Mercedes, BMW, Porsche and Stellantis are making customers pay for the crisis
Lack of electronic components, production at half mast, war in Ukraine, vertiginous rises in the price of raw materials? This is not a problem for builders. Because it is the customer who pays the bill! And this one gets very salty. On the eve of the publication of the financial results of Stellantis and Volkswagen this Thursday, July 28, as well as Renault on Friday, Mercedes insolently raises its forecasts for the current year. The star manufacturer, born from the split of the former Daimler group with the separation of the automobile and heavy goods vehicle branches, now forecasts operating profit “slightly higher” than that of 2021, when it announced up to here a stable result. The high-end specialist is now counting on a tidy operating margin between 12% and 14% (excluding utilities), against 11.5% to 13% previously. In the first half, the Stuttgart firm reached 15.3% (automotive activity), one of the best in its history. The magic recipe? “By focusing on luxury cars, electric vehicles, premium minibuses (…), it was possible to compensate for the increase in raw material prices and the drop in sales due to the shortage of semiconductors”, confesses Mercedes in its press release.
Porsche (Volkswagen group) also raised its profitability targets on July 18. The manufacturer of the 911 “has the long-term ambition to achieve an operating profitability of more than 20%”, indicated to investors its boss Oliver Blume – who must take the 1er September the reins of the Volkswagen group, replacing Herbert Diess. On the way to a historic record. In the meantime, the prancing horse sports car specialist is aiming for an excellent margin of 17 to 18% in 2022. Not far from its historic results. And this, also thanks to the skyrocketing bills!
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