Mercedes-Benz Group Posts Some Strong 2021 Results

Ken Zino of AutoInformed.com on Mercedes-Benz Group Posts Some Strong 2021 Results

Mercedes-Benz says the use of standardized battery platforms and scalable vehicle architectures – with advances in battery technology – will contribute to variable cost reductions of vehicles. This of course is the business plan of all major automakers.

Mercedes-Benz Group, previously Daimler AG, today posted some positive financial results for the year 2021 based on preliminary unaudited figures. At the current point – due to various effects of the de-consolidation of the Daimler commercial vehicle business – group financials are not yet available. (AutoInformed: Daimler Truck Receives Investment Grade Ratings; Shareholders Vote to Spin-off of Daimler Truck, Rename Daimler AG to Mercedes-Benz Group)

However, the Mercedes-Benz Cars & Vans segment has exceeded the guidance range of 10-12% and now expects an adjusted Return on Sales of 12.7% in the full year. Despite the ongoing semiconductor shortages, during Q4 Mercedes-Benz Cars & Vans showed an adjusted Return on Sales of 15.0%, driven by high net pricing, good product mix and favorable used car performance. The strong profitability of the car business also translated into a solid industrial free cash flow exceeding the company guidance.

Financial Year 2021 Unaudited Results

  • Mercedes-Benz Cars & Vans expects an adjusted EBIT in the magnitude of 14.0bn Euros and an adjusted Return on Sales of approximately 12.7% The forecast was 10-12%.
  • Mercedes-Benz Mobility reached an adjusted EBIT of ~3.4B Euros and an adjusted Return on Equity (RoE) of approximately 22.0%. (forecast 20-22%)
  • Industrial Free Cash Flow in the new group structure (segment Daimler Trucks & Buses included until December 09th, 2021) is now expected at prior year level, in the vicinity of 8.5B Euros (forecast – slightly below previous year)

The Annual Results Conference for the financial year 2021 will be on February 24th, 2022. The Annual Report 2021 will be released on March 11th, 2022.

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1 Response to Mercedes-Benz Group Posts Some Strong 2021 Results

  1. Pingback: Mercedes-Benz to Increase Focus as a Luxury Car Company | AutoInformed

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