RCi financing grows 14.6% by end-June 2017
To date this year, the automotive sector has grown by 4.4% in markets where RCi Bank and Services operates financing of Renault-Nissan Alliance vehicles, and Alliance brand volumes rose by 8.8%.
The group has steadily improved its overall penetration rate, according to figures supplied by RCi. At the end of June 2017, RCi’s overall penetration rate was 40.7%, a 1.3% improvement over the first-half of 2016.
RCi managed 724,577 contracts in the period to end-June 2017 compared with 634,929 a year earlier, a growth of 14.1%. Used vehicle financing contracts amounted to 158,049 contracts at the end of June 2017 compared with 135,376 a year earlier, a growth of 16.7%.
An increase in financing activities for both new and used vehicles enabled RCI Bank and Services to post strong growth in the volume of contracts, up 14.6% compared with the end of June 2016 (882,626 new contracts versus 770,305 contracts at the end of June 2016). The total amount of new financings reached €10.4 billion, a 16,7% increase over a year earlier.
Strong sales by Alliance brands and robust growth in the financing business has enabled RCI Bank and Services to sell nearly 2.1 million services in first-half 2017, an increase of 26.5%.
Gianluca De Ficchy, Chief Executive Officer of RCI Bank and Services, stated: “The volume of financing contracts rose 14.6%, while services sales increased 26.5%. These results generated robust profit margins. This success is the result of dedication at every level of the company.”