Mercedes-benz Group Ag · XETR:MBG
Mercedes-benz — Debt Investor Presentation (2022)
74 slides from Mercedes-benz's debt investor presentation, 2022
Slide 1: Fixed Income Presentation Q3 2022
Internal Fixed Income Presentation Q3 2022 Mercedes-Benz Group AG
Slide 2: Agenda
Internal AGENDA I. MERCEDES-BENZ GROUP REVIEW Q3 2022 II. DIVISIONAL REVIEW Q3 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q3 2022 2
Slide 3: Mercedes-Benz Group: Key figures
Internal Mercedes-Benz Group: Key figures* Revenue EBIT EBIT adj. Free Cash Flow (IB) Net Industrial Liquidity in billion euros in billion euros in billion euros in billion euros in billion euros +19% +11% +72% 37.7 +83% 23.3 5.3 5.2 21.0 31.6 0% 3.1 3.0 3.0 2.8 Q3 2021 Q3 2022 Q3 2021 Q3 2022 Q3 20
Slide 4: Mercedes-Benz Group: Q3 2022 EBIT
Internal Mercedes-Benz Group: Q3 2022 EBIT* In million euros 357 2,096 148 5,344 5,196 -366 -148 271 3,109 2,838 • Legal proceedings + 74 • Restructuring + 101 • Legal proceedings - 97 • M&A transactions + 96 • M&A transactions - 51 EBIT EBIT EBIT Mercedes-Benz Mercedes-Benz Mercedes-Benz EBIT Adjus
Slide 5: Reconciliation from CFBIT to Free Cash Flow
Internal Mercedes-Benz Group: Reconciliation from CFBIT to Free Cash Flow In million euros 434 3,374 293 3,309 179 3,016 83 -875 -179 • Legal proceedings + 262 • Restructuring + 13 • M&A transactions + 18 Free cash flow Free cash flow Mercedes-Benz Mercedes-Benz Income taxes Effects from Other recon
Slide 6: Group: Net Industrial Liquidity
Internal Mercedes-Benz Group: Net Industrial Liquidity In billion euros 1.7 1.2 23.3 3.2 0.2 -0.4 -1.7 19.1 Free cash flow industrial business Q3 2022: € 3.0 billion Additions to Net Industrial Earnings and Depreciation and Investments in Net Industrial Working capital property, plant, Liquidity oth
Slide 7: Group: Gross Liquidity
Internal Mercedes-Benz Group: Gross Liquidity inbillions in billionsof EURof EUR MBM Industrial Business 5.6 0.1 -7.3 5.2 -14.1 30.7 -5.6 5.6 6.1 1.5 -0.8 21.0 5.1 24.6 15.9 Gross Liquidity Dividend FCF FCF Other ABS New Bond New FX & Gross Liquidity 12/31/2021 Payment IB MBM Debt Maturities ABS Mat
Slide 8: Financial flexibility over a 12-month period
Internal Mercedes-Benz Group: Financial flexibility over a 12-month period Q3 2022 in billions of EUR 54.0 Other incl. ABS potential 42.0 Fin. Lease Net industrial liquidity increased to €23.3 billion Commercial paper Daimler Truck Gross industrial liquidity at €15.9 billion stake Bank loans Financi
Slide 9: Agenda
Internal AGENDA I. MERCEDES-BENZ GROUP REVIEW Q3 2022 II. DIVISIONAL REVIEW Q3 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q3 2022 9
Slide 10: Mercedes-Benz Cars: Key messages
Internal Mercedes-Benz Cars: Key messages Products: Start of sales EQS SUV and GLC; World Premiere EQE SUV Profitability: Sustaining high margins with healthy mix and pricing Performance: Robust demand in volatile markets; demand exceeds constrained supply Partnerships: Signed MoU with government of
Slide 11: Cars: Top-End Luxury and electric vehicle unit sales
Internal Mercedes-Benz Cars: Top-End Luxury and electric vehicle unit sales In thousand units +38% 530 +39% +5% 79 85 79* 75* G 383 9 9 5 Maybach Top-End 5 37 BEV 75 61 Luxury 293 36 AMG 19 31 Core 193 Luxury S EQS 48 PHEV 41 42 40 GLS Entry 158 115 EQS SUV*** Luxury** Q3 2021 Q3 2022 Q3 2021 Q3 202
Slide 12: Cars: Financials
Internal Mercedes-Benz Cars: Financials Sales Revenue EBIT adj. CFBIT adj. in thousand units in billion euros in billion euros in billion euros +38% +26% 530.4 28.2 +106% 4.1 22.4 383.5 -2% 3.6 3.6 2.0 +3% 75.4* 73.4* Q3 2021 Q3 2022 Q3 2021 Q3 2022 Q3 2021 Q3 2022 Q3 2021 Q3 2022 * ASP in thousand
Slide 13: Cars: Q3 2022 EBIT & RoS
Internal Mercedes-Benz Cars: Q3 2022 EBIT & RoS In million euros Gross Profit +2,071 2,950 102 478 4,081 4,034 -981 -47 -203 -28 -222 147 1,985 RoS: RoS: 1,838 14.5% 14.3% Significantly increased unit sales Strongly improved net pricing RoS: RoS: Higher at-equity contribution from BBAC 8.2% 8.8% Hig
