The commercial vehicle manufacturer Daimler Truck is reviewing its forecast for the full year following a write-down in China.

The outlook for the full year is currently being reviewed, the DAX-listed company announced on Tuesday evening. The truck manufacturer earned less than expected in the second quarter, mainly due to a one-off effect in China. According to preliminary figures, the adjusted operating result (EBIT) amounted to 1.168 billion euros - a decrease of 18 percent compared to the same period last year. Analysts had expected an average of 1.259 billion euros.

Due to the continuing weak market development in China, Daimler Truck has completely written down the book value of the Chinese joint venture BFDA, the truck manufacturer also announced. This resulted in a non-cash burden on earnings of 120 million euros. This impacted the adjusted EBIT of the Trucks Asia segment and the industrial business. Without this one-off effect, the adjusted return on sales of the industrial business would have been 10.2 percent instead of 9.3 percent.

Strong results in the Trucks North America and Daimler Buses segments exceeded market expectations, while the European business under the Mercedes-Benz brand and Financial Services closed the quarter weaker than expected. The complete quarterly figures and the interim report are to be published on August 1.

Daimler Truck recently had to contend with weak demand in Europe and Asia. The European Mercedes-Benz brand felt the effects of customer restraint in Germany.

At the beginning of March, the global market leader for heavy trucks announced that it intended to keep sales and EBIT stable for the full year and achieve a margin of 9.0 to 10.5 percent.

(Report by Birgit Mittwollen and Ilona Wissenbach, edited by Ralf Bode. If you have any questions, please contact our editorial team at frankfurt.newsroom@thomsonreuters.com)