Daimler finance arm expects record year after first-half gains

Daimler's finance arm said it was heading for another record year after signing nearly one million new leasing and finance contracts between January and June.

Daimler Financial Services, which handles customer financing and leasing for the German carmaker, expects a significant increase in new business this year and further growth in leasing and finance contracts, backed by expanding sales of Mercedes-Benz luxury cars, it said on Sunday.

New business at the division jumped 19 percent in the first six months to 34.7 billion euros ($40.77 billion), with earnings before interest and tax up 15 percent to 1.05 billion, the company said.

The portfolio of globally financed and leased vehicles increased 17 percent to 4.6 million vehicles with a total sales value of 134 billion euros, the Stuttgart-based company said.

The company more than doubled the number of customers worldwide using its mobility services, including Car2Go car sharing to 14.5 million people, it said.

(REUTERS)