Mercedes (MBG GY) Earnings Drop on Model Changeovers, EV Slump

Mercedes-Benz Group AG’s earnings plummeted 34% in the first quarter, weighed down by model changes and sluggish demand for electric vehicles.

Adjusted group earnings before interest and tax dropped to €3.6 billion ($3.9 billion), Mercedes said Tuesday. The company, which left its outlook for the year unchanged, said its carmaking margin was 9% — below its annual target — hit by high costs of model upgrades.