MBG MercedesBenz Group AG

   By Kim Richters 
 

Mercedes-Benz Group AG on Wednesday raised its full-year profit margin target for the cars business after demand and pricing helped lift third-quarter profit.

The German luxury-car maker said quarterly net profit was 3.92 billion euros ($3.91 billion), compared with EUR1.87 billion year earlier. Adjusted earnings before interest and taxes jumped to EUR5.34 billion from EUR3.11 billion and revenue rose 19% to EUR37.72 billion.

At the company's cars business, adjusted return on sales for the quarter stood at 14.5%, up from 8.8%.

The three-month results, which are for continuing operations, benefited from "robust demand and healthy pricing for cars and vans, as well as cost discipline," the company said.

Looking to the full year, Mercedes-Benz lifted the target range for adjusted return on sales for its cars business to 13%-15% from 12%-14%. Car sales in the fourth quarter should come in above sales in the same period last year, it said.

On group level, it raised its EBIT target for 2022, now expecting earnings significantly above last year rather than slightly above as forecast previously.

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

(END) Dow Jones Newswires

October 26, 2022 01:51 ET (05:51 GMT)

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