Record 3 million vehicles sold for the first time (+5%), Group revenue up by 3% to 153.3 billion euros, net profit highest ever at 8.8 billion euros
03 Feb 2017 | 5284 Views | By Autocar Professional Bureau
Daimler has announced that it has achieved best-ever figures for unit sales, revenue and net profit in the year 2016. In 2017, due to its very competitive product range in all divisions, Daimler expects to profit from slight growth in global demand for motor vehicles and from its strengthened market ...
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Daimler has announced that it has achieved best-ever figures for unit sales, revenue and net profit in the year 2016. In 2017, due to its very competitive product range in all divisions, Daimler expects to profit from slight growth in global demand for motor vehicles and from its strengthened market position.
“In 2016, Daimler has set new records for unit sales, revenue and earnings. But what is just as important is that in the best year in our company’s history so far, we also initiated the biggest-ever transformation at Daimler,” said Dr. Dieter Zetsche, chairman of the Board of Management of Daimler AG and Head of Mercedes-Benz Cars at the annual press conference in Stuttgart yesterday.
“We have set our course in the direction of electric mobility and are establishing a new culture of cooperation together with our workforce. Those who wish to shape the future of the automobile at the forefront of the automotive industry need both financial strength and innovative skill. In 2016, we demonstrated that the combination of these two factors at Daimler is stronger now than ever before.”
The Daimler Group posted EBIT of €12.9 billion in 2016 (2015: €13.2 billion). Due to favorable business developments in most of its divisions, Daimler slightly improved on its EBIT adjusted for special items – from €13.8 billion in 2015 to €14.2 billion in the year 2016 – thus setting a new record. Net profit increased to the best-ever figure of €8.8 billion (2015: €8.7 billion) and earnings per share rose to €7.97 (2015: €7.87).
Vehicle sales meet growth target
Total vehicle sales in 2016 rose by 5 % to around 3 million vehicles, thus achieving the growth target. The Mercedes-Benz Cars and Mercedes-Benz Vans divisions saw significant growth (+10% and +12% respectively). Daimler Trucks posted a significant decrease in unit sales of 17%, due in particular to the weaker market development in the NAFTA region, the Middle East and Turkey. Unit sales at Daimler Buses were significantly lower than in the previous year (-7%) and did not reach the originally expected magnitude. This was primarily the result of the significant market contraction in Brazil. Daimler achieved slight revenue growth of 3% to €153.3 billion in 2016 (2015: €149.5 billion); adjusted for exchange-rate effects, revenue also grew by 3%.
“We once again posted record numbers at Daimler in 2016. With our very attractive products and the measures taken to enhance efficiency, we have made considerable progress and stabilized our business despite volatile market developments,” said Bodo Uebber, Member of the Board of Management of Daimler AG responsible for Finance & Controlling and Daimler Financial Services. “In the automotive business, we met our targets for return on sales once again last year. And we are confident that we will be able to improve on these record results once again in 2017.”
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