Shares of BMW Group were losing around 2 percent in the German trading after the automajor reported Thursday weak profit, revenues and deliveries in its second quarter. Looking ahead for fiscal 2024, the company continues to expect Group profit before tax to decrease slightly due to higher manufacturing and fixed costs.
For fiscal 2024, the company continues to expect an EBIT margin of between 8 and 10 percent for the Automotive segment, compared to prior year\'s 9.8 percent.
BMW Group expects to see slight growth in customer deliveries worldwide in the full year. In China, the company expects the economic situation to begin to stabilize in the third quarter.
In its second quarter, net profit declined 8.6 percent to 2.71 billion euros from last year\'s 2.96 billion euros. Earnings per share were 4.15 euros, down 5.5 percent from 4.39 euros a year ago.
Group earnings before tax or EBT was 3.86 billion euros, down 8.6 percent from last year. The EBT margin came in at 10.5 percent, down from 11.3 percent last year.
Revenues edged down 0.7 percent to 36.94 billion euros from last year\'s 37.22 billion euros. Adjusted for currency effects, Group revenues remained largely unchanged.
Automotive Segment revenues were 1.4 percent higher from last year to 32.07 billion euros, with favourable volume and product mix effects arising from deliveries to the dealership organisation.
In total, the company delivered 618,743 units of BMW, MINI and Rolls-Royce brand vehicles in the second quarter, down 1.3 percent from last year\'s 626,726 vehicles.
The company noted that pricing measures implemented in the previous year compensated for some of the increased level of competition, which was particularly strong in China. Sales went up slightly in the USA and remained in line with the previous year in Europe.
Motorcycles segment deliveries grew 2.6 percent to 66,638 units in the quarter.
In Germany, BMW shares were trading at 84.16 euros, down 1.93 percent.
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