Mercedes-Benz Raises Dividend After Strong 2021 Results

By Kim Richters

Mercedes-Benz Group AG said Thursday that it is planning to pay a higher dividend to shareholders after revenue and earnings increased in 2021.

The car maker, previously known as Daimler, said it proposes a dividend of 5.00 euros ($5.65) a share for the past year, up from EUR1.35 a share for 2020.

The increased payout comes as the luxury auto maker's 2021 revenue rose by 9% to EUR167.97 billion and adjusted earnings before interest and taxes--which reflects the company's underlying business--jumped to EUR19.23 billion from EUR8.64 billion.

Mercedes-Benz also booked a one-time gain of EUR9.2 billion in the fourth quarter from the spinoff of its trucks division but said the item had been excluded from the basis for deciding the dividend proposal.

Looking ahead, Mercedes-Benz said it sees the semiconductor shortage continuing to affect the market in the current year.

It expects revenue in 2022 slightly above the level of the previous year from continued operations, which excludes the commercial-vehicles business, and EBIT from continued operations should be at prior-year level.

Write to Kim Richters at kim.richters@wsj.com

(END) Dow Jones Newswires

February 24, 2022 02:27 ET (07:27 GMT)

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