The company is called duties, a reduction in sales and costs associated with steps to increase efficiency, the main factors of collapse.
German car manufacturer Mercedes -Benz announced a collapse on the net profit of 56% in the first half of the year – from 6.1 billion euros to 2.7 billion euros. The company predicts a further decline in income and sales. It reports about it DPA On Wednesday, July 30.
The main reasons are: high duty, reducing sales volumes and implementing efficiency programs.
The income for the first half of the year reduced by 8.6% to 66.4 billion euros. EBIT (EBIT) also reduced by about 55% – from 7.9 billion to 3.6 billion euros.
The company hopes the annual income will be less than last year. Mercedes-Benz predicts that the operating margin in the passenger segment of 2025 will be 4-6% compared to 8.1% in the preceding. A significant collapse in sales is also assumed.
Revenue problems began in 2024, when the company’s net profit collapsed by 28% – up to 10.4 billion euros. Then the income was reduced by 4.5% – up to 145.6 billion euros, while operating income lost almost a third and cost 13.6 billion euros. The reason is, in particular, a vulnerable result in the Chinese market.
In February, the leadership announced a plan for reducing costs, which provides for reducing production costs by 10% by 2027, optimizing material costs and reducing fixed costs by another 10%.
Mercedes -Benz also reached a Production Council agreement on a package of proposals, including the program for the release of employees from indirect units (that is, those who are not engaged in labor).
Remember that Porsche gets into the automotic business, that is, without considering financial services, only 154 million euros in the last quarter. The income collapse reached nearly 91% compared to the same period last year, when Porsche’s income reached 1.7 billion euros.
It was later found that the Audi automotive manufacturer completed the first half of 2025 with anxious indicators: the net profit was reduced by 37.5% compared to last year and cost only 1.3 billion euros.
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Source: korrespondent
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