Daimler Profit Rises on Higher Sales Volumes image

German car and truck maker Daimler Thursday reported a rise in net profit as demand for its premium brand Mercedes-Benz continued to surge. The company reported a 29 percent rise in net profits to 6.029bn euros ($8bn; £5bn).

The Group achieved its best-ever results in 2011 for unit sales, revenue, EBIT and net profit.
Daimler sold a total of 2.1 million vehicles in 2011, surpassing the prior-year figure by 11%.
All of the automotive divisions contributed to the increase. Group revenue increased by 9% to €106.5 billion; adjusted for exchange-rate effects, there was an increase of 10%.

The net liquidity of the industrial business amounted to €12.0 billion at December 31, 2011 (2010: €11.9 billion).

However, the maker of the S Class sedan issued a cautious outlook Thursday, saying next year’s profits would only equal this year’s and that the debt crisis afflicting the 17-nation Eurozone would mean a flat market in Western Europe.

Mercedes will spend about 2 billion euros to expand production in Asia – China and is investing an additional $2.4 billion in its U.S. plant. The carmaker will also open a new 800 million-euro factory in Hungary this year in a bid to reclaim the top spot in luxury vehicles that it lost in 2005.

Daimler’s shares rose 5% to 46.84 euros in morning trading in Germany.

Table: Earnings in both years were affected by special factors, which are listed in the following table:
In millions of euros
Daimler Trucks
Impairment of investment in Kamaz

Natural disaster in Japan

Adjustment of health-care and pension benefit plans

Repositioning of Daimler Trucks North America

Repositioning of Mitsubishi Fuso Truck and Bus Corporation








Daimler Financial Services
Natural disaster in Japan

Repositioning of business activities in Germany

Sale of non-automotive assets







Impairment of investment in Renault

Gain on the sale of shares in Tata Motors

Income connected with the settlement of a legal dispute

Anniversary bonus and allocation to Foundation







The figures in this document are preliminary and have not yet been approved by the Supervisory Board nor audited by the external auditors.