STUTTGART: Mercedes-Benz has announced a steep 56 percent decline in half-year profits, attributing the drop to weak sales, rising tariffs, and restructuring costs. The German automaker’s net income fell to €2.7 billion from €6.1 billion in the same period last year.
The company highlighted multiple challenges, including lower vehicle sales and increased expenses tied to efficiency programs. “The adjusted operating margin for our passenger car division is now projected between 4 and 6 percent, down from 8.1 percent last year,“ a spokesperson said.
Revenue for the first half of 2025 dropped 8.6 percent to €66.4 billion, while operating profit (EBIT) plummeted by 55 percent to €3.6 billion. Mercedes-Benz now anticipates full-year revenue to fall significantly below 2024 levels, with sales volumes also expected to decline. - Bernama-dpa
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