German car maker Daimler AG issued its second profit warning in four months on Friday, blaming the diesel emissions troubles.
The Stuttgart-based luxury car manufacturer warned its investors that its earnings before interest and taxes (EBIT) in 2018 would be "significantly below" last year's level of 14.3 billion euros (16.5 billion U.S. dollars).
"The main factor is an increase in expected expenses in connection with ongoing governmental proceedings and measures in various regions with regard to Mercedes-Benz diesel vehicles," Daimler said in a statement.
The car maker is under investigation for its diesel emissions in Europe, and had to recall more than 770,000 diesel-powered cars across the continent this year.
In addition, the Mercedes-Benz parent group cited lower van sales and decreasing demand of Daimler buses as further causes for the profits downgrade.
Furthermore, it noticed that against the backdrop of a recent ruling by the European Court of Justice, there is a potential need to take action on certain vehicles still operating with the previously used refrigerant R134a.
The Stuttgart-based luxury car manufacturer warned its investors that its earnings before interest and taxes (EBIT) in 2018 would be "significantly below" last year's level of 14.3 billion euros (16.5 billion U.S. dollars).
"The main factor is an increase in expected expenses in connection with ongoing governmental proceedings and measures in various regions with regard to Mercedes-Benz diesel vehicles," Daimler said in a statement.
The car maker is under investigation for its diesel emissions in Europe, and had to recall more than 770,000 diesel-powered cars across the continent this year.
In addition, the Mercedes-Benz parent group cited lower van sales and decreasing demand of Daimler buses as further causes for the profits downgrade.
Furthermore, it noticed that against the backdrop of a recent ruling by the European Court of Justice, there is a potential need to take action on certain vehicles still operating with the previously used refrigerant R134a.
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