Mercedes-Benz reported 2025 earnings within guidance as cost savings and new models offset weaker volumes and pricing pressure.
The German carmaker posted revenue of €132.2bn ($156.78bn) and adjusted EBIT of €8.2bn for 2025, down 9.2% and 39.9% respectively year-on-year.
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It reflected the impact of global tariffs, foreign-exchange headwinds and intense competition in China.
Net profit declined 48.8% to €5.33bn.
Free cash flow from the industrial business totalled €5.4bn, compared with €9.2bn in 2024, while net liquidity rose to €32.2bn at year-end.
Mercedes-Benz proposed a dividend of €3.50 per share and said total shareholder return exceeded 20% in 2025.
Mercedes-Benz Cars recorded €4.8bn adjusted EBIT and a 5% adjusted return on sales (RoS), with unit sales falling 9.2% to 1.8 million vehicles.
Cost-efficiency actions under the Next Level Performance programme contributed more than €3.5bn to EBIT.
Mercedes-Benz Vans generated €1.75bn adjusted EBIT and a 10.2% adjusted RoS on sales of 359,136 units.
Mercedes-Benz Financial Services reported €1.27bn adjusted EBIT and a 9.7% adjusted return on equity (RoE).
During 2025, the group introduced new versions of the CLA, GLB and GLC, and presented an updated S-Class featuring MB.OS and fourth-generation MBUX.
It plans to launch more than 40 models by 2027, aiming for Mercedes-Benz Cars mid-term sales of about two million vehicles, a doubling of xEV share and over 15% growth in Top-End vehicles.
For 2026, Mercedes-Benz expects group revenue at the prior-year level and group EBIT “significantly above” 2025, while free cash flow from the industrial business is forecast slightly lower.
Guidance includes Mercedes-Benz Cars adjusted RoS of 3-5%, Vans 8-10% and financial services adjusted RoE of 10-12%.
Separately, Bloomberg reported that chief financial officer Harald Wilhelm said Mercedes-Benz intends to sell part of its roughly 35% holding in Daimler Truck this year to raise cash as sales and margins come under pressure.
The stake is valued at about €12bn, with proceeds to be returned to shareholders and further details expected in May.
The planned disposal comes as the carmaker prepares for a challenging year, having previously indicated margins are expected to be flat at best due to trade frictions and strong competitive pressure in China.
Just Auto has reached out to Mercedes-Benz for comment.
