India Boosts Mercedes-Benz Profits

Published: Thursday, July 28, 2011, 17:32 [IST]

German Auto Giant Daimler AG which owns the Mercedes-Benz Luxury car brand, has posted its financial results for the second quarter of this year. Daimler AG's net income has increased by 30 per cent to 1.7 billion Euros following strong demand from growing markets like India and Brazil.

Daimler Chief Executive Dieter Zetsche said: “We now assume that Group EBIT (earnings before interest and tax) will develop more positively than we previously expected and will very significantly exceed the level of 2010.". Daimler AG's financial results indicate the increasing influence of emerging markets on the car industry.

India and China have emerged as the world's fastest growing car markets. Mercedes-Benz's sales have increased considerably in China. The German luxury carmaker is competing against Audi for the top spot in the Indian luxury car sector. Daimler has said although growth rate at these two Asian giants was high last year, it is expecting a slowdown this year.

Daimler also reported that it started its financial services division in India. The Daimler Financial Services India will cater to Mercedes-Benz car customers. It will also support Mercedes-Benz truck dealers from next year.

Article Published On: Thursday, July 28, 2011, 12:04 [IST]

Read more on: #mercedes benz #daimler #luxury cars

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