Daimler: expects operating loss in second quarter
(CercleFinance.com) - Daimler said on Wednesday that it will swing to a second-quarter operating loss in the wake of the effects of the Covid-19 pandemic.
At the company's virtual annual shareholders' meeting today, the German carmaker said it expects negative adjusted group EBIT and a negative free cash flow in the industrial business for the past quarter.
However, the development of revenue in recent weeks - particularly in the passenger car business - provides scope for "cautious optimism," Daimler added.
Mercedes-Benz has already made up some ground in the second quarter, it noted.
In China, for example, Mercedes-Benz achieved its best second quarter ever in terms of unit sales over the past quarter, the group pointed out.
In the first half of the year, unit sales of the Mercedes-Benz brand fell by nearly 19% to 870,000 vehicles.
"As soon as demand picks up again, we can increase production quickly and efficiently," Ola Källenius, Daimler's board chairman, said at the AGM.
Daimler shares were down about 0.5% in Frankfurt on Wednesday.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
At the company's virtual annual shareholders' meeting today, the German carmaker said it expects negative adjusted group EBIT and a negative free cash flow in the industrial business for the past quarter.
However, the development of revenue in recent weeks - particularly in the passenger car business - provides scope for "cautious optimism," Daimler added.
Mercedes-Benz has already made up some ground in the second quarter, it noted.
In China, for example, Mercedes-Benz achieved its best second quarter ever in terms of unit sales over the past quarter, the group pointed out.
In the first half of the year, unit sales of the Mercedes-Benz brand fell by nearly 19% to 870,000 vehicles.
"As soon as demand picks up again, we can increase production quickly and efficiently," Ola Källenius, Daimler's board chairman, said at the AGM.
Daimler shares were down about 0.5% in Frankfurt on Wednesday.
Copyright (c) 2020 CercleFinance.com. All rights reserved.