Slide 1: Q1 2017 Results
Q1 2017 Results Bodo Uebber Member of the Board of Management Finance & Controlling and Daimler Financial Services April 26, 2017 Q1 2017 Results / April 26, 2017 /
Slide 2: Contents
Contents Results for Q1 2017 Outlook for 2017 Development at the divisions Daimler AG Q1 2017 Results / April 26, 2017 / Page 2
Slide 3: Highlights of Q1 2017
Highlights of Q1 2017 Unit sales Revenue – in thousands of units – – in billions of euros – Completion of the E-Class model family with the new E-Class Coupé and E-Class Cabriolet 754 38.8 684 35.0 Start of production of the newly redesigned Mercedes-Benz GLA compact SUV +10% +11% Presentation of th
Slide 4: Continued high level of net industrial liquidity
Continued high level of net industrial liquidity - in billions of euros - Free cash flow industrial business Q1 2017: €1.9 billion +0.3 -0.5 +0.9 21.1 +0.7 19.7 Net industrial Earnings and Working capital Sale of real estate Other Net industrial liquidity other cash flow impact in Japan (mainly capi
Slide 5: Strong financial and balance sheet figures support our financial strength and A-rating
Strong financial and balance sheet figures support our financial strength and A-rating Daimler Group Dec. 31, 2016 March 31, 2017 Equity ratio 22.9% 23.6% Gross liquidity 21.7 21.6 Funded status of pension obligations -7.8 -7.7 Industrial business Equity ratio 44.7% 45.3% Net liquidity 19.7 21.1 Fre
Slide 6: Double-digit growth in unit sales of passenger cars, vans and buses
Double-digit growth in units sales of passenger cars, vans and buses Q1 2016 Q1 2017 % change Daimler Group 683.9 754.3 +10 of which Mercedes-Benz Cars 496.8 568.1 +14 Daimler Trucks 105.7 94.0 -11 Mercedes-Benz Vans 76.6 86.8 +13 Daimler Buses 4.8 5.4 +12 in thousands of units Daimler AG Q1 2017 Re
Slide 7: Mercedes-Benz Cars: product highlights
Mercedes-Benz Cars: product highlights The new GLA compact SUV celebrated its world premiere Daimler AG Q1 2017 Results / April 26, 2017 / Page 7
Slide 8: Mercedes-Benz Cars: product highlights
Mercedes-Benz Cars: product highlights The new E-Class Coupé and Cabriolet complete the E-Class family Daimler AG Q1 2017 Results / April 26, 2017 / Page 8
Slide 9: Mercedes-Benz Cars: product highlights
Mercedes-Benz Cars: product highlights Presentation of the Mercedes-AMG GT Concept hybrid show car Daimler AG Q1 2017 Results / April 26, 2017 / Page 9
Slide 10: Daimler Trucks: product highlights
Daimler Trucks: product highlights First Mercedes-Benz Actros with Active Brake Assist 4 and Sideguard Assist in use Daimler AG Q1 2017 Results / April 26, 2017 / Page 10
Slide 11: Daimler Trucks: product highlights
Daimler Trucks: product highlights Customer trial with small series of the Mercedes-Benz Urban eTruck Daimler AG Q1 2017 Results / April 26, 2017 / Page 11
Slide 12: Daimler Trucks: product highlights
Daimler Trucks: product highlights The new Cascadia, Freightliner’s flagship in heavy-duty class 8 Daimler AG Q1 2017 Results / April 26, 2017 / Page 12
Slide 13: Mercedes-Benz Vans: product highlights
Mercedes-Benz Vans: product highlights Presentation of the new Mercedes-Benz Concept X-CLASS pickup Daimler AG Q1 2017 Results / April 26, 2017 / Page 13
Slide 14: Mercedes-Benz Vans: product highlights
Mercedes-Benz Vans: product highlights Investment in Starship Technologies – the leading manufacturer of delivery robots Daimler AG Q1 2017 Results / April 26, 2017 / Page 14
Slide 15: Daimler Buses: product highlights
