News

Mercedes-Benz Group Shares Fall on Third-Quarter Profit Drop

1 Mins read

Shares of Mercedes-Benz Group saw a decline today as the luxury car maker announced a decrease in third-quarter profit. The drop in profit was attributed to lower demand and currency effects, and the company has cautioned that these challenges are expected to persist throughout the rest of the year.

At 7:26 AM GMT, shares in Mercedes-Benz were down 5.8%, trading at EUR57.82.

Factors Impacting Performance

Mercedes-Benz pointed to several factors influencing their financial performance. High supply-chain costs, inflation, and currency-exchange rates have all contributed to the decline. During a post-earnings call, Chief Financial Officer Harald Wilhelm expressed his expectation that these headwinds will persist into the fourth quarter.

Financial Figures

In the third quarter, net profit amounted to 3.72 billion euros ($3.93 billion), marking a 7% decrease compared to the same period last year. Revenue also experienced a decline of 1.4%, reaching EUR37.20 billion. Additionally, the return on sales for the cars business dropped from 14.5% to 12.4% year-on-year.

Sales Performance

Car sales saw a decline of 3.7%, contrasting with a 1.1% increase in van sales.

While facing ongoing challenges, Mercedes-Benz Group remains committed to navigating the current market conditions and ensuring the long-term success of their luxury car brand.

Related posts
News

Trump news at a glance: President declares 'peace in the Middle East' despite many barriers remaining

3 Mins read
Trump news at a glance: President declares ‘peace in the Middle East’ despite many barriers remainingTrending NowBest Forex Trading Robots To Invest…
News

Binance Founder CZ Clarifies BNB Trade Activity and Market Strategy

1 Mins read
On October 12, Binance’s founder Changpeng Zhao confirmed via X that BNB lacks market makers, highlighting its deflationary nature and community-driven development….
News

Aussies go viral for booing American national anthem at WWE Crown Jewel event in Perth

3 Mins read
7NEWS brings you the latest local news from Australia and around the world. Stay up to date with all of the breaking…

Leave a Reply

Your email address will not be published. Required fields are marked *

+ 56 = 64