Diesel refit brakes Daimler profits in third quarter

Frankfurt am Main: Profits at the world’s biggest luxury carmaker Daimler slipped in the third quarter, the company reported on Friday, sapped by a recall and measures to reduce harmful emissions from diesel cars.
Between July and September, net profit attributable to shareholders at the Mercedes-Benz maker fell 16 per cent compared with the same period last year, to 2.2 billion euros ($2.6 billion).
The fall in profits came even as the Stuttgart-based firm sold 9.0 per cent more vehicles, at 824,100 units, and increased revenue 6.0 per cent to 40.8 billion euros.
Operating, or underlying profit fell 14 per cent, to 3.5 billion euros.
A massive vehicle recall costing 230 million euros and a refit of older diesel engines to reduce harmful nitrogen oxides emissions, costing 223 million, undermined earnings at flagship car division Mercedes-Benz, the group said.
The Mercedes and Smart unit has also been investing heavily in new technologies, promising a flotilla of new electric models in the next few years. — AFP