Daimler sees Mercedes-Benz EBIT rising this year as sales rebound


Daimler (DAIGn.DE) expects a rise in operating profit at its Mercedes-Benz cars and vans division in 2020 as sales rebound, it said on Thursday, after the German automaker reported a second-quarter loss of 1.68 billion euros ($1.9 billion).

On a group level Daimler expects a fall in EBIT this year.

Daimler had outlined the figures last week when it said it would stop building Mercedes-Benz sedans in the United States and Mexico as it seeks deeper cost cuts.

Chief Financial Officer Harald Wilhelm said Daimler needed to change its cost structure in the long term.

Daimler said on Thursday that cost-cutting measures had helped to counter the impact of the pandemic on its businesses including Mercedes-Benz cars and vans and Daimler trucks and buses.

Its business has been hit by showroom closures and slumping demand during lockdowns introduced to halt the spread of the coronavirus.

Reuters

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