Mercedes-benz Group Ag · XETR:MBG

Mercedes-benz — Debt Investor Presentation (2022)

76 slides from Mercedes-benz's debt investor presentation, 2022

  1. Slide 1: Fixed Income Presentation Q2 2022

    Fixed Income Presentation Q2 2022 Mercedes-Benz Group AG

  2. Slide 2: Agenda

    AGENDA I. MERCEDES-BENZ GROUP REVIEW Q2 2022 II. DIVISIONAL REVIEW Q2 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q2 2022 2

  3. Slide 3: Group: Key figures

    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 +7% -9% 36.4 21.0 34.1 19.1 +6% +8% 4.6 4.9 4.4 4.6 -34% 2.2 1.4 Q2 2021 Q2 2022 Q2 2021 Q2 2022 Q2 2021 Q2 2022

  4. Slide 4: Group: Minimizing the impact of limited gas supply

    Mercedes-Benz Group: Minimizing the impact of limited gas supply Mercedes-Benz is a global company. Risk of bottlenecks in gas supply existing in Europe. Gas supply at our plants currently stable. First measures executed to reduce consumption; further significant reduction potential identified Long-

  5. Slide 5: Group: Q2 2022 EBIT

    Mercedes-Benz Group: Q2 2022 EBIT* In million euros 632 -4 56 4,939 187 4,561 -306 4,622 4,374 -317 • Legal proceedings + 107 • Restructuring + 65 • Legal proceedings - 73 • M&A transactions + 15 • M&A transactions - 244 EBIT EBIT EBIT Mercedes-Benz Mercedes-Benz Mercedes-Benz EBIT Adjustments adjus

  6. Slide 6: Group: Reconciliation from CFBIT to Free Cash Flow

    Mercedes-Benz Group: Reconciliation from CFBIT to Free Cash Flow In million euros 254 2,393 652 2,069 14 21 -985 1,417 -280 • Legal proceedings + 226 • Restructuring + 16 • M&A transactions + 410 Free cash flow Free cash flow Mercedes-Benz Mercedes-Benz Income taxes Effects from Other reconciling (i

  7. Slide 7: Group: Net Industrial Liquidity

    Mercedes-Benz Group: Net Industrial Liquidity In billion euros 3.1 1.6 22.7 -1.3 -1.5 -0.5 0.3 19.1 -5.3 Free cash flow industrial business Q2 2022: € 1.4 billion Additions to Net Industrial Earnings and Depreciation and Investments in Net Industrial Working capital property, plant, Dividend payment

  8. Slide 8: Group: Gross Liquidity

    Mercedes-Benz Group: Gross Liquidity in billions of EUR in billion euros MBM Industrial Business 3.7 -1.1 30.7 -5.6 -5.1 4.2 -9.7 2.6 6.1 0.8 -0.1 20.5 5.1 24.6 15.4 Gross Liquidity Dividend FCF FCF Other ABS New Bond New FX & Gross Liquidity 12/31/2022 Payment IB MBM Debt Maturities ABS Maturities

  9. Slide 9: Group: Financial flexibility over a 12-month period

    Mercedes-Benz Group: Financial flexibility over a 12-month period Q2 2022 in billion euros 56.4 ABS potential Other incl. Net industrial liquidity decreased due to dividend payment 41.6 Fin. Lease in May to €19.1 billion Commercial paper Daimler Truck Gross industrial liquidity at €15.4 billion stak

  10. Slide 10: Agenda

    AGENDA I. MERCEDES-BENZ GROUP REVIEW Q2 2022 II. DIVISIONAL REVIEW Q2 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q2 2022 10

  11. Slide 11: Cars: Key messages

    Mercedes-Benz Cars: Key messages Performance: Demonstrated resilience in challenging environment, vigilance towards macroeconomic & geopolitical developments Profitability: Net pricing positive & healthy mix Products: GLC world premiere, EQE start of sales, EQS SUV production ramp-up Technology: EQX

  12. Slide 12: Cars: Preparing our production network for all-electric portfolio

    Mercedes-Benz Cars: Preparing our production network for our all-electric portfolio Decision reached on new production setup in close cooperation with employee representatives Foundation for rapid, efficient & flexible scaling of next-generation electric vehicles Models of Entry (MMA) and Core (MB.E

