Daimler Buses earnings up 9% in 2015
In 2015, Daimler Buses increased its earnings by 9% to €214m/£165.86m (2014: €197m/£152.68m) despite experiencing what it described as a ‘massive market decline’ in Brazil. Return on sales increased to 5.2% (2014: 4.7%). Overall, Daimler Buses sold 28,100 buses and chassis (2014: 33,200), which it says maintains its market leadership in its core markets in the segment for buses with a maximum permissible gross laden weight over eight tons. Good complete bus business in Western Europe buffered the decline of the Brazilian bus market, which plummeted by 40% last year. It managed to increase unit sales in Western Europe by 3% to 7,800 vehicles (2014: 7,600), giving it a market share of 31%.
Daimler Buses has invested €50m/£38.75m in their Indian plant in Chennai where it is producing Mercedes-Benz rear engine buses for the premium segment. Front engined buses produced under the BharatBenz brand cover the needs of the Indian volume market. The division is also setting up a new sales structure in order to fully exploit the growth potential in the upwardly mobile developing countries.
Head of Daimler Buses Hartmut Schick, said, ‘Despite the tense situation in Brazil, one of our key markets, we have reached a good result in 2015. Through the positive development in the revenue-rich business with complete buses and the momentum from the business with intercity buses in Europe, we managed to successfully buffer the revenue decline in the Latin American business. In addition to our strong product range and our technological leadership in powertrains and safety, our continuous measures for improving the efficiency of Daimler Buses are also paying off. We will continue to pursue this course on a consistent basis in 2016 as well. To this end, we are also driving forward with our concepts in the area of innovative mobility solutions and are even forming a dedicated new department for Mobility Solutions.’