DaimlerChrysler Financials
STUTTGART,and AUBURN HILLS, Mich., Feb. 20 DaimlerChrysler today published its consolidated financial statements and its divisional results for the year 2001. At the presentation of the Annual Report 2001, DaimlerChrysler stated that despite difficult market conditions it had been able to achieve its earnings target.The consolidated Group, revenues were virtually unchanged against the previous year.Excluding one-time effects, Operating Profit was $1,197 million -- within the target range announced in February 2001, despite a more difficult economic environment. In the year under review, there were negative one-time effects totaling $2.4 billion, primarily due to the turnaround activities at Chrysler Group, Freightliner and Mitsubishi Motors.
Including one-time effects, there was a Group Net Loss of $589 million, and a loss per share of $0.59. Excluding one-time effects there was a Group Net Income of $650 million and earnings per share of $0.65.
At the end of the year, DaimlerChrysler employed 372,470 people worldwide. The reduction compared with the previous year was partly due to the fact that the employees of TEMIC and Adtranz are no longer included in the DaimlerChrysler Group. In addition, there were workforce reductions as a result of measures taken to improve profitability, in particular at Chrysler Group and Freightliner.
Last year, DaimlerChrysler invested a total of $7.9 billion in property, plant and equipment, and $5.3 billion in research and development.
Dividend
The Board of Management and the Supervisory Board will propose to the shareholders at the Annual Meeting that a dividend of $0.89 per share be distributed. The total dividend distribution will therefore amount to $893 million. The dividend level proposed is related to the year's earnings. However, DaimlerChrysler is confident that it will take profits to much higher levels in the future.
Mercedes-Benz Passenger Cars & smart
The Mercedes-Benz Passenger Cars & smart division again achieved new record figures for Unit Sales, Revenues and Operating Profit. Worldwide, 1,229,700 vehicles were sold, of which 116,200 were smart cars. Revenues rose to $42.5 billion. Excluding one-time effects, Operating Profit reached $2,636 million, despite high expenditure for the development and launch of new models.
Chrysler Group
In spite of the difficult market conditions in North America, Chrysler Group's operating loss excluding one-time effects of $1,943 million was lower than the target range set at the beginning of the year (operating loss of $2.0-2.3 billion). The implementation of the turnaround plan achieved cost savings and efficiency improvements that were substantially greater than originally planned, offsetting the negative impact of declining unit sales and revenues. Worldwide, Chrysler Group sold 2.8 million cars, SUVs, minivans and light trucks. Its revenues amounted to $56.5 billion.
Commercial Vehicles
With revenues of $25.4 billion, DaimlerChrysler remains the largest manufacturer of commercial vehicles in the world. Unit sales of 492,900 trucks, vans and buses by the Commercial Vehicles division did not equal the high level of the previous year due to the severe decline of markets in North America and Argentina. Demand in Western Europe also weakened distinctly during the course of the year.
The division's Operating Profit excluding one-time effects decreased to $45 million. The main reason for this was the loss sustained by Freightliner in the United States, where a comprehensive turnaround plan was initiated in October 2001.
DaimlerChrysler Services
DaimlerChrysler Services achieved revenues of $15 billion in 2001. Adjusted for the revenues of debis Systemhaus, which remained consolidated for the first nine months of the previous year, revenues increased by 12%. As expected, new business was slightly below the level of 2000 at $48.8 billion. With new business of $31.8 billion, the United States remained DaimlerChrysler Services' most important market.
The division's Operating Profit amounted to $545 million. Operating profit for the year under review includes a one-time gain on the sale of the remaining shares of debitel AG to Swisscom, a Swiss telecommunications company, of $260 million, as well as one-time losses of $102 million caused by the devaluation of the Argentinean peso against the US dollar and of $148 million for the sale of parts of the capital services portfolio in the United States that was agreed on in January 2002. Excluding one-time effects there was an Operating Profit of $514 million.
Other Activities
The Other Activities segment comprises of the MTU Aero Engines business unit, our equity interests in EADS, TEMIC, Mitsubishi Motors Corporation; until the end of April 2001, the segment also included the Rail Systems business unit, which was sold last year. It also includes our Corporate Research department, our real-estate activities, and the holding and finance companies.
Despite the negative effects of the terrorist attacks of September 11, 2001, MTU Aero Engines continued its extremely positive development of recent years. In 2001, the business unit's revenues climbed 18% to $2.2 billion.
Compared with its pro-forma revenues of 2000, EADS improved its performance by 27% to $27.4 billion. Adjusted for the effects of the formation of Airbus SAS, there was growth of 10%.
In the first half of the 2001/2002 financial year, which ends on March 31, 2002, Mitsubishi Motors Corporation achieved unit sales of 658,000 vehicles and revenues of 1.533 billion yen ($12.6 billion). As expected, MMC recorded an operating loss in the first half of 2001/2002 of 13.1 billion yen ($108 million). However, this loss was 44% lower than that in the first half of the previous year (23.2 billion yen).
Excluding one-time and special effects, the segment reached an Operating Profit of $0.2 billion.
Outlook
DaimlerChrysler expects Group Operating Profit for 2002 excluding one-time effects to exceed twice the 2001 level by a very significant amount. The Group is confident that it will achieve results similar to those projected one year ago, but at slightly later dates.