Slide 14: Cars: EBIT to CFBIT
Internal Mercedes-Benz Cars: EBIT to CFBIT In million euros 4,034 188 1,549 178 3,552 3,374 -402 -417 -1,578 CCR: CCR: 0.8 0.9 t/o • New vehicle stock - 2,128 t/o • Legal proceedings + 166 • Unfinished product + 734 • Result at-equity BBAC - 585 • Restructuring + 12 Net investments Depreciation and
Slide 15: Mercedes-Benz Vans: Key messages
Internal Mercedes-Benz Vans: Key messages Performance: Significantly increased unit sales despite semi-conductor shortages Profitability: Continuing strong margin with healthy mix and net pricing Market: Robust demand in key markets Partnerships: Signed MoU with Rivian for joint production and furth
Slide 16: Vans: Financials
Internal Mercedes-Benz Vans: Financials Sales Revenue EBIT adj. CFBIT adj. in thousand units in billion euros in million euros in million euros +18% +22% 104.0 +5% 4.3 +189% 529 88.0 546 504 3.5 thereof 189 Q3 2021 Q3 2022 Q3 2021 Q3 2022 Q3 2021 Q3 2022 Q3 2021 Q3 2022 Fixed Income Presentation Q3
Slide 17: Vans: Q3 2022 EBIT & RoS
Internal Mercedes-Benz Vans: Q3 2022 EBIT & RoS In million euros Gross Profit +258 35 584 85 546 497 51 -49 -361 -31 -5 RoS: RoS: 12.7% 24 189 11.5% 165 Significantly increased unit sales Strongly improved net pricing RoS: RoS: Positive Impact from China business activities 4.7% • Restructuring + 2
Slide 18: Vans: EBIT to CFBIT
Internal Mercedes-Benz Vans: EBIT to CFBIT In million euros 24 5 95 529 497 108 434 -63 -137 CCR CCR 1.0 0.9 t/o • New vehicle stock - 128 • Trade payables + 202 • Legal proceedings + 95 Net investments Depreciation and CFBIT EBIT Change in working Net financial CFBIT in pp&e and amortization/ Other
Slide 19: Mercedes-Benz Mobility: Key messages
Internal Mercedes-Benz Mobility: Key messages New business impacted by lower penetration Interest margin with headwinds from increasing interest rates Increase in credit risk reserves driven by weaker macroeconomic outlook Net credit losses at low level similar to 2021 Transfer of remaining Truck bu
Slide 20: Mobility: Financials
Internal Mercedes-Benz Mobility: Financials New Business Contract Volume EBIT adj. in billion euros in billion euros in million euros +2% -3% 14.6 133.7 135.7 14.3 -39% 943 577 Q3 2021 Q3 2022 12/31/2021 09/30/2022 Q3 2021 Q3 2022 Fixed Income Presentation Q3 2022 20
Slide 21: Mobility: Q3 2022 EBIT & RoE
Internal Mercedes-Benz Mobility: Q3 2022 EBIT & RoE In million euros 49 943 0 943 -122 25 577 0 577 -237 -5 RoE: RoE: -76 23.3% 23.3% Favorable FX development RoE: RoE: Increase in credit risk reserves driven by weaker macroeconomic outlook 15.8% 15.8% Interest margin with headwinds due to increasin
Slide 22: Mobility: Net credit losses
Internal Mercedes-Benz Mobility: Net credit losses* in thousand units 0.89% 0.83% 0.68% 0.61% 0.50% 0.51% 0.43% 0.36% 0.37% 0.34% 0.33% 0.31% 0.31% 0.26% 0.26% 0.24% 0.21% 0.21% 0.18% 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 ytd 2022 * As percentage o
Slide 23: Agenda
Internal AGENDA I. MERCEDES-BENZ GROUP REVIEW Q3 2022 II. DIVISIONAL REVIEW Q3 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q3 2022 23
Slide 24: Divisional Guidance 2022
Internal Mercedes-Benz Divisional Guidance 2022 ASSUMPTION The macroeconomic and geopolitical conditions continue to be characterized by an exceptional degree of uncertainty. A key factor contributing to this is the war in Ukraine, with its effects on supply chains and on the availability and the de
Slide 25: Group Guidance 2022
Internal Mercedes-Benz Group Guidance 2022 ASSUMPTION The macroeconomic and geopolitical conditions continue to be characterized by an exceptional degree of uncertainty. A key factor contributing to this is the war in Ukraine, with its effects on supply chains and on the availability and the develop
Slide 26: Strategic priorities for this year - progressing
