Slide 1: Q2 and Half-Year 2017 Results
Q2 and Half-Year 2017 Results July 26, 2017 Q2 and Half-Year 2017 Results / July 26, 2017 /
Slide 2: Contents
Contents Results for Q2 2017 Outlook for 2017 Development at the divisions Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 2
Slide 3: Highlights of Q2 2017
Highlights of Q2 2017 Unit sales Revenue – in thousands of units – – in billions of euros – Launch of the new S-Class sedan and start of production of the E-Class Cabriolet 823 38.6 41.2 761 World premiere of the Concept A Sedan at Auto Shanghai +8% +7% Laying the foundation stone for the second bat
Slide 4: Strong free cash flow in line with good business development
Strong free cash flow in line with good business development - in billions of euros - Free cash flow industrial business H1 2017: €3.0 billion +1.0 +0.1 -3.5 +1.9 19.7 -0.8 18.4 Net industrial Earnings and Working capital Sale of real Dividend payment Other Net industrial liquidity other cash flow i
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 June 30, 2017 Equity ratio 22.9% 24.6% Gross liquidity 21.7 21.8 Funded status of pension obligations -7.8 -8.1 Funding ratio 75% 74% Industrial business Equity ratio 44.7% 47.9% Net li
Slide 6: Financial flexibility over a 12-month period
Financial flexibility over a 12-month period - in billions of euros - 42.2 39.5 The financial flexibility provides support to mitigate risk and volatility Other through a balanced mix of funding instruments and clear principles ABS Commercial potential paper Daimler follows a financial management to
Slide 7: Higher units sales in all divisions
Higher units sales in all divisions Q2 2016 Q2 2017 % change Daimler Group 761.3 822.5 +8 of which Mercedes-Benz Cars 546.5 595.2 +9 Daimler Trucks 108.3 116.4 +8 Mercedes-Benz Vans 99.6 103.4 +4 Daimler Buses 7.0 7.5 +8 in thousands of units Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017
Slide 8: Mercedes-Benz Cars: product highlights
Mercedes-Benz Cars: product highlights Sales launch of the new S-Class sedan Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 8
Slide 9: Mercedes-Benz Cars: product highlights
Mercedes-Benz Cars: product highlights Series production of the new E-Class Cabriolet has started at the plant in Bremen Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 9
Slide 10: Mercedes-Benz Cars: product highlights
Mercedes-Benz Cars: product highlights The Concept A Sedan celebrated its world premiere at Auto Shanghai Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 10
Slide 11: Daimler Trucks: product highlights
Daimler Trucks: product highlights Presentation of the all-new heavy-duty truck FUSO Super Great Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 11
Slide 12: Daimler Trucks: product highlights
Daimler Trucks: product highlights Fleetboard – the leading supplier of digital services for connected trucks Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 12
Slide 13: Mercedes-Benz Vans: product highlights
Mercedes-Benz Vans: product highlights Mercedes-Benz Vito and Sprinter: “CEP* Vans of the Year 2017” * courier, express and postal sectors Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 13
Slide 14: Daimler Buses: product highlights
Daimler Buses: product highlights World premiere of the new touring coach Mercedes-Benz Tourismo RHD Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 14
Slide 15: Daimler Financial Services: highlights Mobility Services
Daimler Financial Services: highlights Mobility Services Ongoing business expansion Combined YTD 06/17 change* 12.5 26.0 +156% Transactions in millions 26 >65 +15% Cities 2.6 8.2 +118% Members in millions * car2go and mytaxi (incl. Taxibeat) combined, 06/17 (YTD) vs. 06/16 (YTD) Daimler AG Q2 and Ha
Slide 16: Revenue by division
Revenue by division Q2 2016 Q2 2017 % change Daimler Group 38.6 41.2 +7 of which Mercedes-Benz Cars 22.1 23.6 +7 Daimler Trucks 8.7 9.0 +4 Mercedes-Benz Vans 3.4 3.3 -3 Daimler Buses 1.1 1.2 +3 Daimler Financial Services 5.0 5.9 +18 Contract volume of Daimler Financial Services* 132.6 134.2 +1 in bi
Slide 17: Revenue by region
