Daimler Truck lowers forecast: Shares still rise in after-hours trading

Daimler Truck lowers forecast: Shares still rise in after-hours trading

Daimler Truck today revised its forecast for the current financial year downwards, while the share price rose by 0.69 percent to 39.40 euros in after-hours trading. Despite a profit warning for the full year, the adjusted return on sales remains stable. Loud finanzen.ch The company now expects an adjusted operating profit (EBIT) of minus 5 to plus 5 percent, which represents a significant reduction since an increase of 5 to 15 percent was previously forecast.

The heavy truck sales forecast in North America was also revised downwards. Daimler Truck plans to sell 430,000 to 460,000 units, compared to 460,000 to 480,000 units previously. For the Class 8 heavy-duty truck market in North America, the forecast was lowered to 260,000 to 290,000 units, instead of 280,000 to 320,000 units as expected legerplus.de reported.

Sales and profitability forecasts

The sales forecast in the industrial business has also been adjusted downwards and is now between 48 and 51 billion euros, where it was previously at 52 to 54 billion euros. However, the adjusted return on sales should remain stable at 8 to 10 percent. In the first quarter of this year, adjusted return on sales in the industrial business rose to 9.6 percent, compared to 9.3 percent in the previous period, indicating a stronger-than-expected first quarter of 2025.

The company's new forecast assumes that it can operate under the United States-Mexico-Canada Agreement (USMCA). Potential impacts from the ongoing discussions about the China business were not taken into account in the current estimates.

Macroeconomic uncertainties

Daimler Truck states that the updated forecast is subject to further macroeconomic and geopolitical developments. The acquisition of new orders is based on the assumption of increasing customer trust and ordering behavior, which is currently at a low level.

Sustained profitability for trucks in North America is targeted at between 11% and 13%. With regard to the adjusted return on equity (adj. ROE) in the Financial Services division, the forecast was lowered from 8% - 10% to 6% - 8%. These adjustments reflect the uncertainties facing the market.