{"id":29717,"date":"2023-10-26T10:26:53","date_gmt":"2023-10-26T10:26:53","guid":{"rendered":"https:\/\/microloannexus.com\/news\/mercedes-benz-shares-fall-6-as-profit-falls-cfo-bemoans-brutal-ev-pricing\/"},"modified":"2023-10-26T10:26:54","modified_gmt":"2023-10-26T10:26:54","slug":"mercedes-benz-shares-fall-6-as-profit-falls-cfo-bemoans-brutal-ev-pricing","status":"publish","type":"post","link":"https:\/\/microloannexus.com\/?p=29717","title":{"rendered":"Mercedes-Benz shares fall 6% as profit falls; CFO bemoans ‘brutal’ EV pricing"},"content":{"rendered":"
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Mercedes-Benz shares were sharply lower Thursday after the German carmaker reported a decline in profit and revenue as challenges from electrical vehicle competition to supply chains.<\/p>\n

Frankfurt-listed shares were down 5.8% at 10:56 a.m. London time (5:56 a.m. ET), putting the stock on course for its worst day since May 4, according to LSEG data.<\/p>\n

The company said it had faced a “subdued market environment marked by intense price competition,” particularly in EVs.<\/p>\n

On an analyst call regarding the results, Chief Financial Officer Harald Wilhelm described the EV market as a “pretty brutal space,” Reuters reported. It comes as some traditional automakers sell EVs for less than regular combustion-engine cars \u2014 despite higher production costs.<\/p>\n

“I can hardly imagine the current status quo is fully sustainable for everybody,” Wilhelm said, according to the news agency.<\/p>\n

Group earnings before interest and taxes (EBIT) fell 7% to 4.8 billion euros ($5.06 billion) in the third quarter. Revenue was down 1.4% to 37.2 billion euros, below the consensus estimate, as passenger car sales dropped 5%, partially due to supply chain challenges.<\/p>\n<\/div>\n

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