  13. Slide 13: Cars: Top-End Luxury and electric vehicle unit sales

    Mercedes-Benz Cars: Top-End Luxury and electric vehicle unit sales In thousand units -7% 521 Top-End 487 -3% Luxury 78 75 78* 75* +7% 11 9 G 4 5 Maybach 64 59 Core Luxury 266 273 38 32 AMG 21 31 BEV thereof S Entry 40 EQS 39 Luxury** 177 35 32 PHEV 139 GLS Q2 2021 Q2 2022 Q2 2021 Q2 2022 Q2 2021 Q2

  14. Slide 14: Cars: Financials

    Mercedes-Benz Cars: Financials Sales Revenue EBIT adj. CFBIT adj. in thousand units in billion euros in billion euros in billion euros +8% -7% 521.2 27.0 +20% 487.1 3.8 25.0 +18% 3.2 2.9 2.5 +9% 70.3* 64.4* Q2 2021 Q2 2022 Q2 2021 Q2 2022 Q2 2021 Q2 2022 Q2 2021 Q2 2022 * ASP in thousand euros excl.

  15. Slide 15: Cars: Q2 2022 EBIT & RoS

    Mercedes-Benz Cars: Q2 2022 EBIT & RoS In million euros Gross Profit +641 1,445 80 5 94 3,833 3,792 -884 -69 -38 -41 180 3,201 3,021 Strongly improved net pricing Favourable product mix RoS: RoS: RoS: RoS: Discounting of non-current provisions 14.2% 14.0% 12.1% 12.8% Lower unit sales due to worldwid

  16. Slide 16: Cars: EBIT to CFBIT

    Mercedes-Benz Cars: EBIT to CFBIT In million euros 3,792 555 2,948 389 2,393 -1,172 1,476 -518 CCR: CCR: 0.8 0.6 t/o t/o t/o • Legal proceedings + 147 • New vehicle stock - 620 • ACC - 390 -1,574 • BBAC Dividend + 661 • Restructuring + 18 • Unfinished product - 580 • Result at-equity BBAC - 354 • M&

  17. Slide 17: Vans: Key messages

    Mercedes-Benz Vans: Key messages Performance: Stable unit sales and increased revenue despite semiconductor shortage Market: Record sales of Sprinter and Metris in the US Profitability: Double digit margin reflects healthy mix and pricing Electrification: Share of eVans increased significantly vs. p

  18. Slide 18: Vans: Financials

    Mercedes-Benz Vans: Financials Sales Revenue EBIT adj. CFBIT adj. in thousand units in billion euros in million euros in million euros +2% +12% 98.4 100.1 4.1 -1% 3.7 418 +11% 414 333 thereof 299 Q2 2021 Q2 2022 Q2 2021 Q2 2022 Q2 2021 Q2 2022 Q2 2021 Q2 2022 Fixed Income Presentation Q2 2022 18

  19. Slide 19: Vans: Q2 2022 EBIT & RoS

    Mercedes-Benz Vans: Q2 2022 EBIT & RoS In million euros Gross Profit +35 230 -9 432 418 48 414 -186 382 -14 -24 -10 -53 -32 Strongly improved net pricing RoS: RoS: RoS: Favourable product mix RoS: 11.8% 11.4% Discounting of non-current provisions 10.1% 9.3% Higher raw material prices Supply constrai

  20. Slide 20: Vans: EBIT to CFBIT

    Mercedes-Benz Vans: EBIT to CFBIT In million euros 382 79 333 110 254 2 -12 -161 CCR: 0.8 -68 CCR: 0.7 t/o • New vehicle stock - 301 • Trade payables + 282 • Legal proceedings + 79 Net investments Depreciation and CFBIT EBIT Change in working Net financial CFBIT in pp&e and amortization/ Other Adjus

  21. Slide 21: Mobility: Key messages

    Mercedes-Benz Mobility: Key messages New business still impacted due to supply constraints and lower penetration Interest margin remains stable despite increasing interest rates Net credit losses at low level similar to 2021 Increase in Cost of Credit Risk driven by weaker macroeconomic outlook Succ

  22. Slide 22: Mobility: Financials

    Mercedes-Benz Mobility: Financials New Business Contract Volume EBIT adj. in billion euros in billion euros in million euros +1% -18% -33% 17.2 133.7 135.0 930 14.1 624 Q2 2021 Q2 2022 12/31/2021 06/30/2022 Q2 2021 Q2 2022 Fixed Income Presentation Q2 2022 22

