FRANKFURT, July 2 (Reuters) - Germany’s Daimler, the world’s largest commercial vehicles maker by revenue, reaffirmed the full year profit forecast of its trucks division despite temporary factors that will weight on its first-half figures.
“High investments in our product offensive and the switch from Euro III to Euro V in Brazil caused the operating profit to drop slightly from last year’s level. Both of these factors will also affect our results in the second quarter,” said Daimler Trucks Chief Andreas Renschler on Monday.
The Euro V emissions norm puts stricter pollution limits on trucks.
He said the commercial vehicles market was “a mixed bag” during the first half of the year, but added the second half of the year would improve increasingly.
“We are expecting our truck sales to be higher in 2012 than last year, and our operating profit to at least match that of 2011,” Renschler said according to the text of a speech.
Daimler Trucks sold 426,000 vehicles last year, achieving earnings before interest and tax of 1.88 billion euros ($2.39 billion), translating to an operating margin of 6.5 percent.
The company and its Mercedes-Benz, Freightliner and Fuso brands compete most closely with Volvo and its Volvo, Mack and Renault truck brands.