2005 ANNUAL REPORT - Renault

Financial performance
Summary consolidated financial statements(*)
In application of regulation 1606/2002 passed on July 19, 2002 by the European Parliament and the Council
of Europe, Renault’s consolidated financial statements for 2005 are prepared under International Financial Reporting
Standards (IFRS) as issued by the International Accounting Standards Board (lASB) at December 31, 2005
and endorsed for application by European Commission regulations published in the Official Journal of the EU
at December 31, 2005.
The comparative financial information for 2004 is presented under the same IFRS, in compliance with IFRS 1
on first-time adoption of IFRS. The impact of the transition to IFRS is described in Notes 3 and 34 of the Notes
to the Consolidated Financial Statements(*).
In the transition to IFRS, Renault opted for early application of IAS 32 and 39 on financial instruments as of January 1,
2004.
Consolidated financial statements
7 million 2005 2004 (1)
Sales of goods and services 39,978 38,923
Sales Financing revenues 1,360 1,369
Revenues 41,338 40,292
Cost of goods and services sold (32,137) (31,090)
Cost of Sales Financing (926) (912)
Research and development expenses (2,034) (1,676)
Selling, general and administrative expenses (4,918) (4,499)
Operating margin 1,323 2 ,115
Other operating income and expenses 191 (243)
Operating income 1,514 1,872
Net interest income (expense) (95) (22)
Interest income 153 128
Interest expenses (248) (150)
Other financial income and expenses, net (232) (309)
Financial expense (327) (331)
Share in net income (loss) of associates 2,597 1,923
Nissan 2,275 1,689
Other associates 322 234
Pre-tax income 3,784 3,464
Current and deferred taxes (331) (561)
Net income 3,453 2,903
Net income - minority interests’ share 86 67
Net income - Renault share 3,367 2,836
Earnings per share (2) in euros 13.19 11.16
Diluted earnings per share (2) in euros 13.08 11.10
Number of shares outstanding (in thousands)
for earnings per share 255,177 254,168
for diluted earnings per share 257,342 255,435
(1) 2004 figures restated for compliance with IFRS.
(2) Net income - Renault share divided by number of shares stated.
(*) Renault's consolidated financial statements are available on the Finance section of www.renault.com.
84
2005 Renault Annual Report