Mercedes-Benz 2Q Earnings, Revenue Jumped

   By David Sachs 
 

Mercedes-Benz on Thursday reported higher earnings and sales in the second quarter after raising its guidance late Wednesday.

The German luxury-vehicle company said revenue rose to 38.24 billion euros ($42.39 billion) in the quarter from EUR36.44 billion in the second quarter of last year. Earnings before interest and taxes was EUR4.99 billion compared with EUR4.62 billion a year prior.

Mercedes-Benz's cars division reported a return on sales of 13.5% compared with 14.2% last year, while the vans business had a return on sales of 15.5%, up from 10.1%.

On Wednesday, the company raised its group EBIT guidance to be level with last year, compared with a previous forecast of a slight decline. The company's van business now expects to see an adjusted return on sales of 13% to 15%, up from a prior forecast for 11% to 13% growth.

The company said it expects the economy to remain somewhat subdued in the second half with above-average inflation in some regions, which will weigh on consumers. But energy prices are expected to remain lower, and the supply chain situation has improved, Mercedes-Benz said.

Write to David Sachs at [e-mail]

(END) Dow Jones Newswires

July 27, 2023 01:26 ET (05:26 GMT)

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