Like rivals, Renault is benefiting from selling fewer vehicles at higher prices such as the Arkana compact SUV and the electric version of the Megane compact car. De Meo said discounts on Renault's cars are at their lowest in a decade.
Renault stuck to its previous forecast that chip shortages will cut production by around 300,000 vehicles this year.
Vehicle sales dropped nearly 30 percent to around 1 million during the first half due to the retreat from Russia, which was the automaker's second biggest market, and an inability to produce some vehicles due to a shortage in components.
The global shortage of semiconductors, used in everything from brake sensors to entertainment systems, has cut into car production at many major automakers.
10-year high for cash generation
Renault achieved a 10-year high for cash generation in the first half of this year, de Meo said. The automaker upgraded its prediction for automotive operational free cash flow for the year to more than 1.5 billion euros, a big jump from the previous "positive" guidance.
Renault's improved 4.7 percent margin still falls well short of the double-digit result reported Thursday by bigger European mass market competitor Stellantis for the same period.
Renault, which also produces cars under the Dacia brand and has an alliance with Nissan, is in the early stages of a restructuring its operations to be competitive as it shifts to electric vehicles.
As part of the shift to EVs, the automaker is planning to carve out electric and combustion-engine businesses and has promised to give details in the autumn. The move would be aimed at regaining lost ground to rivals Volkswagen and Stellantis.
Bloomberg contributed to this report