Daimler’s Posts Revenue, EBIT Growth

Daimler AG's second-quarter revenue rose 6% to €31.5 billion, vehicle sales grew 4% to 628,900 units and earnings before interest and taxes jumped 12% to €2.5 billion.

CEO Dieter Zetsche, describing a "very positive" business position, predicts continued gains in all three measures in the second half of 2014.

The company's net earnings plunged to €2.2 billion from €4.6 billion in the second quarter of 2013, when profit was boosted by the sale of Daimler shares in European Aeronautic, Defence & Space Co.

Daimler's Mercedes-Benz Cars unit posted record units sales of 418,700 vehicles, up 3% from the second quarter of 2013. A richer sales mix hiked revenue 9% to €17.8 billion. Return on sales climbed to 7.9% from 6.4% a year earlier.

The company forecasts 4% growth for the global auto market, led by stronger advances in China and the U.S.

Daimler Trucks posted a 2% sales gain to 126,100 trucks in April-June, as an 18% surge to 41,100 units in North America offset a 7% drop to 13,200 units in western Europe. The division's revenue was unchanged at €8 billion.

Unit sales by Mercedes-Benz Vans rose 9% to 76,000 in the second quarter. Revenue advanced 2% to €2.5 billion, and EBIT climbed to €242 million from €204 million in the year-earlier period.

Daimler expects record full-year sales for Mercedes-Benz, a "significant" jump in volume for Mercedes-Benz Vans and a slight improvement for Daimler Trucks. The company predicts a big upswing in EBIT compared with 2013, led by gains for its car and bus operations.

Daimler says efficiency programs should bolster its cost position this year by €2 billion for Mercedes-Benz and €1.1 billion for Daimler Trucks.