Rate of exchange: Euro 1 = US $ 0.8901 (based on the noon buying rate on Dec. 31, 2001)
This document contains forward-looking statements that reflect the current views of DaimlerChrysler management with respect to future events. The words ``anticipate,'' ``believe,'' ``estimate,'' ``expect,'' ``intend,'' ``may,'' ``plan,'' ``project'' and ``should'' and similar expressions are intended to identify forward-looking statements. Such statements are subject to risks and uncertainties, including, but not limited to: changes in general economic and business conditions, especially an economic downturn in Europe or North America; changes in currency exchange rates and interest rates; introduction of competing products; lack of acceptance of new products or services, including increased competitive pressures on the general level of sales incentives and pricing flexibility; inability to implement the turnaround plans for the Chrysler Group and Freightliner promptly and successfully, especially an inability to meet revenue enhancement, efficiency and cost reduction initiatives; the ability of Mitsubishi Motors to implement its restructuring plan successfully; and decline in resale prices of used vehicles. If any of these or other risks and uncertainties occur (some of which are described under the heading ``Risk Factors'' in DaimlerChrysler's most recent Annual Report on Form 20-F filed with the Securities and Exchange Commission), or if the assumptions underlying any of these statements prove incorrect, then actual results may be materially different from those expressed or implied by such statements. DaimlerChrysler does not intend or assume any obligation to update these forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made.
Internet site
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DaimlerChrysler - Figures for 2001 DaimlerChrysler-Group 2001 2000 U.S.-$ (Euro) (Euro) Revenues, in millions 136,072(1) 152,873(1) 162,384 Operating Profit (Loss), in millions (1,173) (1,318) 9,752 Operating Profit, adjusted(2), in millions 1,197 1,345 5,213 Net Income (Loss), in millions (589) (662) 7,894 Per Share (EPS) (0.59) (0.66) 7.87 Net Income, adjusted(2), in millions 650 730 3,481 Per Share (EPS), adjusted(2) 0.65 0.73 3.47 Dividend proposed 0.89 1.00 2.35 Employees (at year-end) 372,470 416,501 Operating Profit by Segments 2001 2000 including one-time effects, in millions U.S.-$ (Euro) (Euro) Mercedes-Benz Passenger Cars & smart 2,627 2,951 2,145 Chrysler Group (4,701) (5,281) 501 Commercial Vehicles (458) (514) 1,212 Services 545 612 2,457 Other Activities 1,051 1,181 3,590 Operating Profit by Segments 2001 2000 excluding one-time effects, in millions U.S.-$ (Euro) (Euro) Mercedes-Benz Passenger Cars & smart 2,636 2,961 2,874 Chrysler Group (1,943) (2,183) 531 Commercial Vehicles 45 51 1,253 Services 514 578 641 Other Activities 182 205 67 Revenues by Segments 2001 2000 in millions U.S.-$ (Euro) (Euro) Mercedes-Benz Passenger Cars & smart 42,462 47,705 43,700 Chrysler Group 56,506 63,483 68,372 Commercial Vehicles 25,432 28,572 29,804 Services 14,999 16,851 17,526(3) Other Activities 4,012 4,507 10,615 Unit Sales by Segments 2001 2000 Mercedes-Benz Passenger Cars & smart 1,229,700 1,154,900 Chrysler Group 2,755,900 3,045,200 Commercial Vehicles 492,900 549,000 (1) A 1 % decrease after adjusting for changes in the consolidated Group (2) excluding one-time effects (3) Revenues still including debis Systemhaus; adjusted: Euro 15,112 million Rate of exchange: 1 Euro = U.S.-$ 0.8901 (based on the noon buying rate on Dec. 31, 2001) DaimlerChrysler - Figures for the 4th Quarter 2001 DaimlerChrysler-Group Q4/2001 Q4/2000 U.S.-$ (Euro) (Euro) Revenues, in millions 35,523(1) 39,909(1) 40,522 Operating Profit, in millions 4 5 1,212 Operating Profit (Loss), adjusted(2), in millions 502 564 (405) Net Income (Loss), in millions (35) (39) 1,427 Per Share (EPS) (0.04) (0.04) 1.42 Net Income (Loss), adjusted(2), in millions 253 284 (287) Per Share (EPS), adjusted(2) 0.25 0.28 (0.29) Employees (at year-end) 372,470 416,501 Operating Profit by Segments(2) Q4/2001 Q4/2000 in millions U.S.-$ (Euro) (Euro) Mercedes-Benz Passenger Cars & smart 582 654 787 Chrysler Group (320) (359) (1,406) Commercial Vehicles 39 44 274 Services 167 188 151 Other Activities 85 96 (109) Revenues by Segments Q4/2001 Q4/2000 in millions U.S.-$ (Euro) (Euro) Mercedes-Benz Passenger Cars & smart 11,050 12,414 11,865 Chrysler Group 15,161 17,033 16,146 Commercial Vehicles 6,763 7,598 8,390 Services 3,892 4,372 4,159 Other Activities 878 986 1,993 Unit Sales by Segments Q4/2001 Q4/2000 Mercedes-Benz Passenger Cars & smart 307,200 309,500 Chrysler Group 687,000 647,500 Commercial Vehicles 126,700 141,200 (1) A 2 % increase after adjusting for changes in the consolidated Group (2) excluding one-time effects Rate of exchange: 1 Euro = U.S.-$ 0.8901 (based on the noon buying rate on Dec. 31, 2001)