Daimler Trucks posts modest recovery from COVID-impacted year-ago Q1

Sales and margins improve for soon-to-be-independent unit

Daimler Truck AG reported improved results in Q1 following a pandemic-impacted period a year ago. (Photo: Daimler Trucks North America)

Daimler Truck, soon to be freed from Daimler AG (OTC: DDAIF), reported improved sales and profits in the first quarter after enduring the beginning of the pandemic-induced shutdown of manufacturing a year ago.

The global shortage of semiconductor components used throughout vehicles could impact sales  in the current quarter. But Daimler didn’t offer specifics. In North America, Daimler Trucks has protected larger, more profitable truck production by taking rolling downtime at medium-duty plants in North Carolina and Mexico.

Unit sales rose 4% in the Daimler Trucks & Buses division to 101,300 from 97,600 in the January-March period a year earlier. Revenue was 8.7 billion euros ($10.51 billion), flat compared to Q1 2020.

Truck sales rise

In trucks alone, unit sales increased by 6% to 97,600 vehicles compared to 92,500 a year ago.  

Earnings before adjusted interest and taxes (EBIT) amounted to 518 million euros compared to 247 million euros a year ago. Adjusted return on sales was 6.1% compared to 2.8% in Q1 2020.

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    Alan Adler

    Alan Adler is an award-winning journalist who worked for The Associated Press and the Detroit Free Press. He also spent two decades in domestic and international media relations and executive communications with General Motors.