Daimler Truck Q3 profit rises 73% as North America demand recovers

Daimler Truck Records 73% Q3 Profit Jump on North America Demand Recovery

Q3 Financial Performance and Market Drivers

Nov 6 (Reuters) - Daimler Truck, one of the world's biggest truckmakers, on Friday reported a 73% increase in its third-quarter operating profit and confirmed its full-year outlook, helped by a recovery in North American truck demand.

Financial Highlights

The company said its adjusted operating profit was €1.12 billion ($1.25 billion), up from €648 million a year ago, and compared with the €1.10 billion forecast in a company-compiled consensus.

CEO Statement

"Our third-quarter performance demonstrates that we are continuing to build momentum across the business," CEO Karin Radstrom said in a statement.

North America as Growth Engine

Daimler Truck's largest division, Trucks North America, was the main driver of the group's performance. The unit's adjusted operating margin rose to 12.1% from 6.4% a year earlier, while operating profit jumped 169% year-on-year to €691 million.

Market Recovery Details

The quarterly earnings were buoyed by a rebound in North American truck sales, adding to evidence that the US heavy-duty truck market is emerging from a prolonged downturn that forced fleets to delay purchases and manufacturers to cut production.

Unit Sales and Industry Comparison

Unit sales in North America rose 51% year-on-year to 45,629. Rival Traton last month also reported a strong growth in North American orders.

Context and Previous Challenges

The result marks a sharp turnaround from the prior-year period, when weak freight activity and uncertainty surrounding US import tariffs weighed on customer demand and truck orders.

Additional Information

($1 = 0.8930 euros)

(Reporting by Amir Orusov, editing by Anna Pruchnicka)