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Order intake fell 15% at Daimler Truck's Mercedes-Benz business,
which focuses on Europe, while in its North American truck
business orders rose 30% in the quarter.
The shares were down 5.4% by 0848 GMT.
Daimler Truck disappointed with its order intake for Europe,
Warburg Research analyst Fabio Hoelscher said.
"Management appears to have become slightly more cautious than
before, based on lower than expected order intake in Q1", he
said.
"Guidance remains intact but it sounded like we are heading more
towards the lower than the higher end", he added.
Truckmakers are aiming to boost margins as demand slows
following the release of pent-up pandemic demand last year.
Price rises helped Volkswagen's truck-making business Traton
beat expectations in the first quarter, with price hikes at
Volvo also partially offsetting an almost 20% fall in order
intake.
"Depressive sentiment" in Germany was holding back Daimler Truck
in Europe, CEO Martin Daum said on an earnings call.
He said that this had an outsized impact on Daimler Truck since
its market share in the country was twice as high as for the
rest of continental Europe.
Oliver Wojahn of mwb research said Daum's comments were causing
"increasing doubts that a recovery of European markets,
especially the most important German market" would come.
"Investors might prefer to watch from the sidelines to see how
this unfolds," he said.
Daimler Truck reported core profit of 1.21 billion euros ($1.30
billion) for the quarter, beating the consensus estimate of 1.17
billion euros in a company poll.
Core profit at Daimler Truck's Mercedes-Benz business, which
focuses on Europe, fell 4% compared with the same period last
year. For its Trucks Asia business core profit fell 39%.
The North America business reported a 7% rise in core profit in
the quarter.
The maker of yellow Thomas Built school buses reiterated its
guidance for the year.
($1 = 0.9317 euros)
(Additional Reporting by Ilona Wissenbach, Editing by Miranda
Murray and Jane Merriman)
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