Daimler Buses: product highlights Strong complete bus business – positive development of long-distance coach business in Europe Daimler AG Q1 2017 Results / April 26, 2017 / Page 15
Slide 16: Financial Services: highlights Mobility Services
Daimler Financial Services: highlights Mobility Services Daimler AG Q1 2017 Results / April 26, 2017 / Page 16
Slide 17: Financial Services connects passenger car fleets
Daimler Financial Services connects passenger car fleets New connectivity services for company fleets Bundling expertise in fleet connectivity New “connect business” service in addition to Mercedes me Vehicle monitoring & maintenance service Vehicle logistic services Optimization of existing service
Slide 18: Revenue by division
Revenue by division Q1 2016 Q1 2017 % change Daimler Group 35.0 38.8 +11 of which Mercedes-Benz Cars 20.0 22.7 +14 Daimler Trucks 8.2 7.9 -3 Mercedes-Benz Vans 2.8 3.0 +6 Daimler Buses 0.8 0.9 +8 Daimler Financial Services 4.9 5.9 +22 Contract volume of Daimler Financial Services* 132.6 135.0 +2 in
Slide 19: Revenue by region
Revenue by region Q1 2016 Q1 2017 % change Daimler Group 35.0 38.8 +11 of which Europe 14.2 16.2 +14 of which Germany 5.3 5.7 +9 NAFTA 10.6 11.1 +4 of which United States 9.4 9.7 +3 Asia 8.2 9.1 +10 of which China* 3.7 4.2 +15 Other markets 2.0 2.4 +19 in billions of euros * excluding revenue of not
Slide 20: EBIT by division
EBIT by division Q1 2016 Q1 2017 - EBIT in millions of euros; RoS in % - EBIT RoS* EBIT RoS* Daimler Group 2,148 5.7 4,008 10.6 of which Mercedes-Benz Cars 1,395 7.0 2,234 9.8 Daimler Trucks 516 6.3 668 8.4 Mercedes-Benz Vans 301 10.7 357 11.9 Daimler Buses 39 4.7 65 7.2 Daimler Financial Services 4
Slide 21: Group EBIT in Q1 2017
Group EBIT in Q1 2017 - in millions of euros - +532 4,008 +690 +539 -431 of which: • Reconciliation: +92 -11 Impairment BAIC Motor +244 +449 • Cars: Currency • Cars -458 New investors transactions +222 • Cars +417 2,148 • Trucks +55 • Trucks • Vans +83 -61 in HERE • Trucks: +183 • Vans +57 • Buses +
Slide 22: Contents
Contents Results for Q1 2017 Outlook for 2017 Development at the divisions Daimler AG Q1 2017 Results / April 26, 2017 / Page 22
Slide 23: Mercedes-Benz Cars and Vans: continued product offensive
Mercedes-Benz Cars and Vans: continued product offensive E-Class Coupé E-Class All Terrain S-Class facelift E-Class Cabriolet Jan. Feb. March April May June July August Sept. Oct. Nov. Dec. 2017 2018 GLA facelift smart fortwo smart cabrio electric drive electric drive AMG GT Roadster smart forfour P
Slide 24: Assumptions for automotive markets in 2017
Assumptions for automotive markets in 2017 Global +1 to 2% Europe slight growth Car markets USA around the prior-year level China slight growth NAFTA region around -5%, with Class 8 weaker than Class 6-8 Medium- and EU30 around the prior-year level heavy-duty truck Japan* around the prior-year level
Slide 25: 2017 sales outlook
2017 sales outlook Significantly higher unit sales Further growth particularly in China and Europe Mercedes-Benz Cars Strong momentum especially from new E-Class models and SUV portfolio Unit sales around the prior-year level Unit sales around the prior-year level in Europe, North America and Japan
Slide 26: 2017 outlook for EBIT
2017 outlook for EBIT We expect Group EBIT for FY 2017 to increase significantly based on the following expectations for divisional EBIT: Significantly above the prior-year level Mercedes-Benz Cars Slightly below the prior-year level Daimler Trucks Slightly below the prior-year level Mercedes-Benz V
