Mercedes-Benz Group AG Annual General Meeting: Orderly transition in times of transformation

• Change of Chairman of the Supervisory Board: Dr. Martin Brudermüller succeeds Dr. Bernd Pischetsrieder
• New Supervisory Board member: Dr. Doris Höpke elected to Supervisory Board
• Dividend increased and share buyback policy announced: Dividend of €5.30 per share to be paid out and new share buyback policy initiated
• Shareholders approve: Actions of management and Supervisory Board ratified at end of Annual General Meeting

At the Mercedes-Benz Group AG (ticker symbol: MBG) Annual General Meeting for the financial year 2023, the company outlined its strategic progress as a maker of desirable cars and vans. Shareholders approved all of the items on the agenda of the Annual General Meeting.

Dr. Bernd Pischetsrieder stepped down after a decades-long career in the auto industry. He was for many years a member of the Board of Management of BMW AG and then Chairman of its Board of Management from 1993 to 2000. After moving to Volkswagen AG, he was also Chairman of the Board of Management there from 2002 to 2006. He has been a member of the Supervisory Board of Mercedes-Benz Group AG since 2014, advising the management board on key strategic steps which included the spin-off of Daimler Truck AG and the rebranding of Daimler AG into Mercedes-Benz Group AG.

Following his re-election to the Supervisory Board a year before the end of his term, Dr. Martin Brudermüller was elected to succeed Bernd Pischetsrieder as the Chairman of the Supervisory Board.

“Careers like Dr. Bernd Pischetsrieders are rare. He worked at the top of all the large German automotive companies and the Board of Management benefited from his wealth of experience and strategic vision. For me personally it was a privilege to have him at my side as an advisor. Thank you for everything you have done for Mercedes-Benz. Dr. Bernd Pischetsrieder is leaving his successor, Dr. Martin Brudermüller, a company that is very well positioned for the future. This is good news for the entire Mercedes-Benz team, for our customers and our investors.”

Ola Källenius, Chief Executive Officer of Mercedes-Benz Group AG

Since 2019, Mercedes-Benz has delivered structurally improved profitability, thanks to a sharpened focus on desirable cars and vans, combined with stringent cost management, resulting in Mercedes-Benz Group more than doubling shareholder returns, outperforming the DAX and STOXX 600.

“I am taking over as Chairman of the Supervisory Board at a time of fundamental change in the auto industry. I am an optimist by nature and I believe in the possibilities and abilities that lie within this company and its employees. What I bring to the table are enthusiasm and a willingness to listen; this is particularly important to me in regard to our workforce, as is steadfastness, even when things get difficult.“

Dr. Martin Brudermüller, Chairman of the Supervisory Board of Mercedes-Benz Group AG

Dr. Doris Höpke, former member of the Board of Management of Munich Re, was newly elected to the Supervisory Board.

In 2023 Mercedes-Benz further expanded its leading position as the most valuable luxury automotive brand, according to Interbrand’s “Best Global Brands ranking” from November 2023 as the company prepares to next-generation products and platforms like VAN.EA, MMA and MB.OS (Mercedes-Benz Operating System), to keep Mercedes-Benz at the forefront of the industry. This year Mercedes-Benz aims to get certification for its SAE Level 3 conditionally automated driving system at speeds of up to 95 kilometers an hour.

To keep shareholder returns attractive, the Board of Management and the Supervisory Board proposed a dividend of €5.30 per share for 2023 (2022: €5.20), which was approved by shareholders. Furthermore, a new share buyback policy, is being implemented. The Board of Management and the Supervisory Board initiated a share buyback programme in February 2023 already. As part of this programme, Mercedes-Benz Group AG intends to acquire own shares worth up to €4 billion (not including incidental costs) on the stock exchange and to then cancel them. Repurchases for this programme are well on track. A further €3 billion share buyback programme, announced in February 2024, is now scheduled to begin in May 2024 and then run in parallel with the buyback program announced in February 2023. Both buyback programs are expected to be completed in the first quarter of 2025. Approximately €2.3 billion worth of shares have already been repurchased. By the third quarter 2024, buybacks are expected to have reached €4 billion and to then reach a total volume of up to €7 billion in Q1 2025 before the Annual General Meeting that year.

"The efforts of the management and Supervisory Board are paying off: The company is well positioned. The product portfolio is strong and is becoming increasingly electric and digital. At the same time, the transformation of the company is being driven forward and the strategy is being implemented by a great team.”

