Daimler to Step Up Cost Cutting to Tackle Flagging Returns
- Carmaker plans to weed out product offerings to lift margins
- CEO Kallenius under pressure after string of profit warnings
Workers check a Mercedes-Benz E-Class automobile at the Daimler plant in Moscow.
Photographer: Andrey Rudakov/BloombergThis article is for subscribers only.
Daimler AG’s new leadership duo vowed to accelerate an overhaul with a slimmer model line-up and stronger focus on generating cash after two rapid-succession profit warnings following their debut in May.
Some of the measures will begin bearing fruit in the second half of the year with profit and cash flow anticipated to “improve significantly,” Daimler said Wednesday as it reported earnings following its outlook cut on July 12.