Slide 27: Contents
Contents Results for Q1 2017 Outlook for 2017 Development at the divisions Daimler AG Q1 2017 Results / April 26, 2017 / Page 27
Slide 28: Mercedes-Benz Cars: continued business growth based on strong product portfolio
Mercedes-Benz Cars: continued business growth based on strong product portfolio Unit sales Revenue EBIT – in thousands of units – – in billions of euros – – in millions of euros – 568 22.7 2,234 497 20.0 1,395 +14% +14% +60% Q1 2016 Q1 2017 Q1 2016 Q1 2017 Q1 2016 Q1 2017 Daimler AG Q1 2017 Results
Slide 29: Mercedes-Benz Cars: EBIT
Mercedes-Benz Cars: EBIT - in millions of euros - + 839 9.8%* Higher unit sales 2,234 7.0%* Foreign exchange rates Remeasurement of the equity investment in 1,395 THERE Holding B.V. Higher expenses for new technologies and future products EBIT EBIT Q1 2016 Q1 2017 * Return on sales Daimler AG Q1 201
Slide 30: Mercedes-Benz Cars: sales increase by 14%
Mercedes-Benz Cars: sales increase by 14% reflecting our strong product line-up - in thousands of units - 568 34 smart 497 6 Sports Cars 35 7 188 SUVs 158 18 S-Class 21 95 E-Class 61 108 125 C-Class 107 102 A-/B-Class Q1 2016 Q1 2017 Daimler AG Q1 2017 Results / April 26, 2017 / Page 30
Slide 31: Mercedes-Benz Cars: globally balanced sales structure
Mercedes-Benz Cars: globally balanced sales structure with strong development in all major regions - in thousands of units - 568 497 94 Rest of world 89 167 Europe 153 excl. Germany 74 Germany 70 78 United States 77 155 China 108 Q1 2016 Q1 2017 Daimler AG Q1 2017 Results / April 26, 2017 / Page 31
Slide 32: Mercedes-Benz Cars in China: huge sales growth
Mercedes-Benz Cars in China: huge sales growth with higher share of locally produced vehicles - in thousands of units - imported locally produced 488 400 171 293 150 239 208 147 123 155 108 317 250 45 146 100 116 110 2012 2013 2014 2015 2016 2017 YTD 03 Daimler AG Q1 2017 Results / April 26, 2017 /
Slide 33: Trucks: increase in EBIT driven by sale of real estate in Japan
Daimler Trucks: increase in EBIT driven by sale of real estate in Japan Unit sales Revenue EBIT – in thousands of units – – in billions of euros – – in millions of euros – 106 94 8.2 7.9 668 516 -11% -3% +29% Q1 2016 Q1 2017 Q1 2016 Q1 2017 Q1 2016 Q1 2017 Daimler AG Q1 2017 Results / April 26, 2017
Slide 34: Trucks: EBIT
Daimler Trucks: EBIT - in millions of euros - + 152 8.4%* 6.3%* Efficiency enhancements 668 516 Foreign exchange rates Sale of real estate at the Kawasaki site in Japan Lower unit sales in the NAFTA region EBIT EBIT Q1 2016 Q1 2017 * Return on sales Daimler AG Q1 2017 Results / April 26, 2017 / Page
Slide 35: Trucks: sales decrease by 11% mainly driven by NAFTA region
Daimler Trucks: sales decrease by 11% mainly driven by NAFTA region - in thousands of units - 106 10 94 8 Rest of world 35 30 Asia 6 6 Latin America 40 33 NAFTA region 15 17 EU30* Q1 2016 Q1 2017 * European Union, Switzerland and Norway Daimler AG Q1 2017 Results / April 26, 2017 / Page 35
Slide 36: Trucks: incoming orders increase significantly
Daimler Trucks: incoming orders increase significantly driven by NAFTA region, Indonesia and Middle East - in thousands of units - 124 12 Rest of world 99 10 40 Asia 33 5 Latin America 6 46 NAFTA region 29 21 21 EU30* Q1 2016 Q1 2017 * European Union, Switzerland and Norway Daimler AG Q1 2017 Result
Slide 37: Mercedes-Benz Vans: strong development based on very successful products
