exceeded expectations
Mercedes-Benz doubles earnings
02/11/2022, 11:09 am
Good prices, a good range and a solid used car market – this is how Mercedes Benz sums up the past financial year. The Stuttgart surprise above all in the profitability. And without delivery bottlenecks, we could have delivered even more.
The Stuttgart-based carmaker Mercedes-Benz earned more in its operating business last year than originally assumed. The adjusted operating result (EBIT) at Mercedes-Benz Cars & Vans improved to 14 billion euros in 2021, as the company announced provisionally. The EBIT for the year would have more than doubled from 6.8 billion euros. The return on sales is 12.7 percent and thus above the self-imposed range of ten to twelve percent.
Mercedes-Benz spoke of “solid net pricing, a good product mix and favorable used car performance” while at the same time there were persistent bottlenecks in the supply of semiconductors. “Our good result is the result of products that are in high demand as well as the focus on profitable growth and cost discipline,” said Mercedes-Benz boss Ola Källenius.
Daimler spun off its truck division last year; Daimler Trucks has been listed in the MDax small-cap index since this Friday. The group’s cash inflow, which included the car and truck business until the beginning of December, was around 8.5 billion euros in 2021 and was therefore also slightly better than expected.
Group figures for profit and sales are not yet available, they are expected at the balance sheet press conference on February 24th. However, the spin-off of the truck business should have a positive impact on the operating result; Mercedes-Benz put the effect at nine billion to ten billion euros.
The chip crisis was clearly noticeable in terms of sales and cost the Stuttgart-based company the crown of the world’s leading premium brand. With 2.05 million vehicles, Mercedes-Benz sold five percent fewer cars with the star than in the previous year, which was weak due to the corona. Källenius has withdrawn from the competition for the sales crown, which was a central goal of his predecessor Dieter Zetsche. Because first place could only be won thanks to high sales figures of less profitable compact cars. Källenius has promised investors returns of over ten percent and wants to focus more on the luxury segment.