Daimler sales rise in record first quarter


Big truck and van sales and revenue have headlined Daimler’s positive first quarter results

Daimler sales rise in record first quarter
Daimler’s truck division was aided by a strong 18 per cent growth in the US.

 

Manufacturing monolith Daimler AG has posted record unit sales, revenue and earnings before interest and taxes (EBIT) figures for its first quarter of 2015 in a statement overnight.

Among a string of financial wins over the same period in 2014, the German company’s global revenue grew 16 per cent to €34.2 billion ($46.9 billion), EBIT rose 63 per cent to €2.930 billion and the company’s net profit of €2.05 billion fell just short of doubling last year.

"We made a very good start to the year 2015 and continued along our successful path with record levels of unit sales, revenue and EBIT in the first quarter," chairman of the board of management of Daimler AG and head of Mercedes-Benz Cars Dr Dieter Zetsche says.

"Our growth strategy, our product offensives and our efficiency programs are paying off. We have already achieved a lot, we look to the future with great confidence, and we aim to achieve even more."

Strong year-on-year growth was on the back of unit sales, which increased 13 per cent to 641,000 vehicles across Daimler’s car, van, bus and trucking arms.

Daimler’s truck division was aided by a strong 18 per cent growth in the US, accounting for over 36 per cent of all unit sales in the quarter.

Globally, the department sold four per cent more vehicles in 2015 compared to the first quarter of 2014, a number hampered by declining sales in Latin America (down two per cent), Western Europe (down 30 per cent) and Asia.

Despite the slight global growth and higher warranty costs, the division’s revenue rose 18 per cent to €8.4 billion and its EBIT jumped by 28 per cent to €472 million for the period.

The company’s van section also grew four per cent over the quarter, boosted by sales in Western Europe, Eastern Europe and the US.

A significant €2.2 billion revenue growth meant the division’s operating profit rose from €123 million to €215 million.

Sales of buses and bus chassis didn’t continue the company trend in the first quarter of 2015, dropping from 6,700 to 5,700 units on last year.

However, a demand for completed buses meant Daimler’s revenue increased by €18 million to €877 million.

Bus EBIT figures weren’t so favourable, taking a €19 million hit.

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