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  • Mercedes is hanging its profitability on the success of the new 2021 S-Class, according to Reuters.
  • The company’s revenue slid 30% in Q2.
  • The S-Class stands out from its competitors because it’s the newest and currently most technologically advanced.
  • Visit Business Insider’s homepage for more stories.

Wednesday saw the official reveal of the all-new 2021 Mercedes-Benz S-Class — a car Mercedes is hanging a lot of hope on.

As the most executive sedan in the German automaker’s playbook and its most profitable model, the S-Class is important. With it, Reuters’ Emma Thomasson and Ilona Wissenbach report, Mercedes hopes to be back in the black in 2021 after the COVID-19 pandemic wrecked luxury car sales.

After a 30% decline in Q2 revenue and a $2 billion loss before interest and taxes, Reuters reports, Daimler CEO Ola Kaellenius is in cost-cutting mode. Kaellenius, who took over from Dieter Zetsche last year, noted

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Formula One champions Mercedes spent 333 million pounds ($442 million) in winning both titles last year but still reported a profit, according to the team’s published 2019 accounts.

Mercedes are on course to win both titles again this season for the seventh year in a row, with six-times world champion Lewis Hamilton 47 points clear of his closest rival Max Verstappen after seven races.

The results to end-December showed Mercedes made a post-tax profit of 14.7 million pounds, compared with a previous 12.6 million.

They won 15 races last year, including nine one-two finishes, and 32 podium places in all.

The accounts said Mercedes had enjoyed a 23.6% share of television coverage, generating a cumulative television advertising value equivalent (AVE) of $5.406 billion for commercial partners.

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