Daimler Financial Services has reported a 4% year-on-year increase in new business to €13.7bn (£10.8bn) in Q1 2016.

The company said its contract volume reached €115.7bn at the end of the first quarter and was thus 1% lower than at the end of 2015.

"Adjusted for exchange-rate effects, there was growth of contract volume of 1%. The business of brokering insurance continued to develop positively," the company wrote.

In the first quarter of 2016, the division achieved earnings of €432m, surpassing the prior-year figure of €409m.

Daimler Financial Services attributed the growth in earnings mainly to the increased contract volume in all regions compared to the first quarter of 2015.

The company anticipates slight growth in new business and further growth in contract volume in the year 2016, driven by the growth offensives of the automotive divisions.

In addition, the division is utilizing new market potential especially in Asia, and applying new and digital possibilities for customer contacts – in particular by systematically further developing online sales channels.

Daimler Financial Services said it continues to see good growth opportunities in the field of innovative mobility services.