  23. Slide 23: Mobility: Q2 2022 EBIT & RoE

    Mercedes-Benz Mobility: Q2 2022 EBIT & RoE In million euros 56 924 6 930 -248 15 624 0 624 -108 -2 -18 RoE: RoE: 23.9% 24.0% RoE: RoE: Margin remains stable despite increase in funding costs 17.1% 17.1% Favourable FX development Reduced volume due to Daimler Truck spin-off, supply constraints and lo

  24. Slide 24: Agenda

    AGENDA I. MERCEDES-BENZ GROUP REVIEW Q2 2022 II. DIVISIONAL REVIEW Q2 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q2 2022 24

  25. Slide 25: Divisional Guidance 2022

    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 development

  26. Slide 26: Group Guidance 2022

    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 development of p

  27. Slide 27: Strategic priorities for this year – implementation on track

    Strategic priorities for this year – implementation on track Scale Grow Accelerate Alleviate Focus electric luxury car supply relentlessly vehicles business software constraints on costs Significant increase of MBSU May 19th MBSU preparation On course Deep sourcing progress BEV sales Fixed Income Pr

  28. Slide 28: Agenda

    AGENDA I. MERCEDES-BENZ GROUP REVIEW Q2 2022 II. DIVISIONAL REVIEW Q2 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q2 2022 28

  29. Slide 29: Our funding strategy is built on strict principles

    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 Support Agreem

  30. Slide 30: Stable Portfolio at Mercedes-Benz Mobility despite challenges

    Stable Portfolio at Mercedes-Benz Mobility despite challenges Wholesale 163 154 151 140 Loan Lease 133 134 135 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 partially Phase 2) ~7% 58 Acquisitions 48 Others Trucks (in bn €) 3

  31. Slide 31: Mobility benefits from stringent credit management and solid refinancing

    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 0.68 strong used car markets, i.e. collateral values. Yet 0.61 risks re

  32. Slide 32: Well balanced Bond Maturity Profile

    Well balanced Bond Maturity Profile in billions of EUR as of 30th June 2022 Issued in 2022 Maturities 12.1 0.1 10.6 0.1 6.6 5.7 12.0 0.6 5.2 10.5 0.1 3.6 3.7 3.1 6.0 2.5 5.1 2.1 1.3 1.0 0.5 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2033 2034 2037 Fixed Income Presentation Q2 2022 32

  33. Slide 33: Financing liabilities show a diversified funding mix

    Financing liabilities show a diversified funding mix in billions of EUR Lease Liabilities Acc. Deposits Other (ex Lease Liab.) Bank Loans Com. Paper Bonds ABS 161.8 3% 145.0 145.8 3% 1% 9% 1% 2% 1% 2% 9% 8% 11% 0% 125.8 2% 8% 1% 116.0 2% 10% 15% 0% 1% 25% 16% 0% 27% 11% 22% 11% 19% 20% 53% 53% 53% 5

  34. Slide 34: Balanced mix of funding instruments

    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% Bank loans Globally expa

  35. Slide 35: Diversified global funding base matched with MBM requirements

    Diversified global funding base: continuously matched with MBM requirements Canada EMTN Domestic Bonds ABS Euro Market Japan CP EMTN Program Domestic CP EUR CP Program EMTN USA ABS China ABS 144a / RegS PP Italian domestic Turkey Domestic Bonds CP Hungarian domestic Domestic Bonds ABS ABS Korea Dome

  36. Slide 36: Group's financial KPIs set to support a strong rating

    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- stable F1 DBRS: A (low) stable R-1 (low) Scope: A stable S-1 Fixed Income Presentation Q2 2022 36

  37. Slide 37: Contributions stabilized funded ratio in low interest rate environment

    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 -0.4 capital structure -2 2012 201

  38. Slide 38: Agenda

    AGENDA I. MERCEDES-BENZ GROUP REVIEW Q2 2022 II. DIVISIONAL REVIEW Q2 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q2 2022 38

