Daimler lowers profit outlook for year on diesel issues

Posted on Friday, October 19th, 2018 By The Associated Press

FRANKFURT, Germany (AP) — German automaker Daimler lowered its profit outlook for the year and reported reduced third-quarter profits due to regulatory and diesel emissions issues.

The company said Friday that group operating profit would be "significantly below" last year's, instead of "slightly lower" as forseen in July.

A similar downgrade applied to expectations for the Mercedes-Benz luxury car division, a pillar of the company's earnings.

The company reported third-quarter earnings before interest and taxes of 2.48 billion euros ($2.85 billion), down from 3.41 billion in the same quarter in 2017.

The company cited "ongoing governmental proceedings" and "measures in various regions with regard to Mercedes-Benz diesel vehicles." It also said that its vans business recorded lower unit sales due to delays in vehicle deliveries.

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