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CONSUMER CYCLICALS: Mercedes-Benz (MBGGR A2/A/A): 2Q24 Results

CONSUMER CYCLICALS

Credit neutral results, although the market will be relieved at the outcome with many other OEMs struggling this earnings season.

  • Revenues were just shy (-1.5%) of consensus.
  • Adj. EBIT came in 3% ahead, albeit 19% lower YoY. Weakness in the more profitable top end cars was the main driver.
  • FCF fell 52% YoY to €1.6bn; 20% below expected (2 estimates).
  • Net industrial cash down 17% QoQ to €28bn, due to timing of shareholder returns.
  • FY24 guidance reiterated.
  • Credit losses ratio at MBM continues to rise slightly. At 0.40% YTD, that would be the highest since 2011 if maintained for the year.
  • Webcast underway https://group.mercedes-benz.com/investors/reports-news/interim-reports/q2-2024/

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