Mercedes-Benz sales have exceeded expectations due to these cars
Despite the global shortage of semiconductors, Mercedes-Benz claimed that its sales in 2021 exceeded their estimates.
Following this announcement, Mercedes' stock price soared in Friday's trade. The company, which was formerly known as Daimler, reported solid first-quarter financial performance that exceeded its forecasts for 2021.
The vehicle and van unit now forecasts adjusted earnings before interest and taxes of roughly €14 billion ($15.9 billion) for the whole year, as well as an adjusted sales return of 12.7%, exceeding the predicted range of 10% to 12%.
Despite the persistent shortage of semiconductors, the Mercedes-Benz Cars and Vans segment generated an adjusted sales return of 15% in the fourth quarter of the previous fiscal year.
Because to its strong net price policy, robust product mix, and great used car performance, the unit has been able to achieve this return on sales.
According to the company, the SUV segment is expected to earn adjusted EBIT of around €3.4 billion and an adjusted return on equity of around 22 percent, compared to a projection range of 20 percent to 22 percent.
The group had previously stated that the separation of Daimler's commercial vehicles unit will have a considerable positive impact on the firm's earnings before revenue and taxes in the fourth quarter.
As the annual report of the group's business performance for 2021 will be released on March 11, the impact on the group's earnings before revenue and taxes is now projected to be between 9 and 10 billion euros.
According to Bloomberg, the auto sector has been impacted by a global shortage of high-tech components, which has resulted in production halts and backlogs.
According to Bloomberg, the Mercedes-Benz Group had a challenging third quarter last year, losing its position as the leader in luxury automobile sales to a German competitor (BMW) for the first time since 2015.
The Mercedes-Benz Group plans to produce battery electric automobiles in all of its units this year, as a first step toward its goal of selling entirely electric cars by 2030.