Dr. Bernd Pischetsrieder, outgoing Chairman of the Supervisory board of Mercedes-Benz Group AG

Further information on Mercedes-Benz Group is available at:
media.mercedes-benz.com and group.mercedes-benz.com

Forward-looking statements:

This document contains forward-looking statements that reflect our current views about future events. The words “anticipate”, “assume”, “believe”, “estimate”, “expect”, “intend”, “may”, “can”, “could”, “plan”, “project”, “should” and similar expressions are used to identify forward-looking statements. These statements are subject to many risks and uncertainties, including an adverse development of global economic conditions, in particular a negative change in market conditions in our most important markets; a deterioration of our refinancing possibilities on the credit and financial markets; events of force majeure including natural disasters, pandemics, acts of terrorism, political unrest, armed conflicts, industrial accidents and their effects on our sales, purchasing, production or financial services activities; changes in currency exchange rates, customs and foreign trade provisions; changes in laws, regulations and government policies (or changes in their interpretation), particularly those relating to vehicle emissions, fuel economy and safety or to ESG reporting (environmental, social or governance topics); price increases for fuel, raw materials or energy; disruption of production due to shortages of materials or energy, labour strikes or supplier insolvencies; a shift in consumer preferences towards smaller, lower-margin vehicles; a limited demand for all-electric vehicles; a possible lack of acceptance of our products or services which limits our ability to achieve prices and adequately utilize our production capacities; a decline in resale prices of used vehicles; the effective implementation of cost-reduction and efficiency-optimization measures; the business outlook for companies in which we hold a significant equity interest; the successful implementation of strategic cooperations and joint ventures; the resolution of pending governmental investigations or of investigations requested by governments and the outcome of pending or threatened future legal proceedings; and other risks and uncertainties, some of which are described under the heading “Risk and Opportunity Report” in the current Annual Report or in this Interim Report. If any of these risks and uncertainties materializes or if the assumptions underlying any of our forward-looking statements prove to be incorrect, the actual results may be materially different from those we express or imply by such statements. We do not intend or assume any obligation to update these forward-looking statements since they are based solely on the circumstances at the date of publication.

Mercedes-Benz Group at a glance

Mercedes-Benz Group AG is one of the world's most successful automotive companies. With Mercedes-Benz AG, the Group is one of the leading global suppliers of high-end passenger cars and premium vans. Mercedes-Benz Mobility AG offers a product range from financing, leasing, vehicle subscription, rental and fleet management to insurance, innovative mobility services, digital payment solutions as well as products and services around charging. The company founders, Gottlieb Daimler and Carl Benz, made history by inventing the automobile in 1886. As a pioneer of automotive engineering, Mercedes-Benz sees shaping the future of mobility in a safe and sustainable way as both a motivation and obligation. The company's focus therefore remains on innovative and green technologies as well as on safe and superior vehicles that both captivate and inspire. Mercedes-Benz continues to invest systematically in the development of efficient powertrains and sets the course for an all-electric future. Mercedes-Benz is consistently implementing its strategy to transform itself toward a fully electric and software-driven future. The company's efforts are also focused on the intelligent connectivity of its vehicles, autonomous driving and new mobility concepts as Mercedes-Benz regards it as its aspiration and obligation to live up to its responsibility to society and the environment. Mercedes-Benz sells its vehicles and services in nearly every country of the world and has production facilities in Europe, North and Latin America, Asia and Africa. In addition to Mercedes-Benz, the world's most valuable luxury automotive brand (source: Interbrand study, 22 Nov. 2023), Mercedes-AMG, Mercedes-Maybach and Mercedes me as well as the brands of Mercedes-Benz Mobility: Mercedes-Benz Bank, Mercedes-Benz Financial Services and Athlon. The company is listed on the Frankfurt and Stuttgart stock exchanges (ticker symbol MBG). In 2023, the Group had a workforce of around 166,000 and sold around 2.5 million vehicles. Group revenues amounted to €153.2 billion and Group EBIT to €19.7 billion.

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Willem Spelten, +49 151 58624395, willem.spelten@mercedes-benz.com
Edward Taylor, +49 176 30941776, edward.taylor@mercedes-benz.com
Andrea Berg, andrea.a.berg@mercedes-benz.com