Revenue by region Q2 2016 Q2 2017 % change Daimler Group 38.6 41.2 +7 of which Europe 16.4 17.2 +4 of which Germany 6.2 6.0 -2 NAFTA 11.5 11.8 +3 of which United States 10.0 10.2 +2 Asia 8.4 9.6 +14 of which China* 3.9 4.7 +18 Other markets 2.3 2.6 +13 in billions of euros * excluding revenue of not
Slide 18: EBIT by division
EBIT by division Q2 2016 Q2 2017 - EBIT in millions of euros; RoS/RoE in % - EBIT RoS/RoE* EBIT RoS/RoE* Daimler Group 3,258 8.3 3,746 9.2 of which Mercedes-Benz Cars 1,410 6.4 2,404 10.2 Daimler Trucks 621 7.2 543 6.0 Mercedes-Benz Vans 401 11.7 358 10.8 Daimler Buses 88 7.8 64 5.5 Daimler Financia
Slide 19: Group EBIT in Q2 2017
Group EBIT in Q2 2017 - in millions of euros - +135 -465 +715 3,746 +278 3,258 • Cars +83 +43 -218 • Trucks +23 • Cars +368 • Vans +22 • Cars -256 • Trucks -14 • Buses +7 • Trucks -127 • Vans -57 of which: • Vans -68 • Cars: • Buses -19 • Buses -14 Remeasurement of inventories +284 Patent dispute +6
Slide 20: Contents
Contents Results for Q2 2017 Outlook for 2017 Development at the divisions Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 20
Slide 21: 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 X
Slide 22: Assumptions for automotive markets in 2017
Assumptions for automotive markets in 2017 Global +1 to 2% Europe slight growth Car markets USA slight decrease China slight growth NAFTA region slight decrease, 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 market
Slide 23: 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 Slightly higher unit sales Unit sales around the prior-year level in Europe and Japan; slight growth in North Ame
Slide 24: 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 Around the prior-year level Daimler Trucks Around the prior-year level Mercedes-Benz Vans Slightly abo
Slide 25: Contents
Contents Results for Q2 2017 Outlook for 2017 Development at the divisions Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 25
Slide 26: 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 – 595 23.6 547 2,404 22.1 1,410 +9% +7% +70% Q2 2016 Q2 2017 Q2 2016 Q2 2017 Q2 2016 Q2 2017 Daimler AG Q2 and Half-Year 2
Slide 27: Mercedes-Benz Cars: EBIT
Mercedes-Benz Cars: EBIT - in millions of euros - + 994 10.2%* Higher unit sales Foreign exchange rates 2,404 6.4%* Negative one-time effects in Q2 2016, mainly driven by Takata airbags and remeasurement 1,410 of inventories Higher expenses for new technologies and future products EBIT EBIT Q2 2016
Slide 28: Mercedes-Benz Cars: sales increase by 9% reflecting our strong product line-up
Mercedes-Benz Cars: sales increase by 9% reflecting our strong product line-up - in thousands of units - 595 547 37 smart 6 Sports Cars 40 6 201 SUVs 180 18 S-Class 23 58 100 E-Class 128 122 C-Class 113 112 A-/B-Class Q2 2016 Q2 2017 Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 28
Slide 29: Mercedes-Benz Cars: globally balanced sales structure
Mercedes-Benz Cars: globally balanced sales structure - in thousands of units - 595 547 97 Rest of world 87 185 Europe 172 excl. Germany 85 Germany 84 78 United States 87 117 150 China Q2 2016 Q2 2017 Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 29
Slide 30: Mercedes-Benz Cars in China: huge sales growth with higher share of locally produced vehicles
Mercedes-Benz Cars in China: huge sales growth with higher share of locally produced vehicles - in thousands of units - imported locally produced 488 400 171 293 150 305 239 94 208 147 123 317 108 250 211 146 100 116 2012 2013 2014 2015 2016 2017 YTD 06 Daimler AG Q2 and Half-Year 2017 Results / Jul
Slide 31: Daimler Trucks: unit sales and revenue above, EBIT below prior year
Daimler Trucks: unit sales and revenue above, EBIT below prior year Unit sales Revenue EBIT – in thousands of units – – in billions of euros – – in millions of euros – 116 9.0 108 8.7 621 543 +8% +4% -13% Q2 2016 Q2 2017 Q2 2016 Q2 2017 Q2 2016 Q2 2017 Daimler AG Q2 and Half-Year 2017 Results / July
Slide 32: Daimler Trucks: EBIT
Daimler Trucks: EBIT - in millions of euros - - 78 7.2%* 6.0%* 621 Efficiency enhancements 543 Customer service measures at Mercedes-Benz Trucks EBIT EBIT Q2 2016 Q2 2017 * Return on sales Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 32
