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Daimler Hikes Net Income 3%
Daimler AG reports third-quarter gains in revenue, operating income and net profit in spite of a cooling global car market.
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Daimler AG reports third-quarter gains in revenue, operating income and net profit in spite of a cooling global car market.
The company’s revenue climbed 8% to €43.3 billion ($48 billion) in July-September. Pretax income jumped 10% to €2.6 billion ($2.9 billion). Net earnings advanced 2% to €1.8 billion ($2 billion).
The company’s Mercedes-Benz Cars unit sold a record 604,700 vehicles for the quarter, which drove profits. Demand for the company’s light vans grew 10%, but sales of its heavy trucks fell 8%.
Daimler assumes a further slowdown in global economic growth through 2019. The company predicts its revenue will rise slightly in spite of flat demand for its cars, prompting a small decline in capital investment from last year’s €7.5 billion. R&D spending will be flat at €9.1 billion.
The company cautions that its pretax earnings for the full year will be “significantly” lower than the €11 billion it reported in 2018.
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