STUTTGART -- Mercedes-Benz Group earnings rose by 28 percent in 2022 to 20.5 billion euros ($21.8 billion) on a rise in revenue of 12 percent.
Mercedes-Benz Cars' adjusted return on sales was 14.6 percent, in line with the company's own forecast of 13-15 percent and up from 13.1 percent in 2021, the automaker said in a statement on Friday.
Still, the carmaker forecast a lower adjusted return on sales for the cars division in 2023 of 12-14 percent and group earnings slightly below 2022, even with Mercedes-Benz Cars unit sales expected at the same level.
Incoming orders were sluggish in Europe, and sales in the Chinese market were tepid due to the COVID-19 restrictions in the fourth quarter, the company said in a statement, adding that demand in the United States was still strong.
Sales of top-end cars including the S-Class and EQS all-electric sedan saw particularly strong growth in 2022 and helped the carmaker overcome rising costs.
Global sales of Mercedes-Benz Cars were 2.05 million last year, including 149,227 sales of Mercedes and Smart full-electric vehicles.
The company's fourth-quarter earnings were 5.4 billion euros.
In this episode of the Ally All Ears podcast, host Emma Hancock interviews Kelly Olson, Senior Director of Operations for SmartAuction at Ally Financial, about the importance of quality control in online wholesale auctions. Olson discusses advancements in online auction platforms, highlighting the importance of detailed condition reports, AI technology for damage detection, and the evolving incorporation of electric vehicle information, all aimed at building trust and reliability for dealers purchasing pre-owned inventory.
Mercedes, which committed on Thursday to buy back up to 4 billion euros in shares by 2025, reported an adjusted free cash flow in its industrial business of 9.29 billion euros, down 8 percent from last year.
Mercedes said it will propose a dividend of 5.20 euros per share, up from 5 euros last year, amounting to a total payout of 5.6 billion euros.