(Stuttgart, 13th) Mercedes-Benz Group reported disappointing 2025 results, with operating profit falling 57% year-on-year to €5.8 billion, below analyst expectations of €6.6 billion.
The company cited currency headwinds, intense competition in China, and approximately €1 billion in tariff-related costs.
CEO Ola Källenius described the environment as highly dynamic but said results remained within guidance.
CFO Harald Wilhelm warned that sales in China may decline further despite upcoming model launches.
Mercedes faces fierce competition from Chinese automakers such as BYD and Geely. China sales fell 19% in 2025, dragging global sales down 10%.
The company also faces rising production costs and EV transition pressures. Shares are down about 7% year-to-date.