Internal Strategic priorities for this year - progressing Scale Grow Accelerate Alleviate Focus electric luxury car supply relentlessly vehicles business software constraints on costs Fourth EVA2 vehicle in Advance in MB.OS and First direct sourcing Elevate portfolio Battling inflation launch ADAS d
Slide 27: Agenda
Internal AGENDA I. MERCEDES-BENZ GROUP REVIEW Q3 2022 II. DIVISIONAL REVIEW Q3 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q3 2022 27
Slide 28: Our funding strategy is built on strict principles
Internal Our funding strategy is built on strict principles No dependence from single markets, instruments, banks or investors Targeting Diversification of funding sources and instruments: Financial Bank Loans, Bonds, ABS, Commercial Paper Independence No Covenants and asset pledges, no Credit Suppo
Slide 29: Portfolio at Mercedes-Benz Mobility increased slightly compared to 2021
Internal Portfolio at Mercedes-Benz Mobility increased slightly compared to 2021 mainly driven by foreign exchange rate effects Wholesale 163 154 151 140 Loan Lease 133 134 136 Truck 117 spin-off (Phase 1) 99 Portfolio (in bn €) 80 84 72 74 Truck & Bus share after 71 68 spin-off (Phase 1 and 62 64 m
Slide 30: Mobility benefits from stringent credit management and solid refinancing
Internal Mercedes-Benz Mobility business benefits from stringent credit management and solid refinancing Net credit losses as a percentage of portfolio, subject to credit risk 0.89 Net credit losses on very low level benefiting from 0.83 strong used car markets, i.e. collateral values. Yet 0.68 0.61
Slide 31: Well balanced Bond Maturity Profile
Internal Well balanced Bond Maturity Profile in billions of EUR as of 30th September 2022 Issued in 2022 Maturities 12.4 0.2 10.9 0.5 6.6 12.2 0.6 5.0 10.5 0.1 3.6 3.8 3.1 5.9 2.5 5.0 2.2 1.3 1.3 1.0 0.5 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2033 2034 2037 Fixed Income Presentation Q3 20
Slide 32: Financing liabilities show a diversified funding mix
Internal Financing liabilities show a diversified funding mix in billions of EUR Lease Liabilities Acc. Deposits Other (ex Lease Liab.) Bank Loans Com. Paper Bonds 161.8 ABS 3% 145.0 1% 145.8 3% 1% 9% 2% 1% 2% 9% 8% 11% 0% 125.8 2% 8% 1% 10% 112.9 2% 15% 0% 1% 25% 15% 1% 27% 11% 22% 10% 19% 22% 53%
Slide 33: Balanced mix of funding instruments
Internal To ensure sustainable portfolio growth, we mitigate risk and volatility through a balanced mix of funding instruments Capital Markets Strengthen our global footprint and use market opportunities Deepen our excellent Other Lease Liabilities Bank Loans bank relationships 1% 2% Globally expand
Slide 34: Diversified global funding base
Internal Diversified global funding base: continuously matched with MBM requirements Canada EMTN Domestic Bonds CP Euro Market ABS EMTN Japan Domestic CP EUR CP Program USA EMTN Italy & Hungary: China ABS 144a / RegS PP - Domestic Bonds Turkey Domestic Bond Prog. EMTN ABS Domestic Bond Prog. ABS CP
Slide 35: Group's financial KPIs set to support a strong rating
Internal Mercedes-Benz Group’s financial KPIs set to support a strong rating Agency Long-term Outlook Short-term Standard & Poor's: A- stable A-2 Moody’s: A3 positive P-2 Current Ratings: Fitch: A- positive F1 DBRS: A (low) stable R-1 (low) Scope: A stable S-1 Fixed Income Presentation Q3 2022 35
Slide 36: Contributions stabilized funded ratio in low interest rate environment
Internal Contributions stabilized funded ratio in low interest rate environment Daimler Group Mercedes-Benz Group 14 11.5 12 9.8 10 8.6 8.1 8 7.4 7.8 5.9 Significant contri- 6 3.1 4.5 3.7 4.3 4.3 butions since 2012 4 2.4 2 1.1 0.5 1.9 0.5 0.5 0.6 0.5 1.3 support the solid 0 -0.3 capital structure -2
Slide 37: Agenda
Internal AGENDA I. MERCEDES-BENZ GROUP REVIEW Q3 2022 II. DIVISIONAL REVIEW Q3 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q3 2022 37
Slide 38: Holistic sustainable business strategy
