Mercedes-Benz reported fourth-quarter results weighed down by unfavourable cost phasing and a full-year tariff charge, pulling cash outflows forward. The company reiterated that full-year results should land within its existing guidance range of 4% to 6% for return on sales.

The cash impact left Q4 broadly cash neutral, with cash flow after the quarter unchanged at approximately 5.6 billion euros. Kepler Cheuvreux analyst Michael Raab suggested this pull-forward could benefit 2026 free cash flow. The Mercedes-Benz Vans division proved more resilient.

Sequentially higher Q4 volumes were driven mainly by Europe, impacting the geographic mix. The Mercedes-Benz Cars division saw its total electrified vehicle share end at 15.3%, while the global xEV share reached 20.5%. Management's commentary indicates the quarter developed largely in line with expectations set in Q3 reporting.