Mercedes-Benz raises earnings outlook as supply issues ease

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Mercedes-Benz raises earnings outlook as supply issues ease
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Mercedes-Benz forecast a subdued world economy with monetary policy weighing on consumers but said supply chain issues and energy price pressures were easing, as it raised its group earnings outlook for the full-year.

it was struggling weekly with supply chain problems particularly on key components for EVs.

Still, the outlook for the Mercedes-Benz cars segment of 12%-14% returns on unit sales and revenue at prior level remained unchanged, but property, plant and equipment as well as research and development expenditures will rise, the company said. Mercedes-Benz had set a cautious tone at the beginning of the year on warnings of a sluggish economy but was slightly more optimisticFull-year earnings before interest and tax are now expected to be on par with the 20.5 billion euros made in 2022, it said on Thursday, having previously expected a slight decline.

Mercedes-Benz Vans' outlook for adjusted return on sales was raised to 13% to 15% in 2023, up from 11% to 13% previously forecast, marking the second outlook upgrade in less than three months after a significant increase in sales in the second quarter.as a result of high demand for all-electric and top-end vehicles, posting growth in Europe, Asia and North America.Victoria WalderseeAutos correspondent in Germany, covering the industry's transition to electric vehicles.

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