PSA/Peugeot-Citroen reported a 2 percent gain in first-quarter revenue as a recovery in its home region and expansion in China boosted deliveries.

Sales increased to €13.3 billion ($18.4 billion) from €13 billion a year earlier, PSA said in a statement today.

PSA said the stronger numbers were “supported by the recovery of the European market and by strong growth in China.”

PSA’s global deliveries advanced 7.6 percent to 725,917 passenger vehicles, led by gains of 16 percent in Europe and more than 18 percent in China, while Russian and Latin America sales fell.

The stronger sales in Europe and China also helped to overcome the effects of a weaker Russian ruble, Argentinian peso and Brazilian real against the euro, as currency headwinds reduced revenue by 4.5 percent, the company said.

PSA has received 70,000 orders for the Peugeot 308 hatchback, which in March won Europe’s Car of the Year award. The Citroen C4 Picasso is also selling well, with 60,000 orders for the five-seater and 35,000 for the seven-seater, the automaker said today.

PSA, which lost money the last two years, is teaming up with Chinese manufacturer Dongfeng Motor to expand outside Europe, where demand is recovering from a two-decade low.

CEO Carlos Tavares, who took over a month ago, is working to reduce PSA’s costs and streamline product offerings to focus on more profitable models. Tavares said two weeks ago that he will cut PSA’s lineup by almost half and turn Citroen’s DS badge into a separate premium brand.

The new CEO also pledged to reorganize sales operations along geographical lines and reiterated a target to triple Chinese deliveries in partnership with Dongfeng by 2020, along with restoring profit in Russia and Latin America.

PSA shareholders were voting today on whether to support the 3-billion euro capital increase to boost the automaker’s funding. The share sale is part of an agreement under which Dongfeng and the French state will pay about 800 million euros apiece for 14 percent stakes each. The Peugeot family’s holding in the company will fall to 14 percent from 25.5 percent.