Preliminary Q3 Results Above Market View; Positive Impact for the Remainder of the Year 2020 Expected, Daimler Says

Must Read

List of United Bank for Africa (UBA) Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number that usually identifies both the bank and the branch where an account is held. The sort...

How To Block Your Bank Account And SIM Card In Case Of Emergency

Losing your phone and wallet or having them stolen can be very frustrating. However, in case that happens to...

List of Access Bank Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number which usually identifies both the bank and the branch where an account is...
- Advertisement -

Daimler has seen a faster than expected market recovery and a particularly strong September performance. This, combined with diligent cost discipline, extensive cash preservation measures and further efficiency enhancements means that Industrial Free Cash Flow, Daimler Group EBIT adjusted, Mercedes-Benz Cars & Vans EBIT adjusted, Daimler Trucks & Buses EBIT adjusted and Daimler Mobility EBIT adjusted are all significantly above market expectations for the third quarter of 2020.

Preliminary Q3 Results Above Market View, Positive Impact for the Remainder of the Year 2020 Expected, Daimler Says
Preliminary Q3 Results Above Market View; Positive Impact for the Remainder of the Year 2020 Expected, Daimler Says (www.brandspurng.com)

The unusually strong Industrial Free Cash Flow in the quarter reflects the extensive cost and cash preservation measures and strong operative performances across all divisions leading to favourable cash-conversion ratios. In addition, the quarter saw the expected receipt of a € 1.2 billion dividend from Daimler’s Chinese joint venture BBAC and a positive contribution from working capital.

“The third quarter shows a very strong performance and provides further proof that we are on the right path to reducing the break-even of our company. At the same time, we continued to seize opportunities from improving markets with the great products of Mercedes-Benz Cars & Vans and Daimler Trucks & Buses. This gives us confidence to push ahead with our work both on the strategic and operational side of the business. We expect positive momentum to continue in the fourth quarter, however with the regular year-end seasonality,” stated Harald Wilhelm, Member of the Board of Management of Daimler AG responsible for Finance & Controlling and Daimler Mobility. The following stated figures for the third quarter 2020 are preliminary and unaudited:

  • Industrial Free Cash Flow: € 5,139 million (consensus: € 2,973 million)
    Industrial Free Cash Flow adjusted € 5,345 million (consensus: n/a)
  • Net Industrial Liquidity: € 13.1 billion (Q2-20: €9.5 billion)
  • Daimler Group EBIT: € 3,071 million (consensus: € 1,950 million)
    EBIT adjusted: € 3,480 million (consensus: € 2,498 million)
  • Mercedes-Benz Cars & Vans EBIT: € 2,118 million (consensus: € 1,320 million)
    EBIT adjusted: € 2,417 million (consensus: € 1,782 million)
    Return on Sales (RoS) adjusted: 9.4% (consensus: 6.5%)
  • Daimler Trucks & Buses EBIT: € 541 million (consensus: € 350 million)
    EBIT adjusted: € 603 million (consensus: € 400 million)
    Return on Sales (RoS) adjusted: 6.5% (consensus: 4.3%)
  • Daimler Mobility EBIT: € 590 million (consensus: € 381 million)
    EBIT adjusted: € 602 million (consensus: € 406 million)
    Return on Equity (RoE) adjusted: 16.5%

The preliminary results include the following adjustments affecting EBIT:

  • Expenses of € 407 million mainly for ongoing efficiency programs and including € 68 million for adjustment and realignment of capacities within the global production network in connection with the intended sale of the car plant in Hambach.
  • Total of legal proceedings and related measures for Daimler Group: € 2 million.
Read Also:  Anniversary Of The Brand Name: 120 Years Of Mercedes – The Girl And The Brand
- Advertisement -

Given the development of the third quarter, Daimler also expects a positive impact for the remainder of the year, however with the fourth quarter 2020 to show the usual year-end seasonality pattern. Please note this statement is made under the assumption of no further COVID-19 lockdowns.

