Daimler Truck (DTG) Q4 2025 earnings summary

Executive summary

• Revenue reached €49.4 billion with adjusted EBIT of €3.8 billion for 2025, reflecting resilience amid geopolitical and economic uncertainty, though net profit fell 34% to €2.0 billion.

• Free cash flow from industrial business dropped 42% to €1.8 billion, mainly due to lower EBIT, but net industrial liquidity ended at €7.7 billion.

• Strategic focus on cost discipline, R&D investment, and service growth supported performance despite market headwinds.

• Book-to-bill ratio improved to 101%, indicating stronger order momentum, especially in Q4.

• Dividend proposal remains stable at €1.90 per share, with a share buyback program to start in March.

Financial highlights

• Group revenue decreased 10% year-over-year to €45.9 billion; adjusted EBIT declined 19% to €3.78 billion, mainly due to North America downturn and tariffs.

• Industrial business posted a 7.8% return on sales and free cash flow of €1.8 billion.

• Daimler Buses achieved record adjusted return on sales of 10% and adjusted EBIT of €599 million on €6 billion revenue.

• Trucks North America revenue was €23.8 billion, adjusted EBIT €1.998 billion, and ROS 10.7%.

• Financial Services adjusted EBIT improved to €181 million; return on equity rose to 6.1%.

Outlook and guidance

• 2026 group adjusted EBIT forecast: €3.2–3.7 billion; industrial revenue: €42–46 billion; adjusted return on sales: 6–8%.

• Free cash flow expected at €2.7–3.2 billion, including €1.5 billion from the Fuso Hino transaction.

• Unit sales guidance: 330,000–360,000 for industrial business; North America and Mercedes-Benz Trucks: 150,000–170,000 each; Daimler Buses: 25,000–30,000.

• Adjusted return on sales guidance: North America and Mercedes-Benz Trucks 6–8%, Daimler Buses 8–10%.

• Financial Services return on equity: 6–8%.