Dailmer Truck, Van and Bus Sales Up Strongly in 2017

Dailmer Trucks significantly increased its unit sales to the number of 470,700 vehicles in 2017 (2016: 415,100). Revenue of €35.7 billion was also significantly higher than in the previous year (2016: €33.2 billion). The division’s EBIT in 2017 of €2,380 million was 22% higher than in the prior-year figure of €1,948 million. The return on sales was 6.7% (2016: 5.9%).The positive development of earnings was primarily the result of increased unit sales in the NAFTA region. EBIT was also boosted by income from the sale of real estate at the Kawasaki site in Japan (€267 million) and by efficiency improvements. Higher expenses for raw materials and expenses of €172 million for the fixed-cost optimization had a negative impact on EBIT.

Mercedes-Benz Vans set a new unit sales record once again in financial year 2017, with an increase of 12% to 401,000 vehicles. At €13.2 billion, revenue was also higher than in the previous year (2016: €12.8 billion). The division achieved EBIT in 2017 of €1,181 million, similar to the prior-year level (2016: €1,170 million). Its return on sales was 9.0% (2016: 9.1%).

EBIT was affected by higher expenses for product ramp-ups and new technologies. Furthermore, earnings were reduced by the termination of a contract-manufacturing arrangement. These effects were offset by the positive development of unit sales, especially in Europe, China and Latin America, and by exchange-rate effects. Prior-year EBIT included expenses in connection with Takata airbags (€83 million) and expenses from a voluntary severance program at the Düsseldorf plant (€38 million).

Dailmer Buses sold 28,700 buses and bus chassis worldwide in financial year 2017 (2016: 26,200). The significant increase was due especially to the gradual recovery of the economy in Brazil. The division thus maintained its clear market leadership in its most important traditional core markets EU30 (European Union, Switzerland, Norway), Brazil, Argentina and Mexico. In another ongoing positive development, sales of complete buses in the EU30 region were at the same high level as in the prior year. Revenue grew by 4% to €4.4 billion. The division’s EBIT of €243 million was at the high prior-year level (2016: €249 million). Return on sales decreased slightly to 5.6% (2016: 6.0%).

Further efficiency enhancements and higher unit sales in Latin America almost offset the inflation-related cost increase in Latin America and the negative exchange-rate effects.