Mexican Media Brands
BMW Earnings Slip 3%
BMW AG's net profit fell to €1.3 billion in the January-March period of 2013 from €1.4 billion a year earlier.
#economics
Share
BMW AG's net profit fell to €1.3 billion in the January-March period of 2013 from €1.4 billion a year earlier.
The company attributes the quarterly decline to heavy spending on new technologies, higher labor costs and weak European vehicle demand.
Revenue shrank 4% to €17.5 billion in the first quarter despite a 5% increase in worldwide sales of BMW, Mini and Rolls-Royce vehicles to 448,200 units. BMW brand volume rose 7% to a first-quarter record of 381,400 vehicles.
Group earnings before interest and taxes slid 5% to €2 billion. Automotive EBIT dropped 16% to €1.6 billion, for a 9.9% return on sales compared with 11.6% in the first quarter of 2012.
BMW's motorcycle and financial services units posted gains in pretax income of 35% to €50 billion and 4% to a record €449 million, respectively.
The company confirms its previous full-year outlook for a year-on-year advance in vehicle sales to a new record-high. BMW still expects group pretax profit to roughly match last year's €7.8 billion.
RELATED CONTENT
-
On Lincoln-Shinola, Euro EV Sales, Engineered Carbon, and more
On a Lincoln-Shinola concept, Euro EV sales, engineered carbon for fuel cells, a thermal sensor for ADAS, battery analytics, and measuring vehicle performance in use with big data
-
GM, Ford Evaluate Possible Economic Slump
General Motors and Ford say they have bolstered their cash reserves in case the trade war between the U.S. and China triggers a global recession.
-
On Quantum Navigation, EVs, Auto Industry Sales and more
Sandia’s quantum navi, three things about EVs, transporting iron ore in an EV during the winter, going underwater in an EV (OK, it is a sub), state of the UK auto industry (sad), why the Big Three likes Big Vehicles, and the future of logistics.