Daimler AG audited 2020 performance shows that last year, the company sold 2.84 million transport units, generating revenue of €154.3 billion. Although sales have decreased by 11% and revenue by 15% compared to 2019, the company's profit before taxes has increased by 53% and in 2020 was €6.6 billion.
“The year 2020 was a stress test for just about every company in almost every industry. The Daimler team mastered this test very well. Our products continue to be in great demand across all major markets and divisions. With rapid growth in our xEV sales and the introduction of new products and technologies, we have also taken important steps in terms of electrification and digitalization. Our financial results are significantly above market expectations reflecting substantial progress on cost-efficiencies. In addition, we have achieved a significant margin improvement based on strong product mix and pricing - especially in the second half of the year. We proved our ability to generate substantial cash flow and to drive the ongoing transformation on our own - even under the adverse circumstances of a pandemic,” said Ola Källenius, Chairman of the Board of Management of Daimler AG and Mercedes-Benz AG.
In 2020, net profit improved to €4.0 billion (2019: €2.7 billion). Net profit attributable to the shareholders of Daimler AG amounted to €3.6 billion (2019: €2.4 billion), leading to an increase in earnings per share to €3.39 (2019: €2.22). At the Annual General Meeting on March 31, 2021, the Board of Management and the Supervisory Board will propose a dividend of €1.35 per share (2019: €0.90). The total payout will therefore amount to €1.4 billion (2019: €1.0 billion).
Daimler plans to spin-off and list Daimler Truck. It is intended that a significant majority stake in Daimler Truck will be distributed to Daimler shareholders. Daimler Truck will have a fully independent management, stand-alone corporate governance including an independent Chairman of the Supervisory Board, and is targeted to qualify for listing on Germany’s blue-chip DAX index. The transaction and the listing of Daimler Truck on the Frankfurt stock exchange is expected to be completed before year-end 2021. In addition, it is also Daimler’s intention to rename itself as Mercedes-Benz at the appropriate time. All further details about the intended spin-off will be presented to shareholders at an extra-ordinary shareholder meeting in Q3 2021 in order to obtain their mandatory approval for the plan.
With the expected rise in availability of effective vaccines to combat the COVID-19 virus and in the absence of further unexpected pandemic-related setbacks, Daimler assumes that the global economy will recover strongly in 2021. Based on the expected market development and the current assessments of the divisions, Daimler anticipates Group sales, revenues and EBIT in 2021 to be significantly above the prior-year’s level.
