Daimler Lifts 2020 EBIT Outlook After 3Q Profit Rise -- Update
October 23 2020 - 03:00AM
Dow Jones News
--Daimler's net profit increased to EUR2.05 billion for the
third quarter
--German car maker raises 2020 group EBIT outlook, but revenue
expectations significantly below the prior year
--The company expects positive developments from improving
markets and cost-saving measures to continue in the fourth
quarter
By Kim Richters
Daimler AG on Friday raised its full-year outlook for group
earnings after reporting an increase in net profit for the third
quarter.
Net profit for the quarter rose to 2.05 billion euros ($2.42
billion) from EUR1.72 billion a year earlier, the German premium
car maker said.
As reported earlier this month as preliminary figures, earnings
before interest and taxes also increased year-over-year, coming in
at EUR3.07 billion compared with EUR2.69 billion. Adjusted
EBIT--also released previously--was EUR3.48 billion compared with
EUR3.14 billion.
Daimler said its business profited from improving markets and
cost-saving measures, and it expects the positive development to
continue in the fourth quarter.
Revenue, however, fell to EUR40.28 billion from EUR43.27
billion.
As for the full year 2020, the car maker raised its group EBIT
outlook, now expecting it to be at the prior year's level of
EUR4.33 billion. It had previously forecasted these earnings to be
lower than 2019's figure but still positive.
Unit sales and revenue for 2020 are expected to be significantly
below the prior year, Daimler said. The car maker's previous
full-year revenue came in at EUR172.75 billion and it sold 3.34
million vehicles, according to its 2019 annual report.
Write to Kim Richters at kim.richters@wsj.com
(END) Dow Jones Newswires
October 23, 2020 02:45 ET (06:45 GMT)
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