Daimler to Report Adjusted EBIT Loss in 2Q

   By Mauro Orru

Daimler AG said Wednesday that it expects to report an adjusted loss before interest and taxes as well as negative free cash flow in the industrial business in the second quarter due to the effects of the coronavirus pandemic.

The German premium car maker said revenue would decrease "significantly," as it forecast in the first quarter.

However, Daimler said revenue trends in recent weeks bode well for "cautious optimism," as production adjustments and measures to limit costs and expenses had a positive effect on cash flow and liquidity.

Order intake in recent weeks also showed positive signs in nearly all key markets, with contract volume at Daimler Mobility ending up 2% lower at about 155 billion euros ($174.75 billion) at the end of June compared with June 2019.

Daimler added that the situation in China is improving, as negative effects of the first quarter were offset in the second quarter.

Write to Mauro Orru at mauro.orru@wsj.com; @MauroOrru94

(END) Dow Jones Newswires

July 08, 2020 04:34 ET (08:34 GMT)

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