Daimler Truck Holding AG (ETR: DTGGe) reported a sharp decline in third-quarter results for 2025, as weaker global demand and lower truck sales weighed heavily on earnings. The company’s adjusted earnings before interest and taxes (EBIT) fell 40% year-on-year to €716 million, while total revenue dropped 13% to €11.45 billion.
The world’s largest commercial vehicle manufacturer said adjusted EBIT for its Industrial Business slumped 42% to €668 million, reflecting reduced volumes and an unfavorable product mix. Overall group EBIT decreased 25% to €652 million, compared with €873 million a year earlier.
Industrial and Financial Performance
Revenue in the Industrial Business fell 14% to €10.59 billion, while the Financial Services division grew 3% to €856 million. Global vehicle sales dropped 15% to 98,009 units, down from 114,917 in the same period of 2024. However, sales of zero-emission vehicles surged 175%, reaching 1,833 units compared with 666 last year.
Net profit declined 27% to €458 million, with earnings per share at €0.57, down from €0.77. Free cash flow in the Industrial Business improved to €24 million, reversing a negative €41 million from the prior year, while adjusted free cash flow rose to €116 million from €73 million.
Net liquidity in the Industrial Business decreased 31% to €5.88 billion, down from €8.56 billion in 2024.
Regional and Segment Results
Performance varied across divisions. Trucks North America reported EBIT of €254 million, a steep 65% decline from €717 million, driven by weaker demand in the United States, Canada, and Mexico.
Mercedes-Benz Trucks, on the other hand, increased EBIT to €283 million from €57 million, supported by strong sales in Europe and Latin America.
Trucks Asia recorded EBIT of €65 million, down 13% due to a 33% sales drop in Indonesia.
Daimler Buses remained stable, posting €136 million in EBIT, while Financial Services more than doubled earnings to €41 million from €16 million last year.
Unit sales mirrored this mixed picture. North America fell 39% to 30,225 trucks, Mercedes-Benz Trucks rose 8% to 39,290 units, Trucks Asia dropped 8% to 25,515, and Daimler Buses slipped 4% to 6,443.
Investment, Strategy, and Innovation
Research and development spending increased 10% to €520 million, while investments in property, plant, and equipment declined 11% to €278 million.
During the quarter, Daimler Truck hosted its Capital Market Day in Cleveland, North Carolina, unveiling its “Stronger 2030” strategic plan and a €2 billion share buyback program to be executed over two years.
The company also opened a Global Parts Center in Halberstadt, Germany, which it described as the “heart of Mercedes-Benz Trucks’ global spare parts logistics.” The facility is designed for CO₂e-neutral operation.
Other highlights included a partnership with French manufacturer ARQUUS for military vehicle development, the launch of new Mercedes-Benz Axor models in Brazil, and the introduction of BharatBenz HX trucks in India for construction and mining. Daimler Buses also began testing the Setra “H₂ Coach,” its first hydrogen fuel-cell model, while deliveries of the eActros 600 electric truck expanded to over 15 European countries.
Outlook for 2025
Daimler Truck reaffirmed its full-year forecast, expecting adjusted group EBIT between €3.6 billion and €4.1 billion, Industrial Business unit sales of 410,000 to 440,000 vehicles, an adjusted return on sales of 7% to 9%, and free cash flow between €1.5 billion and €2 billion.
