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Mercedes-Benz Q1 profit drop less than feared as China sales plunge 27%

economy-finance · 2026-04-29

Mercedes-Benz reported a smaller-than-expected decline in first-quarter profits, with its carmaking margin falling to 4.1% from 7.3% a year earlier. The German automaker's results beat analyst forecasts despite a 27% collapse in China sales. The margin contraction reflects weaker demand in its largest market, though cost controls and pricing helped mitigate the impact.

Key facts

  • Mercedes-Benz carmaking margin fell to 4.1% from 7.3% year-over-year
  • Profit drop was less steep than analysts had forecast
  • China sales collapsed 27% in Q1
  • German automaker reported Q1 earnings
  • Cost controls and pricing helped offset China weakness

Entities

Institutions

  • Mercedes-Benz

Locations

  • Germany
  • China

Sources