Dacia Logan brings 10% of Renault’s profit

Dacia Logan brought Renault a net profit of over 100 million euro last year. That’s more then a 75% increase when compared with the previous year. With the help of an increased production, costs were cut from the Dacia Logan and contributed to this financial success. While the sales were up by 30%, the profits were up by 75%, making it a clear success.

Some of the measures that contributed to this increase in profit: taking the Solenza model out of production and launching the Dacia Logan MCV (8700 sold). The Dacia Logan plant from Romania increased the number of shifts and working hours and they hope to reach a 350.000 cars/year production capacity by the end of 2007.

While Dacia Logan had a 6.9% operating margin, the Renault group had only 2.6%. They even went over the 2009 goal that Renault has, a 6% operating margin.

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