Internal We follow a holistic sustainable business strategy: Ecological, social, economical Climate & Air Protection Human Resource Rights Conservation Integrity People Data Sustainable Responsibility Urban Mobility Partnerships Traffic Safety Fixed Income Presentation Q3 2022 38
Slide 39: CO2-neutral across the value chain
Internal Supply chain Production & Logistics Well-to-tank Tank-to-wheel End-of-life SBTi SBTi SBTi CO2-neutral CO2-neutral CO2-neutral CO2-neutral CO2-neutral supply chain production & logistics energy generation vehicle operation recycling Fixed Income Presentation Q3 2022 39
Slide 40: Halve lifecycle CO2 emissions per vehicle this decade
Internal We will at least halve lifecycle CO2 emissions per vehicle in this decade 100% More than half per decade End-of-life Use phase Use phase Production & Production & logistics logistics Supply chain & Supply chain raw materials 2020 2030 Fixed Income Presentation Q3 2022 40
Slide 41: Electric product rollout with nine electric models in 2022
Internal Our electric product rollout is running at full speed with nine electric models on the road in 2022 and more to come In 2021 alone, we were introducing four new battery electric vehicles 2019 EQC By 2022, we will have battery electric options in all segments we serve 2020 By 2025, our custo
Slide 42: Three EV-only architectures to be launched in 2025
Internal Three Mercedes-Benz EV-only architectures to be launched in 2025 Ready to go all-electric by the end of the decade* medium- and large-size cars dedicated performance for electric vans modular system as electric electric-vehicle architecture and light commercial backbone for our EV portfolio
Slide 43: Expanding activities in battery cells and systems with partners
Internal Together with our partners, we will expand our activities in battery cells and systems Needed battery volume for all car lines Our targets: 200 Gwh Capacity of more than 200 Gigawatt hours 8 new cell factories around the world: one in the U.S., four in Europe with our partners Our partners
Slide 44: By joining ACC, we build a European battery champion
Internal By joining ACC, we build a European battery champion We take a one third stake in Automotive Cells Company (ACC). Our goal: Joint development and production of cells and modules in Europe. ACC will reach a capacity of at least 120 Gigawatt hours in Europe by the end of the decade. ACC will
Slide 45: Pledge to make vehicle production CO2 neutral this year
Internal Mercedes-Benz has pledged to make vehicle production CO2 neutral this year Mercedes-Benz global production network Together with our EV strategy, CO2 neutral production is a key driver of Ambition 2039 All Mercedes-Benz plants worldwide are producing 100% CO2 neutrally in 2022 We plan to co
Slide 46: Factory 56 is a zero-carbon factory
Internal Our Factory 56 is a zero-carbon factory and serves as a blueprint for our global Mercedes-Benz production network At our Factory 56 in Sindelfingen “producing sustainability” is already reality The innovative energy concept includes a photovoltaic system, a DC power grid and energy storage
Slide 47: CO2-neutral production and on-site clean energy
Internal Having achieved CO2-neutral production this year, not only do we use clean energy in production, we also produce it It is our ambition to make all Mercedes- Benz factories renewable energy production sites Solar cells with an output corresponding to more than 1,000 photovoltaic systems on s
Slide 48: Water usage reduction and sustainable heat supply
Internal Water usage reduction and a sustainable heat supply are cornerstones in reducing our ecological footprint Our use of water will be cut by 35% by 2030 thanks to multi-reuse of water in production We boost the sustainability of our plants’ heat supply, especially focusing on our paint shops W
Slide 49: Sustainable supply chains for focus materials
Internal We create sustainable supply chains for focus materials via technology changes ~90% Steel – CO2 reduction: optimised of our annual purchasing volume is supplied by companies that follow our conventional ambition to become CO2 neutral Base green electricity Aluminium sheet/cast H2GS Thermopl
