Mercedes-Benz lowered its full-year earnings outlook, blaming the weaker projections on China’s worsening macroeconomic conditions.
The company on Thursday said its car division now anticipated the return on sales to be in the range of 7.5 per cent to 8.5 per cent, down from its previous expectation of 10 per cent to 11 per cent.
Mercedes cited “a further deterioration of the macroeconomic environment, mainly in China”, including weaker consumption” and the “continued downturn in the real estate sector”.
The company’s American depositary receipts were down 2.4 per cent in afternoon trading in New York.
Mercedes also said it expected its overall adjusted earnings to be “significantly” worse year on year.
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