BMW faced major challenges in the third quarter due to lower sales, especially in China, and numerous recalls.
Sales revenues fell by almost 16 percent on an annual basis, to 32.4 billion euros, while profit fell by 84 percent, to 476 million euros, the company announced.
Business between July and September, as reported by the French agency AFP, negatively surprised analysts, who expected a drop in key business indicators, but not that much. The deteriorating results of the German manufacturer of premium vehicles are another indicator of the crisis in the European automotive sector.
The group, which is also known for the Rolls-Royce and Mini brands, delivered 13 percent fewer cars in the third quarter than a year earlier, with deliveries to dealers falling by as much as 30 percent in the key Chinese market.
As the company points out, the challenges were really big, the biggest one being weak demand in China. Additional problems were represented by 1.5 million vehicle recalls due to brake system failure.
BMW CEO Oliver Zipse remains optimistic despite poor quarterly results. “In the last quarter of this year, we are returning to higher incomes and we are following the set goal for the whole year”, emphasized Zipse.
Izvor: Seebiz.eu / AFP
Photo: Archive Autoblog.rs / BMW
Source: autoblog.rs
