The Mercedes-Benz Group has released its first annual financial report after the name change.
On February 24, mercedes-Benz Group announced its 2021 financial report, after on February 1, Daimler AG officially changed its name to Mercedes-Benz Group AG, and the former Daimler Trucks & Buses business segment was successfully listed on the Frankfurt Stock Exchange on December 10, 2021 after independence.
Therefore, the financial report has also been adjusted accordingly according to each business segment.
In 2021, the Mercedes-Benz Group generated revenue of €168 billion, representing a 9% increase in the year. Group net profit increased by 485% year-on-year to CNY 23.4 billion, excluding Daimler's truck and bus related businesses, which rose to EUR 14.2 billion, an increase of 255% year-on-year.
It is worth mentioning that total Mercedes-Benz passenger and light commercial vehicle sales in 2021 fell 5% year-on-year to 2,330,169 units, of which passenger car sales fell 5% year-on-year to 2,054,962 units, giving way to the BMW Group for the first time in five years, the BMW brand sold a record 2.21 million new vehicles in 2021.
Still, Mercedes-Benz grew in more important financial metrics such as revenue and net profit against the backdrop of declining sales, with a sales margin of 12.7 percent, nearly doubling from 2020.
This was mainly due to the increase in sales of high-end car series. In 2021, sales of high-end vehicles, including Mercedes-Maybach, Mercedes-AMG, G-Class, S-Class sedan, GLS SUVs and EQS, increased by 30% year-on-year, setting a new record. In the Chinese market alone, Monthly Sales of Mercedes-Maybach in China have grown to more than 1,000 units, reflecting Mercedes-Benz's strength as the world's most valuable luxury car brand.
Record sales of high-end car series increased Mercedes-Benz's bicycle turnover by 26 percent, averaging €49,800 (about 360,000 yuan) per vehicle, which is perhaps even higher in China.
Since announcing the spin-off in December 2020, Kang Linsong, chairman of the board of directors of Mercedes-Benz Group AG, has repeatedly stated that the aim is to allow the group to focus more on the passenger car and light commercial vehicle business, thereby increasing profitability, rather than just focusing on sales.
Judging from the first annual earnings report after the spin-off, Mercedes-Benz did achieve the desired results, as Conlinson said: "Our good performance is the result of a highly sought after product and a focus on profitable growth and cost control." ”
In the long run, the renamed Mercedes-Benz Group will release more commercial value, and investors may begin to see it as the same type of investment object as Tesla, which is conducive to mercedes-Benz's market value. But the premise is to accelerate the pace of the transition to the electric vehicle business.
Right: Coninson, Chairman of the Board of Directors of Mercedes-Benz Group AG
Mercedes-Benz's stock price reached its highest level since 2015 in November 2021 since the demerger of Daimler's card and bus business last year, signaling investor optimism about Mercedes-Benz, which is more focused on the electric vehicle business.
In 2021, the delivery of electric models for Mercedes-Benz passenger cars and light commercial vehicles increased significantly by 64%, "In addition to continuing to focus on cost efficiency and supply chain management, our strategic focus will continue to increase investment in pure electric models, accelerate the implementation of our plans in the field of automotive software, and continue to promote the growth of the luxury car business." Coninson said as he looked ahead to 2022.
Mercedes-Benz's all-electric models are widely popular, with the flagship luxury pure electric model EQS currently receiving orders for about 20,000 units, including about 3,600 in January 2022.
To continue to expand the transformation, Mercedes-Benz plans to launch a new range of all-electric models in 2022, including the new EQE and the new EQS pure electric SUV.
Looking ahead to 2022, Mercedes-Benz expects semi-conductor-related supply shortages to continue to impact market developments in 2022, and it is still impossible to predict when the semiconductor supply bottleneck will be eliminated. However, Cedes-Benz also said that compared with 2021, the relevant supply situation will stabilize this year.
Mercedes-Benz also expects that the market demand for passenger car products will remain strong this year. However, given the uncertainty arising from the current tight supply chain, the Group is generally cautious about sales expectations. Mercedes-Benz passenger car sales are expected to be slightly higher than in 2021 levels, with high-end car sales expected to grow by more than 10%.
In 2022, Mercedes-Benz will continue to expand its investments, with investments in real estate, plants and equipment, as well as R&D spending expected to be slightly higher than in the previous year, with the main investments being on the pure electric model platform architecture MMA and AMG.EA. Last year, Mercedes-Benz invested a total of €3.8 billion in real estate, plants and equipment, and spent €7.7 billion on research and development for ongoing operations.
All of this preparation points to an inevitable goal: to double electric vehicle sales by 2022. In 2021, mercedes-Benz's sales of all-electric models increased by more than 90% to 99,301 units.