STUTTGART — Mercedes-Benz Group earnings rose by 28 percent in 2022 to 20.5 billion euros ($21.8 billion) on a rise in revenue of 12 percent.

Mercedes-Benz Cars’ adjusted return on sales was 14.6 percent, in line with the company’s own forecast of 13-15 percent and up from 13.1 percent in 2021, the automaker said in a statement on Friday.

Still, the carmaker forecast a lower adjusted return on sales for the cars division in 2023 of 12-14 percent and group earnings slightly below 2022, even with Mercedes-Benz Cars unit sales expected at the same level.

Incoming orders were sluggish in Europe, and sales in the Chinese market were tepid due to the COVID-19 restrictions in the fourth quarter, the company said in a statement, adding that demand in the United States was still strong.

Sales of top-end cars including the S-Class and EQS all-electric sedan saw particularly strong growth in 2022 and helped the carmaker overcome rising costs.

Global sales of Mercedes-Benz Cars were 2.05 million last year, including 149,227 sales of Mercedes and Smart full-electric vehicles.

The company’s fourth-quarter earnings were 5.4 billion euros.

Mercedes, which committed on Thursday to buy back up to 4 billion euros in shares by 2025, reported an adjusted free cash flow in its industrial business of 9.29 billion euros, down 8 percent from last year.

Mercedes said it will propose a dividend of 5.20 euros per share, up from 5 euros last year, amounting to a total payout of 5.6 billion euros.