Amid robust demand across its primary commercial vehicle markets, Daimler Truck has unveiled unprecedented revenue, EBIT (earnings before interest and taxes), adjusted return on sales (ROS), and industrial free cash flow outcomes for 2023. Despite encountering supply bottlenecks, the company managed to sell 1% more trucks and buses worldwide in 2023, totaling 526,053 units compared to the preceding year’s 520,291 units.
The company experienced a remarkable surge in the sale of zero-emission trucks and buses, reaching 3,443 units, which is a staggering 277% increase from the previous year’s 914 units. Bolstered by enhanced net pricing and favorable volume and product mix effects in unit sales, the Group’s revenue surged by 10%, achieving a record high of €55.9 billion in 2023 compared to €50.9 billion in 2022.
Martin Daum, Chairman of the Board of Management of Daimler Truck, expressed, “2023 marked a historic year with exceptional financial achievements. We attained an adjusted operating profit of €5.5 billion and an adjusted return on sales in the Industrial Business of nearly 10%. This places us within striking distance of our 2025 goals. It’s a tremendous accomplishment that our global Daimler Truck team can take great pride in. Looking ahead, we remain steadfast in unlocking our full potential and delivering robust profitability even as core markets normalize.”
Daimler Truck is strategically committed to leading the industry’s transition to zero-emission transportation while maintaining sustained profitability. In 2023, significant milestones were achieved in product and service launches and strategic initiatives, including joint ventures for battery cell production with Accelera by Cummins and PACCAR, as well as Greenlane for a public charging and hydrogen fueling network in North America.
In 2023, Daimler Truck expanded its global product portfolio to encompass 10 different zero-emission models. Notable launches included the fully-electric Freightliner eM2 for urban delivery applications in North America and the battery-electric long-haul truck Mercedes-Benz eActros 600 in Europe. FUSO, Daimler Truck’s Asian affiliate, delivered its FUSO Next Generation eCanter to esteemed customers like Japanese retail giant Yamato and introduced the battery-electric medium-duty RIZON trucks in the U.S. Additionally, the fuel cell Mercedes-Benz GenH2 Truck garnered acclaim for its record-breaking 1,047-kilometer run with one fill of liquid hydrogen, marking another milestone in Daimler Truck’s strategy of offering both battery- and hydrogen-powered trucks.
Daimler Buses introduced the Mercedes-Benz eCitaro fuel cell, the first series-production electric bus with a fuel cell as a range extender, delivering a long range and high passenger capacity. The all-new Setra MultiClass 500 LE set new standards for low entry inter-city buses in 2023. Daimler Truck Financial Services expanded its global footprint with operations commencing in France in 2023, alongside a collaboration in Romania, now active in 17 markets worldwide with financial and mobility services, boasting a contract volume of €28.3 billion.
Given the persistently challenging economic landscape and the absence of catch-up effects, Daimler Truck foresees key truck markets reverting to normal levels in 2024. The heavy-duty truck market in North America is expected to range between 280,000 and 320,000 units (-16% to –3% vs. 2023), and the heavy-duty truck market in the region EU30 is estimated to range between 260,000 and 300,000 units (-24% to –12% vs. 2023).
Daimler Truck anticipates unit sales for 2024 to range between 490,000 and 510,000 units (2023: 526,053 units). The Group expects revenue to range between €52 billion and €54 billion in the Industrial Business and between €55 billion and €57 billion on a Group level. Adjusted EBIT is projected to remain at the prior year’s level, with adjusted ROS of the Industrial Business anticipated to range between 9.0% and 10.5%. A slight increase is expected for the free cash flow of the Industrial Business in 2024.
