on RENAULT (EPA:RNO)
Renault Group Adjusts Accounting for Nissan Stake
Renault Group has updated the accounting method for its investment in Nissan. Previously recorded under the equity method, the stake will now be a financial asset measured at fair value through equity, aligned with Nissan's stock price. This adjustment results in a non-cash financial impact, estimated as a €9.5 billion loss, which appears in the income statement under "other operating income and expenses" as of June 30, 2025.
This change comes in response to recent modifications in Renault's contractual rights concerning its stake in Nissan. Despite this significant adjustment in financial reporting, the operational collaboration between Renault and Nissan remains unaffected. The companies continue to pursue joint industrial and technological projects, ensuring a focus on maximizing synergies and creating value.
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