530,000 cars sold in the summer
Mercedes accelerates sales and profits
10/26/2022 7:59 am
Mercedes-Benz seems to have overcome the chip crisis to some extent and is selling significantly more cars again. The DAX group presents strong quarterly figures and raises the forecast for the current year.
Thanks to rising car sales, Mercedes-Benz significantly increased both sales and profits in the third quarter. The DAX Group continued to benefit from good demand for premium cars and high sales prices. The outlook for the full year has been raised.
From July to September, the group earned 5.2 billion euros before interest and taxes – that was 83 percent more than in the same period last year, when the lack of chips slowed deliveries, as the carmaker announced. The result thus exceeded expectations on the financial market. Sales increased by almost a fifth to 37.7 billion euros. Adjusted operating profit (EBIT) was 5.3 billion euros, an increase of 72 percent. According to the other information, earnings per share rose sharply to EUR 3.66 from EUR 1.74. In the core business with premium cars, the adjusted return climbed again and reached 14.5 percent after 8.8 percent in the previous year.
The brand with the star had increased car deliveries in the summer by more than a third to around 530,000 vehicles. Above all, the China business, which no longer suffered so badly from corona lockdowns, boosted the sales figures.
Return on sales expectations adjusted
For the year as a whole, Mercedes-Benz continues to expect sales in the group to be significantly higher than in the previous year. EBIT should now be well above (previously slightly) above the previous year’s level. The DAX company now expects Mercedes-Benz Cars’ adjusted return on sales for the full year to be in the range of 13 to 15 percent, instead of the 12 to 14 percent previously forecast.
Sales should continue to be slightly above the previous year. The adjusted return on sales of Mercedes-Benz Vans is now expected to be between 9 and 11 percent, instead of between 8 and 10 percent as previously. Sales here should remain slightly above the 2021 level. Analysts had expected a little more with a turnover of 38.1 billion euros. In terms of adjusted EBIT, however, the market expected a little less at around 5 billion euros.