Daimler Truck Holding AG reported a strong recovery in third-quarter earnings, with adjusted operating profit surging 73% as demand improved across its North American business.
The German commercial vehicle manufacturer also reaffirmed its full-year profitability outlook, despite weaker earnings during the first nine months of 2026 compared with the previous year.
The results highlight improving business conditions in North America, although performance remained uneven across Daimler Truck’s global operations.
Daimler Truck Q3 Profit Surges 73%
Daimler Truck’s adjusted group earnings before interest and taxes (EBIT) climbed to €1.12 billion in the third quarter, compared with €648 million during the same period last year.
Revenue from its industrial business increased to €11.64 billion from €9.69 billion, reflecting stronger vehicle deliveries and improving market conditions.
Meanwhile, the industrial business’s adjusted return on sales rose to 9.1%, up from 6.2% a year earlier.
The company also reported a substantial improvement in free cash flow. Industrial business free cash flow reached €974 million, compared with just €24 million in the previous year.
Higher operating earnings and proceeds from the partial sale of its Archion stake supported the increase.
Vehicle Sales and Orders Show Strong Growth
Daimler Truck recorded a significant increase in global vehicle sales during the third quarter.
Total unit sales rose 26% year over year to 91,260 vehicles, while incoming orders increased 10% to 71,168 units.
The stronger operating performance also boosted shareholder earnings.
Earnings per share (EPS) advanced to €0.91 from €0.51 in the corresponding quarter of the previous year.
These figures indicate a notable quarterly recovery, particularly as demand strengthened in the company’s largest regional markets.
North American Truck Business Drives Earnings Recovery
Daimler Truck’s North American operations delivered one of the strongest improvements among its business segments.
Revenue from Trucks North America surged to €5.70 billion, compared with €4 billion a year earlier.
Adjusted EBIT jumped to €691 million from €257 million, reflecting a substantial improvement in profitability.
The segment’s adjusted return on sales nearly doubled, reaching 12.1% compared with 6.4% in the previous year.
North American vehicle deliveries also recorded strong growth.
Unit sales increased 51% to 45,629 vehicles, while incoming orders climbed 12% to 29,357 units.
The sharp improvement underscores the importance of the North American market to Daimler Truck’s overall financial performance.
Mercedes-Benz Trucks Reports Higher Revenue and Profit
The Mercedes-Benz Trucks division also contributed positively to the company’s quarterly results.
Segment revenue increased to €5.36 billion from €4.89 billion a year earlier.
Adjusted EBIT improved to €337 million, compared with €319 million in the previous year.
However, profitability margins remained under slight pressure. The division’s adjusted return on sales slipped to 6.3% from 6.5%.
Despite the modest decline in margins, commercial activity remained positive.
Incoming orders advanced 14% to 37,640 vehicles, while unit sales increased 13% to 40,362 units.
These developments indicate continued demand for Mercedes-Benz commercial trucks, even as profitability remains below the levels recorded by the North American business.
Daimler Buses Faces Declining Sales and Profitability
Unlike the company’s truck divisions, Daimler Buses experienced weaker financial results during the quarter.
Revenue declined to €1.34 billion from €1.40 billion in the corresponding period last year.
Adjusted EBIT fell to €123 million from €137 million, while the segment’s adjusted return on sales decreased to 9.2% from 9.8%.
Operating activity also weakened.
Incoming orders dropped 16% to 4,344 vehicles, while unit sales declined by the same percentage to 5,394 vehicles.
The figures highlight the differences in performance across Daimler Truck’s business segments.
Financial Services Division Records Solid Growth
Daimler Truck’s Financial Services business delivered improved revenue and profitability during the third quarter.
Revenue rose to €940 million from €856 million, while adjusted EBIT increased to €62 million from €48 million.
The division’s adjusted return on equity improved to 6.8%, compared with 5.7% a year earlier.
Meanwhile, new business volume expanded 20% to €2.92 billion.
The results demonstrate continued growth in Daimler Truck’s financing operations alongside its core commercial vehicle business.
Nine-Month Results Remain Below Previous Year’s Levels
Despite the strong third-quarter recovery, Daimler Truck’s financial performance for the first nine months of 2026 remained mixed.
Adjusted group EBIT declined to €2.46 billion from €2.74 billion during the corresponding period last year.
Earnings per share also weakened, falling to €1.24 from €1.74.
However, industrial business revenue increased to €32.19 billion, compared with €31.13 billion a year earlier.
Free cash flow presented a less favorable picture, dropping sharply to €77 million from €2.29 billion.
Order activity also reflected challenges earlier in the year.
Incoming orders decreased 30% to 199,151 vehicles, although total unit sales increased 8% to 246,816 units.
The nine-month figures show that the third-quarter improvement has not fully offset weaker financial performance earlier in 2026.
Daimler Truck Reaffirms Full-Year 2026 Profit Outlook
Following the stronger quarterly results, Daimler Truck confirmed its profitability guidance for the full year.
The company continues to expect an adjusted return on sales of between 7% and 9% for its industrial business.
The reaffirmed outlook comes as the recovery in North American truck demand supports earnings, while other divisions face varying market conditions.
Although nine-month profitability remains below last year’s levels, the latest quarterly results suggest that Daimler Truck has regained momentum in several key areas.
Investors will continue monitoring order trends, cash flow performance, and regional truck demand to assess whether the earnings recovery can be sustained.
