German carmaker BMW AG cut its net profit by 32% to €1.842bn in the second quarter from €2.705bn in the same period last year, according to reports.
Profit before tax and interest payments (EBIT) fell 31% to €2.661bn. The EBIT margin fell to 7.7 per cent from 10.5 per cent.
Revenue fell by 8.2% to €33.927bn.
The deterioration in financial performance was due in particular to unfavourable currency movements and lower sales in China.
The consensus forecast of analysts presented by the company itself provided for EBIT at the level of 2.64 billion euros, revenue – 36 billion euros.
Deliveries of BMW, Mini and Rolls-Royce cars last quarter rose 0.4% to 621,477,000. The share of electric cars in total sales rose to 17.9% from 17.4% a year earlier.
BMW motorbike sales fell 8% to 61,300 units.
Automotive segment EBIT in the second quarter fell more than 40% to €1.6bn. The automotive segment margin, the main indicator of profitability of BMW’s operations, dropped to 5.4 per cent from 8.4 per cent a year earlier. Experts had forecast 5.5 per cent.
The automaker still expects EBIT margins in the automotive segment to be in the range of 5-7% this year (compared to 6.3% in 2024). Meanwhile, pre-tax profit is expected to remain around last year’s level (€10.97bn).
BMW expects car and motorbike deliveries to grow modestly this year.
BMW share prices are down 0.2% during trading on Thursday. Since the beginning of this year, the capitalisation of the company increased by 6.7% (to 50.1 billion euros), while the stock index DAX added almost 23%.