Mercedes-Benz Group AG Revenue & Financials

The number that should concern Mercedes-Benz investors isn't the 9.2% revenue decline or even the 49% profit drop. It's 4.1%. That was the Mercedes-Benz Cars adjusted return on sales in Q1 2026 — down from 7.3% a year earlier and well below the 8-10% target range that Källenius set as the benchmark for a luxury business. A 4.1% margin on premium vehicles is volume-manufacturer territory. It's what you'd expect from a Stellantis brand, not from a company selling $226,000 Maybachs. The full-year 2025 figure was better — around 7.5% — but the trajectory is wrong. The bright spots exist but require looking past the headline. Vans posted 10.2% adjusted return on sales for the fourth consecutive year. The G-Class had its best sales year ever. AMG delivered 145,000 vehicles. Net industrial liquidity was $36.4 billion and free cash flow was $6.1 billion — meaning the company isn't in financial distress, just in margin distress. FY2025 in full: $149.4 billion revenue, $9.3 billion adjusted EBIT, roughly $6 billion net profit, 2.2 million vehicles sold. The market values all of this at approximately $53 billion — less than 0.4x revenue. That valuation screams "the market doesn't believe this is a luxury business yet." For comparison, Ferrari trades at roughly 10x revenue. The gap between those multiples is the gap between what Mercedes-Benz says it wants to be and what investors think it actually is. Q1 2026 beat analyst expectations (consensus expected $1.8B EBIT, actual was $2.1B), and the company maintained full-year guidance. But beating low expectations isn't the same as demonstrating luxury economics.