Slide 50: Establishing a green and CO2 neutral supply chain
Internal We are establishing a green and CO2 neutral supply chain Raw In the future, raw materials for battery materials Processed components only from IRMA-certified mines materials & components Intention to partner with lithium producer Albemarle for Recycling future lithium supply, lithium recycl
Slide 51: Circular economy: battery recycling factory in Kuppenheim
Internal Circular economy: Closing the loop with our battery recycling factory in Kuppenheim Own CO2-neutral recycling plant in Kuppenheim, southern Germany, is scheduled to open in 2023 Hydrometallurgy: Innovative technology increases recovery rate >96% to more than 96% Cooperation with high-tech p
Slide 52: The transformation of our workforce
Internal The transformation of our workforce Re-shape Re-skill Re-charge Streamlining Developing Meeting the our organization in a future-oriented Mercedes-Benz responsible way qualifications standard as an employer New technologies require a new area of expertise - Job profiles of the future: The d
Slide 53: Turn2Learn: unlimited possibilities for lifelong learning
Internal Turn2Learn: unlimited possibilities for livelong learning >1,300,000,000 € for qualification until 2030 ~1,300,000 hours of professional and personal training in 2021 Existing Learning ø 1,000 € per employee/ year Opportunities Customized Learning in Germany Paths eLearning Platforms Fixed
Slide 54: Clear objectives, comprehensive disclosure and international frameworks
Internal Clear objectives, comprehensive disclosure and guided by international frameworks We embedded the Sustainable We use comprehensive reporting Our strategy is guided by Development Goals in our strategy frameworks to provide transparent international frameworks, our concentrating on the areas
Slide 55: Green finance framework
Internal Mercedes-Benz Group’s green finance framework is part of our sustainable business strategy Project Use of Management External evaluation and Reporting* proceeds of proceeds review selection Mercedes-Benz Group’s green finance framework is developed to be in line with both the ICMA Green Bon
Slide 56: Second Opinion on green finance framework
Internal Second Opinion by leading provider of independent reviews of green bonds SHADES OF GREEN Mercedes-Benz Group’s green finance framework was rated by CICERO as Dark Green. Dark Green is allocated to projects and solutions that correspond to the long- term vision of a low carbon and climate re
Slide 57: Mercedes-Benz Group's ESG Ratings
Internal Mercedes-Benz Group’s ESG Ratings Upgraded from Strong position in the Ranked with the highest rating BBB to A sub-industry peer group in the auto sector ranked 8 out of 71 Prime Status (C+) Fixed Income Presentation Q3 2022 57
Slide 58: Agenda
Internal AGENDA I. MERCEDES-BENZ GROUP REVIEW Q3 2022 II. DIVISIONAL REVIEW Q3 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q3 2022 58
Slide 59: The original and most valuable luxury car brand
Internal Mercedes-Benz – The original and most valuable luxury car brand Heritage: Formula 1: Mercedes-Benz is built on constant reinvention The power of F1 for our brand 37% female 54% under 35 823 m fans Source: Interbrand Best Global Brands 2021 Fixed Income Presentation Q3 2022 59
Slide 60: There's no luxury without sustainability
Internal Zeitgeist relevance: There’s no luxury without sustainability Our sustainability goals: 2022 2025 2030 2039 CO2-neutral Up to ready to go all electric Carbon production 50% xEVs where market neutrality conditions allow Fixed Income Presentation Q3 2022 60
Slide 61: Understanding our customers
Internal Understanding our customers 50% ~180% 60% more adults with wealth expected contribution from GenY & GenZ of car buyers under the above 1 million USD to total growth in personal luxury goods age of 45 are likely to purchase (2020-2025) market from 2019 to 2025 their next car online Source: C
