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Daimler Posts Record Sales, Profits
Daimler AG's profit before interest and taxes in the fourth quarter of 2014 climbed to a record €2.8 billion from nearly €2.6 billion a year earlier.
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Daimler AG's profit before interest and taxes in the fourth quarter of 2014 climbed to a record €2.8 billion from nearly €2.6 billion a year earlier. Quarterly revenue rose 11% to a record €35.7 billion.
Net profit in October-December slid 29% to €1.2 billion. The decline was caused by a €600 million set-aside for a possible EU antitrust penalty involving commercial truckmakers.
Full-year vehicle deliveries grew 8% to a record 2.5 million units. Group revenue advanced 10% to €129.9 billion. EBIT for continuing operations surged 27% to a record €10.1 billion, but net profit fell 16% to €7.3 billion.
Daimler's board responded to the record results by hiking the company's dividend per share to an all-time high of €2.45 from €2.25. The company also will pay bonuses of €4,350 to eligible employees.
The company's Mercedes-Benz Cars division saw sales rise 10% to a record 1.72 million units last year. EBIT soared to €5.9 billion from €4 billion in 2013. Return on sales climbed to 8.0% from 6.2%.
Mercedes-Benz Vans hiked sales 9% to a record 294,600 units and €10 billion in revenue. EBIT climbed 8% to €682 million.
Deliveries by Daimler Trucks advanced 2% to 495,700 units, and revenue grew 3% to €32.4 billion. The division's EBIT jumped 15% to €1.9 billion.
Daimler expects the global auto market to expand 4% in 2015, led by growth in China. The company predicts "significant" gains this year for unit sales and revenue by its cars, trucks and commercial vehicles divisions.
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