Renault has reported net income of €1,513 million for the first half of 2004, compared with €1,177 million a year ago, an increase of 28.5%.

The automobile division's revenues rose 11.9% to €19,708 million. And the finance division made a €1,053 million contribution, up 6.5%.

Group operating margin reached €1,275 million, more than double the figure for first-half 2003 - it accounted for 6.1% of revenues compared with 3.2%.

The automobile division achieved an operating margin of €1,054 million, or 5.3% of revenues, compared with 2.3% in first-half 2003. Europe made a significant contribution, benefiting from the improvement in the model mix across the Mégane II range, Espace IV and the light commercial line-up, backed by further reductions in purchasing, warranty and production costs.

The contribution of international growth to the operating margin rose significantly, with a major share contributed notably by Turkey, which reported exceptionally buoyant growth in first-half 2004.

The finance division generated margin of €221 million, or 21% of revenue, compared with 19.2% in first-half 2003.

Renault recorded a charge of €70 million, compared with €170 million in first-half 2003, including restructuring costs of €92 million, mainly related to early retirement schemes in France and Spain but the figure also includes capital gains on the sale of buildings and land.

Operating income was €1,205 million, compared with €418 million in first-half 2003.

Total worldwide sales of passenger cars and light commercial vehicles by the Renault group, including Dacia and Renault Samsung Motors, rose 6.6% to 1,306,933 vehicles, compared with 1,226,471 in first-half 2003.

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