Mexican Media Brands
Daimler Issues a Fourth Profit Warning
Daimler AG has lowered its profit outlook for the fourth time since last summer, warning it will post a €1.6 billion ($1.8 billion) pretax loss in the second quarter.
#economics
Share
Daimler AG has lowered its profit outlook for the fourth time since last summer, warning it will post a €1.6 billion ($1.8 billion) pretax loss in the second quarter.
The company says quarterly EBIT losses by its Mercedes-Benz brand car and van businesses will offset modest gains for its truck, bus and financial services operations. Last year, the group posted a positive EBIT of €2.6 billion in April-June.
Daimler says two regulatory issues also will have a major impact on EBIT. The company will boost provisions for special charges by €1 billion to replace explosion-prone Takata airbag inflators and by €1.6 billion to remedy diesel engines that don’t meet emission standards in Europe and elsewhere.
The company further warns of delays in ramping up production of new models and sales that grow slower than expected.
RELATED CONTENT
-
Global Car Market to Shrink for 2-3 Years
Global sales of light vehicles will decline year on year through at least 2021, predicts LMC Automotive at its annual outlook conference outside Detroit, Mich.
-
On Quantum Navigation, EVs, Auto Industry Sales and more
Sandia’s quantum navi, three things about EVs, transporting iron ore in an EV during the winter, going underwater in an EV (OK, it is a sub), state of the UK auto industry (sad), why the Big Three likes Big Vehicles, and the future of logistics.
-
Report Forecasts Huge Economic Upside for Self-Driving EVs
Widespread adoption of autonomous electric vehicles could provide $800 billion in annual social and economic benefits in the U.S. by 2050, according to a new report.