  39. Slide 39: Holistic sustainable business strategy

    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 Q2 2022 39

  40. Slide 40: CO2-neutral value chain

    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 Q2 2022 40

  41. Slide 41: Halve lifecycle CO2 emissions per vehicle this decade

    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 Q2 2022 41

  42. Slide 42: Electric product rollout with nine electric models in 2022

    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 customers will

  43. Slide 43: Three EV-only architectures to be launched in 2025

    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 vehicles

  44. Slide 44: Expanding activities in battery cells and systems with partners

    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 are: CATL

  45. Slide 45: By joining ACC, we build a European battery champion

    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 supply Me

  46. Slide 46: Pledge to make vehicle production CO2 neutral this year

    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 cover 70% o

  47. Slide 47: Factory 56 is a zero-carbon factory

    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 based on

  48. Slide 48: CO2-neutral production and own clean energy generation

    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 single-fam

  49. Slide 49: Water usage reduction and sustainable heat supply

    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 We plan to

  50. Slide 50: Sustainable supply chains for focus materials

    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 Thermoplastics Ba

  51. Slide 51: Green and CO2 neutral supply chain

    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 recycling and r

  52. Slide 52: Circular economy: battery recycling factory in Kuppenheim

    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 partners r

  53. Slide 53: The transformation of our workforce

    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 digital an

  54. Slide 54: Turn2Learn: unlimited possibilities for lifelong learning

    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 Income Pr

  55. Slide 55: Clear objectives, comprehensive disclosure, international frameworks

    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 where an

  56. Slide 56: Green finance framework

    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 Bond Princip

  57. Slide 57: Second Opinion on green finance framework

    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 resilient f

  58. Slide 58: Group's ESG Ratings

    Mercedes-Benz Group’s ESG Ratings Upgraded from Leading position in the Ranked with the highest rating BBB to A sub-industry peer group in the auto sector ranked 6 out of 71 Prime Status (C+) Fixed Income Presentation Q2 2022 58

  59. Slide 59: Agenda

    AGENDA I. MERCEDES-BENZ GROUP REVIEW Q2 2022 II. DIVISIONAL REVIEW Q2 2022 III. OUTLOOK FY 2022 IV. FUNDING V. SUSTAINABILITY VI. LUXURY STRATEGY Fixed Income Presentation Q2 2022 59

  60. Slide 60: The original and most valuable luxury car brand

    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 Q2 2022 60

  61. Slide 61: There's no luxury without sustainability

    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 Q2 2022 61

  62. Slide 62: Growth: The luxury segment is resilient, profitable and accelerating

    Growth: The luxury segment is resilient, profitable and accelerating Adults with wealth above USD 1 m Wealth growth even in mature markets (individuals in million) (individuals in million) 84 North America 22 28 56 Europe 16 24 China 5 10 2020 2025 Source: Credit Suisse, Global Wealth Report 2021 Fi

  63. Slide 63: Approaching our customers

    Approaching our customers 20 80% 25% Fixed Income Presentation Q2 2022 63

  64. Slide 64: Exclusivity: progress with top-end vehicles

    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 Q2 2022 64

  65. Slide 65: Desire for TECH: Digital innovations for China

    Desire for… TECH Digital innovations for China In-house developed Fixed Income Presentation Q2 2022 65

  66. Slide 66: Our game plan: generate returns consistent with luxury status

    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 products mar

  67. Slide 67: The power of pricing is part of our strategy

    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 grip on pric

  68. Slide 68: Reshaped model portfolio will drive profitable sales growth

    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 Q2 2022 68

  69. Slide 69: Entry Luxury – Focus & Elevate

    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 vehicles -

  70. Slide 70: Core Luxury – Grow & Refine

    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 adjustments - Prot

  71. Slide 71: Top-End Luxury – Expand & Enhance

    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 adjustments - Ult

  72. Slide 72: Changing our economic equation

    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 and core

  73. Slide 73: Financial ambitions for Mercedes-Benz Cars in 2025

    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. 8%/10% a

  74. Slide 74: Cash culture at work

    Cash culture at work around € 20bn Q1 2022 over € 11bn 2021 2021 65% Daimler + Q1 2022 Truck Spin-Off 2021 2020 2020 2019 2019 Fixed Income Presentation Q2 2022 74

  75. Slide 75: Bottom line

    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 Q2 2022 75

  76. Slide 76: 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

Mercedes-Benz Group — Debt Investor Presentation (2022) on 6ix