The year 2020 presented unprecedented challenges for the automotive industry globally, and Mercedes-Benz was no exception. This report analyzes the sales performance of Mercedes-Benz in 2020, highlighting key figures and divisional results amidst a turbulent economic landscape. While facing a decrease in overall sales, Mercedes-Benz demonstrated resilience and achieved significant progress in key areas, setting the stage for future growth.
Mercedes-Benz Cars & Vans Division: Sales Dip but Profitability Rises
The Mercedes-Benz Cars & Vans division experienced a sales decline of 13% in 2020, with total vehicle sales reaching 2,461,800 units compared to 2,823,800 in 2019. This decrease is reflective of the widespread market disruptions experienced throughout the year. Revenue for this division amounted to €98.6 billion, down from €106.9 billion the previous year.
Despite the sales downturn, the division showcased remarkable financial management. Earnings Before Interest and Taxes (EBIT) significantly improved to €5,172 million, a substantial recovery from a loss of €109 million in 2019. This positive shift is further emphasized by an adjusted EBIT of €6,802 million (2019: €6,151 million) and an adjusted return on sales of 6.9% (2019: 5.8%). The cash flow before interest and taxes (CFBIT) also saw a dramatic increase, reaching €7,048 million (2019: €598 million).
Within this division, Mercedes-Benz Cars sales specifically decreased by 13% to 2,087,200 vehicles (2019: 2,385,400), and Mercedes-Benz Vans saw a 15% reduction in sales, totaling 374,600 units (2019: 438,300).
A notable achievement for Mercedes-Benz in 2020 was meeting the stringent CO2 emission targets set by the European Union. The average CO2 emissions for their new car fleet in Europe (EU28, UK, Norway, and Iceland) were projected to reach 104 g/km in 2020, a significant reduction from 137 g/km NEFZ in 2019. This accomplishment underscores Mercedes-Benz’s commitment to sustainable mobility and environmental responsibility within the “Mercedes Benz 2020” lineup and beyond.
Daimler Trucks & Buses Division: Facing a Significant Sales Reduction
The Daimler Trucks & Buses division faced a more substantial decline in unit sales, registering a 27% decrease to 378,500 vehicles in 2020 (2019: 521,100). This downturn significantly impacted revenue, which fell to €34.7 billion (2019: €44.4 billion). Consequently, EBIT for this division was €525 million (2019: €2,672 million), resulting in a return on sales of 1.5% (2019: 6.0%). Adjusted EBIT was reported at €678 million (2019: €2,672 million) with an adjusted return on sales of 2.0% (2019: 6.0%).
Cash flow before interest and taxes (CFBIT) for Daimler Trucks & Buses was €2,513 million (2019: €2,654 million). Daimler Trucks experienced a 27% decrease in sales, reaching 358,300 vehicles (2019: 488,500), while Daimler Buses saw a more pronounced decrease of 38%, selling 20,100 vehicles (2019: 32,600). These figures reflect the considerable challenges faced by the commercial vehicle sector in 2020.
Daimler Mobility Division: Navigating Business Adjustments
Daimler Mobility also experienced adjustments in its business operations during 2020. New business volume decreased by 9% to €67.8 billion (2019: €74.4 billion), and the contract volume reached €150.6 billion (end of 2019: €162.8 billion). Revenue for Daimler Mobility was €27.7 billion (2019: €28.6 billion).
The division’s EBIT amounted to €1,436 million (2019: €2,140 million), and the return on equity was 9.8% (2019: 15.3%). Adjusted EBIT was €1,595 million (2019: €1,827 million), and adjusted return on equity was 10.9% (2019: 13.1%). These figures indicate a degree of resilience within the mobility services sector despite the overall economic headwinds of 2020.
Conclusion: Mercedes-Benz 2020 – Resilience and Strategic Progress
In conclusion, the Mercedes-Benz 2020 sales report reveals a year of significant challenges and demonstrable resilience. While facing decreased sales across its divisions due to external factors, Mercedes-Benz managed to improve profitability in its Cars & Vans division and achieve crucial environmental targets. The financial data reflects the impact of the global economic climate on the automotive industry, but also highlights Mercedes-Benz’s ability to navigate these difficulties and maintain a strategic focus on long-term goals. The “mercedes benz 2020” performance serves as a benchmark for the company’s adaptability and strategic direction in a rapidly evolving market.
