Daimler Trucks Reports Increase in Sales for 2019 Second Quarter

26 Jul, 2019 | posted in: News | 0
Daimler Trucks Reports Increase in Sales for 2019 Second Quarter

Sales for Daimler Trucks were up in the second quarter of 2019, giving a silver lining to a depressing sales and earnings report from its parent company, Daimler AG, which suffered a significant hit and its first quarterly net loss (USD 1.34 billion) in ten years.

Daimler Trucks is a wholly owned subsidiary of Daimler AG. The former company is the world’s leading manufacturer of commercial trucks and buses.

Freight Waves reports that Daimler Truck sales increased by 2 percent in the second quarter of 2019 compared to the second quarter of 2018: from 123,910 vehicles to 126,474. Meanwhile revenue increased 14 percent—from USD 8.4 billion to USD 9.5 billion—and return on sales increased from 5.9 percent to 6.9 percent.

In the United States, Daimler Trucks sells more heavy duty trucks than any other company via its North American subsidiaries Freightliner and Western Star. Moreover, it has a majority stake in Mitsubishi Fuso, a leading producer of medium duty commercial trucks.

There has been a substantial decline in orders for 2019, however, which company executive Martin Daum said is a reflection of the previous year’s extraordinary numbers.

“The incoming orders at Trucks were lower than the exceptionally high numbers in the prior year,” he explained. “This applies particularly to North America, but you have to highlight that 2018 was a very unusual year.”

Daum added:

“We have a very strong and solid order backlog that provides good visibility for the second half of the year. So we feel confident for that period.”