Mercedes Benz Half-Year Report 2024

At the Annual General Meeting of Mercedes-Benz Group AG on 8 May 2024, the shareholders approved a dividend of €5.30 per share for the 2023 year (2022: €5.20). The total distribution for the year 2023 was €5.5 billion (2022: €5.6 billion).

Dr Bernd Pischetsrieder stepped down from the Supervisory Board of Mercedes-Benz Group AG at the end of the Annual General Meeting. Dr Martin Brudermüller was elected as Dr Pischetsrieder’s successor as Chairman of the Supervisory Board. Dr Doris Höpke, ex-member of the Board of Management of Münchener Rückversicherungs-Gesellschaft Aktiengesellschaft (Munich Re) was elected as a new member of the Supervisory Board.

Sustainable financing

• In July 2024, Mercedes-Benz Group AG issued the first Green Auto Loan Asset-Backed Security (ABS) in China. The transaction has a volume of RMB765 million (approximately €100 million), a weighted average life of 1.42 years and a coupon rate of 1.87% p.a.

Highlights

• Revenue of €36,743 million in the second quarter of 2024 was slightly below the prior-year quarter figure of €38,241 million. This was due to the slight decrease in unit sales, an unfavourable product mix, negative net pricing effects and a negative development of exchange rates.
• Cost of sales amounted to €28,919 million in the second quarter of 2024 (Q2 2023: €29,250 million). The decrease in the second quarter was mainly due to the slight drop in unit sales and lower material costs. This was offset by increased expenses for measures in connection with product lifecycles. As a result, gross profit in relation to revenue in the second quarter of 2024 was significantly below the level of the same quarter of the previous year.
• Selling expenses were at the same level as in the prior-year quarter, while general administrative expenses were below the level of the same quarter of the previous year mainly due to lower personnel expenses.
• Research and non-capitalized development costs in the second quarter were significantly below the prior-year level. The decrease is mainly due to lower expenses in connection with existing vehicle models.
• The other operating income/expense in the second quarter of 2024 was significantly above the level of the same quarter of the previous year. In the previous year, expenses in connection with the discontinuation of business activities in Russia had a negative impact on the results.
• In particular, the lower proportional contribution of the investment in Daimler Truck Holding AG due to an impairment loss led to a decrease in the gains/losses on equity-method investments.
• The other financial income in the second quarter of 2024 amounted to €11 million (Q2 2023: €101 million).
• EBIT amounted to €4,037 million in the second quarter of 2024 and was thus significantly below the prior-year level of €4,988 million.