Accordingly, Daimler expects to publish updated guidance for the financial year 2020 together with its quarterly results on October 23, 2020.

EBIT, EBIT adjusted, RoS adjusted, RoE adjusted, Industrial Free Cash Flow and Industrial Free Cash Flow adjusted are defined on pp. 64 and 73 of the Daimler Annual Report 2019.

HEADLINES YOU MIGHT HAVE MISSED FROM BRAND SPUR

Top 10 Smartphone Brands Capture 88% Market Share in Q2 2020 as Huawei and Samsung Tie at 20%

- Advertisement -
Read Also:  Opay shuts down other business arms to focus on fintech, e-commerce

Worldwide smartphone sales suffered a hit during the second quarter of 2020, dropping by 20.4%. In total, 294.7 million units were sold during the three-month period compared to 370.3 million units in Q2 2019.

Ogun Govt Releases N500,000 to Trade Associations, Artisan Groups

In a bid to further enhance rapid economic growth in Ogun State as well as ensure the wellbeing of its citizenry, the State Government has released the sum of Five Hundred Thousand Naira as subvention to Trade Associations and Artisan Groups.

You Should Probably Shut Up At These Critical Times

- Advertisement -

Talking can help you connect with others, but it can also destroy relationships. Here are some critical times when you should shut your mouth—before you put your foot in it.

Sani Abacha loot – The only guaranteed money back scheme in Nigeria

The late General Sani Abacha was a Nigerian army general and dictator who ruled Nigeria from 1993 until his death in 1998. The Sani Abacha administration period had a boom in the country’s federal exchange reserve from $494 million in 1993 to $9.6 billion by the middle of 1997 and the administration also reduced the external debt of Nigeria from $36billiom in 1993 to $27 billion by 1997.

- Advertisement -
Preliminary Q3 Results Above Market View; Positive Impact for the Remainder of the Year 2020 Expected, Daimler Says - Brand SpurPreliminary Q3 Results Above Market View; Positive Impact for the Remainder of the Year 2020 Expected, Daimler Says - Brand Spur

Subscribe to BrandSpur Ng

Subscribe for latest updates. Signup to best of brands and business news, informed analysis and opinions among others that can propel you, your business or brand to greater heights.

- Advertisement -

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Preliminary Q3 Results Above Market View; Positive Impact for the Remainder of the Year 2020 Expected, Daimler Says - Brand SpurPreliminary Q3 Results Above Market View; Positive Impact for the Remainder of the Year 2020 Expected, Daimler Says - Brand Spur

Latest News

May & Baker Nigeria appoints new Executive and Managing Director as Nnamdi Nathan Okafor takes a bow

Sequel to the Board Meeting of May & Baker Nigeria Plc held on Thursday, 26th November 2020 at the...

Household Consumption Expenditure Contracts By -0.08% in Q2 2020 – NBS

In the first quarter of 2020, Nigeria's real GDP at basic prices grew by 1.87% but declined in the second quarter by -6.10% on a...

NSE Migrates 4 Companies from ASeM to Growth Board

The Nigerian Stock Exchange (NSE) is pleased to announce the migration of Chellarams Plc, Living Trust Mortgage Plc, McNichols Plc, and The Initiates Plc...

Fidelity Bank’s MD/CEO Designate purchases 5 million shares

Fidelity Bank Nigeria Plc has announced that its Managing Director/CEO Designate, Mrs. Nneka Onyeali-Ikpe has increased her stake in the business via the purchase...

Chinese FMCG companies win 82 million new customers

Despite challenges due to the pandemic, 19 out of the top 22 FMCG companies in China grew their shopper base this year. The top 22...
- Advertisement -
BrandsPur Weekly Cartoons
- Advertisement -Preliminary Q3 Results Above Market View; Positive Impact for the Remainder of the Year 2020 Expected, Daimler Says - Brand SpurPreliminary Q3 Results Above Market View; Positive Impact for the Remainder of the Year 2020 Expected, Daimler Says - Brand Spur