Mercedes-Benz Danmark A/S

Ledelsesberetning

Management's review Financial highlights for the Company DKK'000 2024 2023 2022 2021 2020 Key figures Revenue 5,114,338 5,920,949 5,880,069 5,230,303 4,563,139 Gross profit 81,330 302,203 460,529 256,151 293,094 Operating profit -40,883 202,084 356,971 143,950 180,819 Result from financial items 220,541 270,330 116,548 -24,670 -6,647 Profit for the year 184,390 410,406 407,234 86,640 135,069 Fixed assets 1,960,291 1,505,723 733,467 733,769 776,644 Current assets 1,950,042 2,177,196 2,422,127 2,155,523 1,818,491 Total assets 3,910,333 3,682,919 3,155,594 2,889,292 2,595,135 Share capital 70,000 70,000 70,000 70,000 70,000 Equity 915,288 1,116,255 1,815,157 1,494,562 1,542,991 Provisions 188,934 187,552 165,003 110,010 35,977 Short term debt 2,060,339 1,867,333 1,175,434 1,284,720 1,016,167 Investment in property, plant and equipment 940,215 280,586 0 0 1,092 Average number of full-time employees 44 39 44 51 50 Financial ratios Gross margin ratio (%) 1,6 5,1 7,8 4,9 6,4 Operating margin ratio (%) -0,8 3,4 6,1 2,8 4,0 Current ratio (%) 94,6 116,6 206,1 167,8 179,0 Solvency ratio (%) 23,4 30,3 57,5 51,7 59,5 Return on assets (%) -0,1 5,5 11,3 5,0 7,0 Return on equity (%) 18,2 28,0 24,6 5,7 5,9 In the financial year 2024 an adjustment is made related to the accounting treatment of recognition of buy-back obligations. As a result the ratios for 2023 have been restated. Comparative figures for 2022 and back have not been adjusted accordingly. The financial ratios have been calculated as follows: Gross profit x 100Gross margin ratio RevenueOperating profit x 100Operating margin ratio RevenueCurrent assets x 100Current ratio Short-term debtEquity at year end x 100Solvency ratio Total equity and liabilities at year endOperating profit x 100Return on assets Total assets at year endProfit after tax x 100Return on equity Average equity 7 Development in activities and financial matters The 2024 income statement for Mercedes-Benz Danmark A/S shows a profit after taxes of 184,390 thousand DKK against 410,406 thousand DKK in 2023. The balance sheet on December 31, 2024, showed an equity of 915,288 thousand DKK against 1,116,255 thousand DKK on December 31, 2023. In October 2022, a decision was taken by the local Board of Management to divest the subsidiary Mercedes-Benz CPH A/S to an external investor. This was in alignment with the central strategy of Mercedes-Benz Group AG. In January 2024, it was communicated that the Dutch company Van Mossel Automotive International B.V. would buy Mercedes-Benz CPH A/S. The divestment of Mercedes-Benz CPH A/S to Van Mossel was finalized during July 2024. Development in the year and follow-up on prior year´s outlook The original expectation from 2023 was a slight revenue increase in 2024 vs 2023. The actual revenues for 2024 landed on a decline of -13,6% vs 2023. A reason for the decline is a continued shift in product mix from traditional models with combustion engines to a higher share of electric vehicles. The electric vehicles are often sold with a lease arrangement, where the revenues are not recognized upfront, but instead distributed over the lease term. Specifically, the demand for the electric models EQA and EQB increased significantly during 2024. From a revenue perspective, the higher share of these models, did not compensate for the decline in sales of vehicles with combustion engine. Also the van business had a decline in revenues after a very successful 2023. The profit before tax landed on DKK 180 million. The expectation from 2023 was a profit before tax in the range of DKK 270-300 million for 2024. The reason for the deviation is a higher cost situation due to last years’ high inflation in combination with a tough price pressure in the market, which had a negative impact on both revenues and profit. Outlook The outlook for 2025 is still uncertain. The Company is following the development in the market related to tariffs and political uncertainties. Mercedes-Benz Danmark A/S expects an increase in revenues of appr. 4% and a profit before tax in a range of 180-250 million DKK. External factors that may have an impact on the expected profit for the year are for example inflation, interest development and political decisions. But it could also be more internal factors such as production constraints of certain models or components. Risks Credit risks The Company’s customers mainly consist of the Danish Mercedes-Benz dealers, where there is no credit risk outside normal course of business. Financial risks The Company is not exposed to any significant financial risks. Mercedes-Benz Group AG is involved in proactive work to ensure economic development in the Group. Intellectual capital The Company focuses on developing the employees to ensure that the skills and know-how within the Company meet the market´s requirements. On a regular basis, trainings are offered either at the internal Mercedes-Benz Global Training centre in Malmö, as digital online trainings, or physical trainings off-site. The Company retains its employees by offering development opportunities and a good work environment that attracts people in a market with high competition. Furthermore, the Company has since long a close collaboration with the authorized Dealer network of Mercedes-Benz in Denmark. Also here, the Company offers both mandatory- and voluntary trainings for the Dealers´employees. The trainings are addressed to mechanics, technicans, service advisors, sales consultants or other relevant personnel at the Dealers. The aim with the trainings is to ensure that the Dealers are up-to-date with the products of Mercedes-Benz and the related sales- or service processes. This, in-order to give the end-customers the best possible experience when visiting the Mercedes-Benz Dealerships.

Beskrivelse af virksomhedens væsentligste aktiviteter

Principal activities Mercedes-Benz Danmark A/S is a 100% owned subsidiary of Mercedes-Benz Group AG. Mercedes-Benz Danmark A/S is an import and wholesale company of passenger cars, vans and spare parts in Denmark. The subsidiaries are retailing and supporting services of cars and vans. All activities take place under the trademarks Mercedes-Benz, Mercedes-Maybach, Mercedes-EQ and Mercedes-AMG.