Mercedes-Benz Shows Solid Q2 Sales, Ola Källenius Reappointed By Board
Giancarlo Perlas July 28, 2023Mercedes-Benz Group AG once again displays why it is an important pillar in the automotive industry as it showcased its robust performance in the second quarter of the year. The company’s success was driven by a combination of solid sales of top-end cars and premium vans, as well as a notable increase in electric vehicle (EV) sales. Moreover, the three-pointed star marque demonstrated a steadfast commitment to sustainable growth under the visionary leadership of Ola Källenius, who has been reappointed as Chairman of the Board of Management until 2029.
Resilient Q2 Performance
Mercedes Group’s Q2 performance stood strong with impressive earnings before interest and taxes (EBIT), which surged by 8% to €5.0 billion compared to the same period in the previous year. The revenue also witnessed a healthy growth of 5%, reaching €38.2 billion.
These remarkable results can be attributed to the company’s focus on sustainable growth through the sales of desirable cars and premium vans while maintaining strict cost control.
Thriving Top-End Sales and EV Ramp-Up
The luxury car brand’s success in Q2 can be attributed to its thriving top-end sales. Models in Mercedes-AMG saw a remarkable 19% increase in sales while Mercedes-Maybach and G-Class experienced a surge of 39% and 29%, respectively.
Additionally, Mercedes’ commitment to electric mobility was evident, as battery electric car sales more than doubled, showing an impressive growth rate of 123%. The company’s expansion of charging options in North America contributed significantly to the surge in EV business volume, too, which reached €1.8 billion.
Firm Commitment to Sustainability
Under the leadership of Ola Källenius, the Mercedes Group has firmly committed to sustainability. The Supervisory Board, acknowledging his strategic vision and determination, reappointed him as Chairman of the Board of Management until 2029.
This decision reflects the company’s focus on electrification, digitalization, and profitable growth while adhering to sustainable business practices.
Ola Källenius and Markus Schäfer’s Extended Tenure
Markus Schäfer, the Chief Technology Officer responsible for Development & Procurement, was also reappointed by the Supervisory Board until 2026. The long-term commitment of both Källenius and Schäfer demonstrates the confidence the board has in their leadership and strategic direction.
The reappointed Chair of the Board’s visionary approach has positioned the German automaker for a future that embraces sustainability, digital innovation, and customer-centric products.
Strengthening Sustainability Management
In recognition of the growing importance of sustainability and its multi-faceted nature, the Supervisory Board established a cross-divisional steering and coordination function at the Board of Management level. Renata Jungo Brüngger, a highly experienced manager, will be leading this function, along with her existing role as a member of the Board of Management responsible for Integrity, Governance & Sustainability.
This step reflects Mercedes’ dedication to ensuring sustainability remains central to its corporate strategy as well.
Final Thoughts
Overall, Mercedes-Benz Group AG’s second-quarter performance has been nothing short of impressive, driven by strong sales of top-end cars and premium vans, and a remarkable increase in electric vehicle sales. Under the leadership of Ola Källenius and Markus Schäfer, the company has embraced sustainability and innovation, positioning itself for long-term success in an ever-changing automotive landscape.
With their extended tenures, the future looks promising for Mercedes as it continues to pave the way for desirable, sustainable, and technologically advanced vehicles.
