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Mercedes-Benz Q4 2025 figures - harsh reality for the automotive industry

$MBG (+1,16%) has published its Q4 figures for 2025 - and they reflect the ongoing difficult situation in the automotive industry.

Turnover (expected): €35.04 billion
Turnover (reported): €33.69 billion

EPS (expected): 1,28 €
EPS (reported): 1,43 €

There are many reasons for the decline in sales:

Weak demand in key markets such as China
High US import duties
Competitive pressure
Negative currency effects

$MBG (+1,16%) expects sales to remain largely stable in 2026. A noticeable improvement in the operating result is also expected thanks to cost control and new product launches. At the same time, demand remains uncertain, particularly in the premium segment and in key regions.

The company has also announced that it will sell part of its shares in Daimler Truck.

My personal assessment of the share: the brand itself is strong and has great historical significance and I still believe in the products. But to be honest: the still rather sober outlook, the decline in sales and profits and the strategic uncertainties are slowly robbing me of the motivation to continue holding the share.

Would you continue to hold Mercedes in your portfolio despite the current challenges or would now be a good time for you to sell?

https://de.investing.com/news/economy-news/roundup-2-mercedes-im-pkwgeschaft-nach-einbruch-vorsichtig--kurs-unter-druck-3342618

20 Commenti

DocTrader@value_crafter_1628

It's quite amazing how little the market reacts to such bad news here, if you look at the beating rounds at US tech even when targets are met...
We don't need to talk about the outlook for MB at the moment.... It's worth taking a look at the decline in sales over 10 years....🫣

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DividendenPapa@DividendenPapa

@value_crafter_1628 I was actually a little surprised. After the initial losses today, the share made up some surprising ground. After the figures and the outlook, I would have expected a stronger reaction. And I completely agree with you, I have some stocks in my portfolio that were punished much more even though the figures met expectations and the outlook was not particularly bad.

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Krush82@Krush82

@value_crafter_1628 They have simply spent too little CapEx on data centers / AI ;-)

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NichtRelevant@NichtRelevant

@value_crafter_1628 In the case of Daimler/Mercedes, one wonders how this company has survived so far.
The company's history over the last almost 50 years is an almost picture-book sequence of disastrous management decisions. Here are just a few key points:

- Integrated technology group with aviation/Fokker

- Transfer of electric mobility engineers to Tesla.

- Sale of the Tesla shares. Really expert.

- Smart/Swatch (death of the brand with dealers being taken for a ride)

- Chrysler investment with enormous investments and then sale. Incredible burning of money.

- Participation in Mitsubishi and then sale

- 'Luxury strategy' with concentration on 'old bags'. They didn't understand that entry-level models are needed to bind young buyers to the brand

- The design of the first generation of electric cars was a complete flop. These cars were basically completely unsaleable.

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DocTrader@value_crafter_1628

@NichtRelevant 100 percent agreement. As a former Mercedes driver for many years, I can add one more point:
- unbelievable arrogance, even towards long-established customers

- exorbitantly high new premiums, which have risen by over 40% in just a few years.

- All service workshops sold and no longer service under their own brand, here too service is sometimes subterranean.

I was in the luxury situation of being able to buy a new Stern last year as a company car. Had 100 K as a frame. Always MB so far. Frustrated, I put off buying a new car for the time being and later decided on a cheaper model from another manufacturer. It probably won't be a Mercedes any more, Germany is a service desert. If buying a car isn't even fun anymore, then you've made it!

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DocTrader@value_crafter_1628

@NichtRelevant thanks for " luxury strategy for old farts" 🤣 is okay, I just don't feel addressed now...🤟😂

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NichtRelevant@NichtRelevant

@value_crafter_1628 😅. I have nothing against the Mercedes brand and old farts. I'm one myself at the age of 51. I have an old E500 in my fleet.
I can confirm that with the service desert. The Mercedes dealership is almost disgusted when you come in with an old car like mine. It took 2 weeks to NOT repair one of the headlights. Two 'diagnostics' for 900 euros and then refusal to replace the headlight control unit because the headlights were already so old. Only new complete unit offered for over 2tsd plus installation.
The independent garage then fixed it for 350 euros. What can you say about that? Without words.

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Charmin@Charmin

22H

Huh? What bad news? Result beaten, unset narrowly missed.

No one on the stock market is interested in the history of recent years.

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TD@Routine123

17H

I think it can go up in mid term. New models actually look promising.

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DocTrader@value_crafter_1628

@Charmin What would happen to a US tech company at the moment if the report said: earnings just beaten, sales just missed, future prospects: extremely unfavorable due to repeated, unsuccessful strategy changes and now an extremely difficult market environment?

It is true that there are always good trading opportunities. Classic long-term downtrend with cyclical countermovements. Ideal for traders, great swing trading conditions, you're right! However, not exactly favorable as a forecast for the company 😉
Good luck 🍀

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DocTrader@value_crafter_1628

@NichtRelevant 😂🤣 then I'm even a year younger than you!, Then you're the old bastard! 🤣😂🤣😂🤣 E500 old series: technical dream piece!
Best regards 🖖

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Solitair@Solitair

I sold Mercedes months ago. The company is managed very badly. Anyone who thinks they can pursue a luxury strategy must also offer luxury products and not just raise prices.

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DividendenPapa@DividendenPapa

@Solitair Then you're definitely one step ahead of me. I agree with you, the current management has not really impressed with good decisions in recent years. Nevertheless, I still see opportunities to achieve a turnaround. The only question I'm asking myself now is whether I have the patience for it and whether my money can't be put to better use elsewhere.

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Solitair@Solitair

@DividendenPapa You need to know that. I certainly don't want to make my money dependent on people like kalenius. He has no awareness of the brand's tradition. I'd rather go for a drive in my 126 on Sundays.

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Pezi@Pezi

The vehicle market has always been very cyclical. Although I work for a car manufacturer, I would never put shares in a vehicle manufacturer in my portfolio for the long term.

Mercedes has had roughly the same share price for 25 years...and apart from the Daimler Truck spin-off and the good dividend, it has nothing to offer a shareholder.

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DividendenPapa@DividendenPapa

@Pezi I work in the supply industry myself and am also familiar with the cycles in the sector. It's not the first time we've had to go through this. Let's see if the dividend isn't suspended again at some point. I currently don't expect any real improvement for the German carmaker sector in the near future. Accordingly, I'm having stronger thoughts about whether I shouldn't sell the share. Purely in terms of the share price performance, it's a loss, but if I include the dividends, it would still be in profit if I were to sell.

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stocker_1862@stocker_1862

I have always seen extreme management mistakes at Mercedes. It started with Daimler-Chrysler.
First a luxury strategy, then back to square one. Models such as the A-Class are no longer being continued, or as Smart. It just doesn't seem coherent.

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DividendenPapa@DividendenPapa

@stocker_1862 I also think that many wrong decisions were made by the management. To be honest, I'm also surprised that the current CEO is still being retained. Others have had to leave for much less.

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Der Optimist@MMeier

I will continue to hold $MBG. The dividend will come and hopefully the CEO will leave. Then the future prospects will also improve. I hope they don't sell any shares in DaimlerTruck. Then I will sell.

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DividendenPapa@DividendenPapa

@MMeier I've been hoping for some time that the CEO would leave. But he obviously has a lot of staying power😂

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