2022 Half Year Results: Motivating Financial Services to Achieve New Records of Business Performance and Customer Satisfaction

2022 Half Year Results: Motivating Financial Services to Achieve New Records of Business Performance and Customer Satisfaction


Thanks to a strong integration in the Union’s brand policies, the first six months of 2022 constitute a period of record commercial performance for Mobilize Financial Services:

Intervention level[1] record funding in 46.5% of registrations, up 2.2 points

Level of service intervention[2] 209.4% registration record, up 24.3 points Record average amount financed, up 14.8%

In the car market down 13.4%[4]Mobilize Financial Services continues in booming market segments: 638,474 new financing files in total, for a new financing amount of 8 billion euros.9181,520 used vehicle financing files, up 1.6% compared to the end of June 202138 375 electric vehicle financing contracts (new and used), up 20% compared to In the first half of 2021, the result is that Mobilize Financial Services maintains a solid financial performance: Average revenue resources associated with customer activities of 38 billion euros, up 1.3% compared to the end of June 2021 Net banking income of €1,014 million, up 7.8%. compared to the first half of 2021 Total cost of risk reached 0.48% of APM[5]Pre-tax income for the group of 457 million euros, affected by an exceptional provision of 101.4 million euros for the equity interest in the RN Bank joint venture in Russia.

“In a market context that is still affected by turbulence, Mobilize Financial Services achieved strong commercial success, with a funding penetration rate of 46.5% and a service penetration rate of 209.4%. This translates into solid financial performance. We also remain to be the market reference in terms of customer satisfaction, with an Internet Advertiser Score of +57 points. Mobilize Financial Services also continued to innovate by supporting the Alliance brands with online sales of Renault Megane E-Tech and Nissan Ariya and for speeding up payments by creating Mobilize Pay and the launch of Mobilize Visa Card. I would like to thank all our teams for their dedication, without which we would not have been able to achieve this result. », he announced João LeandroCEO of Mobilize Financial Services.

The record of commercial performance in the car market is still affected by the crisis

In the car market down 13.4%, the volume of Alliance brands reached 1.15 million vehicles in the first half of 2022, down 22.4%. Excluding companies connected by the equity method (Russia, Turkey, India), the penetration rate stood at 46.5%, up 2.2 points compared to the first half of 2021.

Mobilize Financial Services financed 638,474 files in the first half of 2022, down 10.9% compared to the end of June 2021.

Used car financing activity posted an increase of 1.6% compared to the end of June 2021 and 181,520 files were financed.

Financing of electric vehicles increased by 20% compared to the end of June 2021 and 38,375 files were financed.

New financing (excluding cards and personal loans) reached 8.9 billion euros, an increase of 2.3%, due to the growth of used car financing activities and a 14.8% increase in the average amount financed.

Average operating assets related to Customer activities reached 38 billion euros in the first half of 2022. It increased by 1.3%, driven by the growth of new financing. Average operating assets related to the Internet business reached €5.7 billion, down 28.3%, the result of the semiconductor crisis and the policy of improving the inventory of Internet vehicles initiated by Renault Group brands. In total, average operating assets reached 43.7 billion euros, down 3.9% compared to the first half of 2021.

The number of insurance policies and services sold in the first half of 2022 reached 2.2 million. Mobilizing Financial Services achieved a record service penetration rate of 209.4%, up 24.3 points.

Mobilize Financial Services achieves a new customer referral record with a Net Promoter Score of +57 points, that is, 5 points more than last year and 8 points more than at the end of June 2019.

Strong financial performance due to strong growth in net banking income

The bank’s net income (NBI) reached 1,014 million euros, up 7.8% compared to the end of June 2021. This increase is mainly due to the positive impact of the evaluation of the exchange of interest rates from higher interest rates. It should be noted that the exchange rate effect is a temporary effect and will move towards the maturity of this exchange. The contribution of service activities to the bank’s net income represents 34.1%, almost stable compared to the first half of 2021.

Operating expenses reached 326 million Euros, up 21 million Euros compared to the end of June 2021. They represent 1.51% of APM, an increase of 15 points compared to the first half of 2021 This increase of 15 basis points is explained by the fall in the APM network and for investments made in new and digital activities.

The cost of risk for customer activities (personal and corporate financing) reached 0.57% of APM at the end of June 2022 compared to 0.32% of APM at the end of June 2021. This increase is mainly due to the balancing of risk parameters. The cost of risk on network operations (seller financing) was -0.21% recovery of APM at the end of June 2022 against a recovery of -0.56% at the end of June 2021. This change is mostly associated with high speed. decrease in internet revenue in the first half of 2021. The total cost of risk reached 0.48% of APM compared to 0.16% at the end of June 2021.

Pre-tax income amounted to 457 million euros compared to 598 million euros at the end of June 2021. This decrease is explained by an exceptional provision of 101.4 million for an equity interest in a Russian joint venture (RN Bank).

Motivating Financial Services continues to diversify its funding sources tohas successfully placed its first green bond loan for 500 million euros

Mobilize Financial Services took advantage of the still favorable context at the beginning of 2022 to provide 750 million euros in 3.5 years. This operation attracted an order book of more than 4.5 billion euros from more than 180 customers. The group also returned to the Swiss market by placing a 3-year bond for 110 million Swiss francs. In June, the bank successfully executed its first green bond loan for 500 million euros (which was repaid in July). The funds received will be used to finance electric vehicles and charging infrastructure. This latest transaction demonstrated the intention of Mobilize Financial Services to promote the transition to electric mobility and the fight against climate change, in line with its raison d’être to create sustainable mobility for all.

In the bond market, the group placed around 700 million euros in bonds backed by car loans issued by its French subsidiary DIAC and increased its private bond in the UK by 100 million pounds.

In this context of high market volatility, the savings collection activity was seen to be stable and competitive in terms of the cost of resources collected in terms of market funding sources. Outstanding customer deposits have increased by €476 million since the beginning of the year to reach €21.5 billion, or 47% of the company’s total assets.

[1] Total penetration rate excluding partners (Russia, Turkey and India).

[2] Participation rate excluding companies involved using the equity method (Russia, Turkey and India). The level of service penetration corresponds to the ratio between the total number of service contracts sold and the registration of the Union.

[3] Within the scope of Mobilizing Financial Services.

[4] Net Promoter Score (NPS) is the percentage of customers who rate their likelihood of recommending a business, product or service to a friend or colleague as 9 or 10 (“promoters”) minus the percentage rating that likelihood as 6 or less (“innovators.” ) on a scale of 0 to 10. The results of a survey of individual customers of new and used cars who are in the middle of their contract, in 22 countries.

[5] Average active assets: APM corresponds to the average operating arrears, to which are added assets related to operating lease activities. For customers, it is the average of the assets they generate at the end of the month. For the Internet, it is the average of the daily production assets.