20
Febbraio
2025
|
07:45
Europe/Amsterdam

Mastering Transformation: Mercedes-Benz lays out its roadmap for profitable growth

Riepilogo
  • Cash generation: Solid cash generation with a €9.2 billion free cash flow from the industrial business in 2024.
  • Performance: Comprehensive performance enhancement plan (Next Level Performance) seeks to return Mercedes-Benz Cars to a double-digit adjusted Return on Sales (RoS) margin.
  • Outlook 2025: Group revenue expected slightly below prior-year level, Group EBIT and free cash flow from the industrial business expected significantly below prior-year level.
  • Shareholder returns: Capital allocation framework in place. Dividend of €4.30 per share proposed and new share buyback programme for a maximum of up to €5 billion in up to 24 months decided, subject to Annual General Meeting approval to buy back up to 10% of share capital.

Mercedes-Benz Group AG (ticker symbol: MBG) delivered solid financial results for 2024 and unveiled a multi-year product and performance enhancement plan to strengthen the company’s resilience.  

“Mercedes-Benz Group delivered solid results in a very challenging environment thanks to a range of outstanding products and strict cost discipline. To ensure the company’s future competitiveness in an increasingly uncertain world, we are taking steps to make the company leaner, faster and stronger, while readying an intense product launch campaign for multiple new vehicles starting with the all new CLA.”  
Ola Kaellenius, Chief Executive Officer of Mercedes-Benz Group AG 

Mercedes-Benz's product launch programme starts in 2025 with the CLA, followed by a major upgrade of the S-Class in 2026, an all-electric GLC and C-Class, as well as a string of BEV and electrified high-tech ICE launches at Mercedes-AMG. Overall, sales are expected to gain traction after dozens of new or refreshed models reach the markets until 2027.

To strengthen its competitiveness and resilience, Mercedes-Benz has launched a comprehensive performance enhancement programme – known as Next Level Performance. Through a set of initiatives, Mercedes-Benz Group aims to further leverage growth potential through its direct sales channel, elevate the customer service experience to a new level and to boost revenue quality. In addition, the company will take steps to make its global production footprint more efficient and more flexible. The company plans to cut production costs by 10% until 2027. Material costs will be tackled in close collaboration with suppliers and fixed-cost reductions will continue through to 2027, building on significant progress achieved over the past four years.