By Giulia Petroni 
 

Daimler AG said Thursday that net loss widened and revenue fell in the second quarter as a result of lower customer demand and the closure of centers in its core markets due to the coronavirus pandemic.

The German premium car maker said it booked a net loss of 2 billion euros ($2.31 billion) for the period compared with a loss of EUR1.33 billion for the year earlier.

Revenue fell to EUR30.18 billion from EUR42.65 billion.

The company reported a loss before interest and taxes of EUR1.68 billion from EUR1.56 billion the previous year. On an adjusted basis, the EBIT loss was of EUR708 million.

Daimler said it is now seeing the first signs of recovery from the coronavirus pandemic, especially at Mercedes-Benz passenger cars, with strong demand for its top-end models and electrified vehicles.

The company said it expects a significant contraction of the global car market in 2020 and assumes that coronavirus-related unit sales decreases won't be offset in the rest of the year.

Group EBIT and industrial cash flow in the full year are expected to be positive if the economic recovery continues, Daimler said, but still lower than the previous year.

 

Write to Giulia Petroni at giulia.petroni@wsj.com

 

(END) Dow Jones Newswires

July 23, 2020 01:50 ET (05:50 GMT)

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