Daimler Truck announced impressive financial results for the second quarter, citing increased revenue and net profit. The German truck and bus manufacturer reported a net profit of 1.00 billion euros ($1.10 billion), up from EUR946 billion in the same period last year. Revenue also saw a significant boost, rising to EUR13.88 billion from EUR12.10 billion.
Daimler's adjusted earnings before interest and taxes (EBIT) saw a remarkable increase of 41% to EUR1.43 billion. The company's adjusted return on sales for the industrial business stood at 10.3% compared to 8.0% in the previous year. Additionally, industrial free cash flow experienced notable growth, reaching EUR382 million following a EUR756 million loss in Q2 of 2019.
The strong performance of Daimler Truck can be attributed to high demand, favorable pricing, and improvements made to the aftersales business. While unit sales grew by 9% to 131,888, incoming orders witnessed a decline of 13% to 96,936. Despite a slight decrease in earnings per share to EUR1.11 from EUR1.12, Daimler remains optimistic about the future.
Daimler has reaffirmed its 2023 guidance, which was upgraded in July, demonstrating confidence in its ability to sustain this positive momentum.
By David Sachs
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