Daimler AG has maintained its path of profitable growth in 2017 and has again achieved record levels of unit sales, revenue, Group EBIT and net profit. The company sold a total 3.3 million vehicles (+9%) garnering a revenue of 164.3 billion euros (Rs 1,255,909 crore), an increase of 7 percent for the year.

The company reported EBIT of 14.7 billion euros in 2017 (Rs 112,366 crore) a 14 percent increase YoY, which helped it post a new record net profit of 10.9 billion euros (Rs 83,319 crore).

For the current year, Daimler says it will be able to slightly increase its overall unit sales due to the attractive and innovative product portfolio in all divisions, the ongoing positive development of global automotive markets and its strengthening market position.

On the basis of the positive development of unit sales, a slight increase in revenue is anticipated. It says while the growth in unit sales and revenue will have a positive impact on the development of earnings, the continuation of very high advance expenditure for the model offensive and innovative technologies will dampen earnings growth, so the company anticipates Group EBIT in the magnitude of the previous year in 2018.

Dieter Zetsche, chairman of the Board of Management of Daimler AG and Head of Mercedes-Benz Cars said: “We are acting from a position of strength. Our ambition is unchanged: Daimler belongs at the top. The Daimler workforce has once again succeeded in breaking the records set in the previous year. Our company stands for stable success in volatile times. But: stability is no justification for still stand. That’s why we are pushing forward with the transformation in all areas.” 

In its outlook for future growth, the German major expects, that in 2018 the worldwide demand for cars is likely to increase again from an already high level. According to its forecasts, slight growth of approximately 2 percent is to be expected. It expects demand in India will continue to grow significantly.

For the Indian CV market, the group expects the demand for medium- and heavy-duty trucks to recover significantly from the market contraction of 2017. Furthermore, with its expanded range of FUSO vehicles from the Indian production, it sees the opportunity to generate additional sales in Asia, Africa and Latin America.