Mercedes-Benz Vans: strong development based on very successful products Unit sales Revenue EBIT – in thousands of units – – in billions of euros – – in millions of euros – 86.8 3.0 357 76.6 2.8 301 +13% +6% +19% Q1 2016 Q1 2017 Q1 2016 Q1 2017 Q1 2016 Q1 2017 Daimler AG Q1 2017 Results / April 26,
Slide 38: Mercedes-Benz Vans: EBIT
Mercedes-Benz Vans: EBIT - in millions of euros - + 56 11.9%* 10.7%* 357 Higher unit sales 301 Foreign exchange rates Higher expenses for new technologies and future products EBIT EBIT Q1 2016 Q1 2017 * Return on sales Daimler AG Q1 2017 Results / April 26, 2017 / Page 38
Slide 39: Mercedes-Benz Vans: sales increase by 13%
Mercedes-Benz Vans: sales increase by 13% due to market success of attractive product portfolio - in thousands of units - 86.8 76.6 45.0 Sprinter 41.0 23.2 Vito 21.3 9.3 13.2 V-Class 5.0 5.4 Citan Q1 2016 Q1 2017 Daimler AG Q1 2017 Results / April 26, 2017 / Page 39
Slide 40: Buses: positive development driven by strong European business
Daimler Buses: positive development driven by strong European business and higher unit sales in Latin America Unit sales Revenue EBIT – in thousands of units – – in billions of euros – – in millions of euros – 5.4 4.8 0.9 65 0.8 39 +12% +8% +67% Q1 2016 Q1 2017 Q1 2016 Q1 2017 Q1 2016 Q1 2017 Daimle
Slide 41: Buses: EBIT
Daimler Buses: EBIT - in millions of euros - + 26 7.2%* 65 Better mix in Europe 4.7%* Foreign exchange rates 39 Lower unit sales in Turkey EBIT EBIT Q1 2016 Q1 2017 * Return on sales Daimler AG Q1 2017 Results / April 26, 2017 / Page 41
Slide 42: Buses: sales increase by 12% due to higher demand in emerging markets
Daimler Buses: sales increase by 12% mainly due to higher demand in emerging markets - in thousands of units - 5.4 4.8 0.9 Rest of world 0.5 0.7 1.0 Latin America (excl. Brazil and Mexico) 1.5 1.4 Brazil 0.5 0.7 Mexico 1.6 1.4 EU30* Q1 2016 Q1 2017 * European Union, Switzerland and Norway Daimler AG
Slide 43: Financial Services: further business growth
Daimler Financial Services: further business growth New business Contract volume EBIT – in billions of euros – – in billions of euros – – in millions of euros – 16.8 132.6 135.0 524 13.7 432 +23% +2% +21% Q1 2016 Q1 2017 12/31/2016 3/31/2017 Q1 2016 Q1 2017 Daimler AG Q1 2017 Results / April 26, 201
Slide 44: Financial Services: EBIT
Daimler Financial Services: EBIT - in millions of euros - + 92 19.3%* 17.4%* 524 432 Higher contract volume EBIT EBIT Q1 2016 Q1 2017 * Return on equity Daimler AG Q1 2017 Results / April 26, 2017 / Page 44
Slide 45: Financial Services: further increase in contract volume to 135.0 billion euros
Daimler Financial Services: further increase in contract volume to 135.0 billion euros (+2%) - in billions of euros - 132.6 135.0 24.9 26.8 Africa & Asia-Pacific 54.2 53.7 Americas 31.6 32.2 Europe (excl. Germany) 21.8 22.3 Germany 12/31/2016 3/31/2017 Daimler AG Q1 2017 Results / April 26, 2017 / P
Slide 46: Financial Services: net credit losses at low level
Daimler Financial Services: net credit losses* at low level due to disciplined risk approach 0.89% 0.83% 0.69% 0.68% 0.61% 0.50% 0.51% 0.36% 0.43% 0.34% 0.37% 0.31% 0.31% 0.24% 0.25% 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 YTD * as a percentage of portfolio, subjec
Slide 47: Disclaimer
Disclaimer This document contains forward-looking statements that reflect our current views about future events. The words “anticipate,” “assume,” “believe,” “estimate,” “expect,” “intend,” “may,” ”can,” “could,” “plan,” “project,” “should” and similar expressions are used to identify forward-lookin