Slide 62: Approaching our customers
Internal Approaching our customers 20 80% 25% Fixed Income Presentation Q3 2022 62
Slide 63: Exclusivity: progress with top-end vehicles
Internal Exclusivity: Significant progress with our top-end vehicles and increasingly electric with even more conquest potential +30% ~60% Expected growth of top-end vehicle share Top-end vehicle unit sales in 2021 of total Mercedes-Benz sales 2019-2026 Fixed Income Presentation Q3 2022 63
Slide 64: Desire for TECH: Digital innovations for China
Internal Desire for… TECH Digital innovations for China In-house developed Fixed Income Presentation Q3 2022 64
Slide 65: Our game plan: returns consistent with luxury status
Internal Our game plan: generate returns consistent with our luxury status - Focus on pricing power - Drive ASP higher - Optimise product portfolio - Find a superior operating equilibrium - Tap full potential of top-end segment - Structurally higher profitability and improved - Exit lower margin pro
Slide 66: The power of pricing is part of our strategy
Internal The power of pricing is part of our strategy Key Levers - Superior brand drives pricing power - Strong products enable ambitious initial price setting versus competition - Sustainable price escalation - Tight discounts: from sales push to lifecycle management - Direct sales model allows gri
Slide 67: Reshaped model portfolio will drive profitable sales growth
Internal Reshaped model portfolio will drive profitable sales growth Change of Mercedes-Benz 2021-2026 segment share in 2.3 m cars 1.9 m cars Car Sales CAGR approx. 5% p.a. 2026 vs. 2019 Around Top-End Luxury +60% Core Luxury 0% Entry Luxury -25% 2019 2021 2026 Fixed Income Presentation Q3 2022 67
Slide 68: Entry Luxury – Focus & Elevate
Internal Entry Luxury – Focus & Elevate - Elevate to Entry Luxury 680k 570k - Product range refocused on fewer and more upscale portfolio positions: 4 bodystyles instead of 7 -25% - The new entrance point of the portfolio is being redefined with the next around +20% significantly up generation of ve
Slide 69: Core Luxury – Grow & Refine
Internal Core Luxury – Grow & Refine - Core Luxury going electric on an accelerated timescale, leveraging EVA 1.350k 1.030k (EQE, EQE-SUV) and then MB.EA architectures flat - Very attractive C-Class in the market GLC to launch end of 2022 Brand new E-Class in 2023 around +25% regular price adjustmen
Slide 70: Top-End Luxury – Expand & Enhance
Internal Top-End Luxury – Expand & Enhance - Starting point: Over 300k top-end luxury units with ASP of > € 100k and 250k 305k top-end profitability - Sustainable segment growth +60% - Desirable products fueling growth: EQS, EQS-SUV, EQS-SUV Maybach, SL, GT, AMG-EA around +15% regular price adjustme
Slide 71: Changing our economic equation
Internal Changing our economic equation - Enhance ROIC: control the denominator while raising the numerator (operating and cash margins) - Drive growth through high utilisation, ‚reverse auction‘ of available capacity to build the most profitable models - 75% of capital allocation focused on top-end
Slide 72: Financial ambitions for Mercedes-Benz Cars in 2025
Internal Our financial ambitions for Mercedes-Benz Cars in 2025: structurally higher profitability and lower margin volatility Market level, competitive actions, commodity and raw material markets > -20% vs. 2019 > -20% vs. 2019 > -20% vs. 2019 > -20% vs. 2019 > -20% vs. 2019 > -20% vs. 2019 approx.
Slide 73: Bottom line
Internal Bottom line We cannot control macro- or world events. But we are redesigning & repositioning Mercedes-Benz to ensure a structurally more profitable company. Fixed Income Presentation Q3 2022 73
Slide 74: Disclaimer
Internal 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 forwa
Mercedes-Benz Group — Debt Investor Presentation (2022) on 6ix