the announcement, Renault Group had sold 211 million Nissan shares on December 13, 2023. On March 28, 2024, the company sold an additional 99.1 million shares. The interest rate's context is not specified in the provided paragraph, and the paragraph does not provide any new information about the impact of these sales and the buyback by Nissan on Renault Group's holding position as of June 30, 2024.

The paragraph also does not contain any new information about the net income of Renault Group for the second quarter of 2024. The interest rate at 30 June 2024 was 39.1%.

In conclusion, the Renault Group's substantial stake in Nissan remains unaffected by the interest rate, the sales, and the buyback by Nissan. The company's position in Nissan's capital, as well as the proportion of shares held directly and in the French trust, remains unchanged.

Nissan's financial impact on Renault Group's profit for the second quarter of 2024