Daimler Reports 2Q Sales and Revenue
Proquest LLC |
In the second quarter of 2014,
In its release dated
Second-quarter revenue increased by 6 percent to
"We are growing profitably, our strategy is bearing fruit," said
Including special items, second-quarter EBIT amounted to
"Our business situation is very positive in mid-2014," said
Compared to the prior-year period income-tax expense increased in the second quarter by
Daimler once again used the attractive conditions in the international money and capital markets for refinancing in the second quarter of 2014. The net liquidity of the industrial business amounted to
At the end of the second quarter of 2014, Daimler employed 280,829 (end of 2013: 274,616; end of
Details of the divisions
Mercedes-Benz Cars achieved a new record for unit sales in the second quarter of 2014 and profited from its globally balanced sales structure. Total sales by the car division grew by 3 percent to 418,700 units. In a volatile European market environment, Mercedes- Benz Cars performed very well and was able to increase its share of nearly all markets. In
Due to the model mix resulting from the availability of the S- Class, revenue increased at a higher rate than unit sales, by 9 percent to
The positive earnings development of the
Unit sales by Daimler Trucks developed very differently from one region to another also in the second quarter. Worldwide, sales of 126,100 trucks were 2 percent higher than in the prior-year period. In the NAFTA region, increased demand for fuel-efficient and low- emission trucks led to growth in sales of 18 percent to 41,100 units. In
In
Daimler Trucks second-quarter revenue of
Mercedes-Benz Vans significantly increased its unit sales in the second quarter of 2014 by 9 percent to 76,000 vehicles. Revenue rose by 2 percent to
Operating profit in the second quarter of this year was influenced by the very positive development of unit sales, which reflects the significant increase in demand especially in
Exchange rate effects had an additional negative impact. EBIT profited from a positive effect of
Daimler Buses achieved growth in unit sales compared with the prior-year period of 2 percent, selling 8,100 complete buses and bus chassis in the second quarter of 2014, thanks to increased demand in
The improvement in EBIT compared with the prior-year quarter was partially due to the more favorable model mix caused by higher sales of complete buses. Efficiency enhancements also had a positive impact on earnings.
At
Items at the corporate level resulted in income of
Capital expenditure and research activities
Daimler expects its research and development expenditure also to be slightly higher than the prior-year figure of
Outlook for the markets
After the world economy continued its general upward trend in the second quarter of 2014, economic risks have increased at the beginning of the third quarter, due in particular to increased political risks. It can still be assumed that the economies of the industrialized countries will grow faster than last year, while the economies of some important emerging markets (except
According to current assessments, demand for cars is likely to grow by around 4 percent this year. Once again, the most important growth driver will be the Chinese market, which is expected to expand at a double-digit rate also this year. The US market will also deliver significant contribution to growth. After several years of a contracting overall market, demand in
The remeasurement at fair value of the equity interest in
The sale of the equity interest in
In order to achieve its ambitious growth targets, Daimler has initiated efficiency programs at all the divisions.
"Until the end of this year, we will accomplish the announced steps in achieving our goals," said Zetsche. "The efficiency programs are showing effects across all the divisions. We will structurally secure the programs and develop them consequently. In addition, we are working at all sites to increase our flexibility."
"We will secure Daimler's long-term growth with targeted investments in new products and in our facilities," said Uebber. "Financial discipline will continue to be a key criterion for our actions."
In late June, Daimler and the Renault-Nissan alliance decided to expand their cooperation, which started in 2010. The two partners will together invest a total of approximately
In addition,
((Comments on this story may be sent to [email protected]))
Copyright: | (c) 2014 ProQuest Information and Learning Company; All Rights Reserved. |
Wordcount: | 2166 |
Advisor News
Annuity News
Health/Employee Benefits News
Life Insurance News