Slide 33: Daimler Trucks: sales increase by 8% mainly driven by Indonesia and Middle East
Daimler Trucks: sales increase by 8% mainly driven by Indonesia and Middle East - in thousands of units - 116 108 11 Rest of world 10 36 Asia 30 7 7 Latin America 41 42 NAFTA region 20 20 EU30* Q2 2016 Q2 2017 * European Union, Switzerland and Norway Daimler AG Q2 and Half-Year 2017 Results / July 2
Slide 34: Daimler Trucks: incoming orders increase, primarily driven by NAFTA region and Indonesia
Daimler Trucks: incoming orders increase, primarily driven by NAFTA region and Indonesia - in thousands of units - 114 12 Rest of world 94 10 39 Asia 32 7 Latin America 7 36 NAFTA region 25 20 20 EU30* Q2 2016 Q2 2017 * European Union, Switzerland and Norway Daimler AG Q2 and Half-Year 2017 Results
Slide 35: 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 – 99.6 103.4 3.4 3.3 401 358 +4% -3% -11% Q2 2016 Q2 2017 Q2 2016 Q2 2017 Q2 2016 Q2 2017 Daimler AG Q2 and Half-Year 2017 Result
Slide 36: Mercedes-Benz Vans: EBIT
Mercedes-Benz Vans: EBIT - in millions of euros - - 43 11.7%* 10.8%* 401 Lower warranty costs 358 Higher expenses for new technologies and future products End of contract manufacturing EBIT EBIT Q2 2016 Q2 2017 * Return on sales Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 36
Slide 37: Mercedes-Benz Vans: sales increase by 4% due to market success of attractive product portfolio
Mercedes-Benz Vans: sales increase by 4% due to market success of attractive product portfolio - in thousands of units - 103.4 99.6 51.2 Sprinter 54.1 29.3 Vito 24.7 13.9 15.7 V-Class 6.9 7.1 Citan Q2 2016 Q2 2017 Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 37
Slide 38: Daimler Buses: positive development driven by strong European business and higher unit sales in America
Daimler Buses: positive development driven by strong European business and higher unit sales in America Unit sales Revenue EBIT – in thousands of units – – in billions of euros – – in millions of euros – 7.5 1.2 7.0 1.1 88 64 +8% +3% -27% Q2 2016 Q2 2017 Q2 2016 Q2 2017 Q2 2016 Q2 2017 Daimler AG Q2
Slide 39: Daimler Buses: EBIT
Daimler Buses: EBIT - in millions of euros - - 24 7.8%* 88 Efficiency enhancements 5.5%* Lower unit sales in Turkey 64 Cost inflation in Latin America EBIT EBIT Q2 2016 Q2 2017 * Return on sales Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 39
Slide 40: Daimler Buses: sales increase by 8% mainly due to higher demand in emerging markets
Daimler Buses: sales increase by 8% mainly due to higher demand in emerging markets - in thousands of units - 7.5 7.0 0.9 Rest of world 1.2 1.3 Latin America 1.2 (excl. Brazil and Mexico) 2.1 Brazil 1.8 0.6 1.0 Mexico 2.2 2.2 EU30* Q2 2016 Q2 2017 * European Union, Switzerland and Norway Daimler AG
Slide 41: Daimler 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 – 132.6 134.2 522 17.9 479 15.4 +16% +1% +9% Q2 2016 Q2 2017 12/31/2016 6/30/2017 Q2 2016 Q2 2017 Daimler AG Q2 and Half-Year 2017 Results /
Slide 42: Daimler Financial Services: EBIT
Daimler Financial Services: EBIT - in millions of euros - + 43 18.8%* 19.3%* 522 479 Higher contract volume Cost of risk Higher interest-rate level EBIT EBIT Q2 2016 Q2 2017 * Return on equity Daimler AG Q2 and Half-Year 2017 Results / July 26, 2017 / Page 42
Slide 43: Daimler Financial Services: further increase in contract volume to 134.2 billion euros (+1%)
Daimler Financial Services: further increase in contract volume to 134.2 billion euros (+1%) - in billions of euros - 132.6 134.2 24.9 26.7 Africa & Asia-Pacific 54.2 51.3 Americas 31.6 33.1 Europe (excl. Germany) 21.8 23.0 Germany 12/31/2016 6/30/2017 Daimler AG Q2 and Half-Year 2017 Results / July
Slide 44: Daimler Financial Services: net credit losses at low level due to disciplined risk approach
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% 0.24% 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 YTD * as a percentage of portfolio, subjec
Slide 45: 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