Daimler AG (OTCMKTS:DDAIF) had a very quiet session price wise as it traded in a very narrow range for the entire day and finally close at the end of the last trading session with a loss of 0.56%. The volume of the day at 195,000 was higher than the daily average of 47,000 but that activity was not reflected on the price as the day’s range was contained inside the range of the previous day. The volatility has been collapsing for the last few days and now an expansion in the next couple of sessions can’t be ruled out.
Daimler AG (OTCMKTS:DDAIF) continued with the successful deployment of its strategic plans and once again established new records for revenue and unit sales in the third quarter. With sales of 720,000 commercial vehicles and cars, the company recorded 13% jump in vehicles sales between July and September compared to the prior-year period.
With sales of more than 508,000 units, Mercedes-Benz recorded strongest quarter to date. The group sales of €37.3 billion in 3Q came 13% higher over the same period, a year ago. Adjusted for exchange-rate impact, revenue jumped 7%.
Group EBIT declined 2% to €3,661 million in 3Q2015. The prior-year quarter was positively impacted due to the stake sale in RRPSH, resulting in a benefit of €1,006 million. But Daimler EBIT from the underway business jumped considerably 31% to €3,657 million.
The net profit came at €2,415 million compared to €2,821 million in 3Q2014. Net profit attributable to DDAIF shareholders amounted to €2,385 million compared to €2,735 million in 3Q2014. This resulted in earnings of €2.23 per share compared to €2.56 per share in the comparable quarter, a year ago.
The management view
Dr. Dieter Zetsche of Daimler said that return on sales in the automotive segment came at 10% in the third quarter, and demonstrated once again that the company is following the right strategy. The company has been making use of right mix of technologies and products. The numbers speak for themselves with revenue and unit sales at record levels. Dr. Zetsche stated that they will take all necessary measures to put company into the leading position.
Mercedes-Benz brand in particular succeeded to significantly exceed its earnings of 3Q2014 following further growth in unit sales. Also, the other automotive segments increased their profits considerably compared with the previous year quarter.