11:05 am, April 29, 2026
Mercedes-Benz Group suffered a drop in operating profit during the first quarter, but strong demand in Europe and the US helped offset a continued downturn in China.
Latest financial results show that the German carmaker posted revenues of €31.6bn (£27.5bn) and EBIT of €1.9bn (£1.63bn) for the first three months of 2026, with performance broadly in line with its full-year guidance.
However, the figures show a decline year-on-year, with earnings down around 17% and margins in the brand’s cars division falling significantly.
Mercedes-Benz Cars delivered an adjusted return on sales of 4.1% – still in its target range of 3%–5%, but down significantly on the 7.3% achieved in the same period last year.
The group sold 419,000 cars in Q1 with European sales up 7% and the US up 20%. Excluding China, global car sales were up 5%.
Mercedes described the Chinese market as a ‘transition year’ amid model changeovers, and it continues to be a drag on the carmaker’s profitability.
Battery-electric vehicle sales rose strongly in Europe, supported by new models such as the CLA and GLC, with order intake more than doubling year-on-year.
The company plans to launch more than 40 new models between 2025 and 2027, including a wave of electric and high-end models aimed at boosting margins and demand.
Commenting on the results, Harald Wilhelm, chief financial officer of Mercedes-Benz Group AG, said: ‘First-quarter results keep us on track to deliver on our full-year guidance. Strong demand for our new products and healthy order books position us well for improved momentum in the second half of the year.
‘Going forward, we will remain firmly focused on disciplined execution, ensuring a well-coordinated rollout of our new models while maintaining tight cost control to sustain profitability.’
