Mercedes-Benz exceeds profit forecasts: the company resumes share buyback
29 October 20:47
German automaker Mercedes-Benz has reported better-than-expected financial results for the third quarter of 2025, despite a number of external challenges, from US customs restrictions to falling sales in China and strict European emissions regulations.
This was reported by Ukravtoprom, "Komersant Ukrainian" reports.
According to the company, the profitability of sales of the passenger car division was 4.8%, while last year in the same period it was 4.7%.
Growth drivers: Maybach, AMG and demand for luxury
The key factor was a 10% increase in sales of top models, in particular the Maybach and AMG lines, which provide the highest margins in the brand’s portfolio.
These results demonstrate that even amid the overall market downturn, the high-end segment remains a stable source of profit.
Financial results
Mercedes-Benz’ free cash flow in the third quarter was approximately €1.4 billion, which allowed the company to announce the resumption of its share buyback program.
Investor reaction was positive, with the company’s shares rising 6%, adding weight to the German blue-chip index.
Challenging market and strategic negotiations
Mercedes-Benz’s results are particularly noteworthy amid falling sales in China, the company’s key market, and intensifying trade disputes between the US and the EU, which create uncertainty in supply chains.
In addition, the automaker is in talks with BMW – according to industry sources, it is a possible partnership in the field of electric vehicle technology and autonomous driving.
What analysts say
Analysts expect that the company will continue to rely on the premium segment as the main source of financial stability, even if overall demand for cars in Europe continues to decline.
If the negotiations with BMW bear fruit, it could strengthen Mercedes-Benz’s position in the technological race for leadership in the electric car and robotic vehicle markets.
