The German car manufacturer BMW suffered a harsh adjustment in its net profit for the third quarter of the current year, announced by the brand, after generating a net result of 476 million euros, 83.8% less than the 2,931 million that won in the same period of 2023.
BMW had already warned since last September that the recall of 1.5 million of the brand’s cars due to a problem in the brake system, plus the worse evolution of its deliveries in China, would influence quarterly periods that have caused This Wednesday the value of the company’s share will plummet, with a decline of 4.5% (68.12 euros).
The Bavarian company’s shares have accumulated a sharp annual decline of 33.66% on the Stock Market and since January.
Oliver Zipse, CEO of BMW, has acknowledged in a statement the “current weakness in the Chinese market” and has pointed out that the braking system problem already affects more than 1.5 million vehicles, which in turn is causing delays. in the deliveries of at least 320,000 cars to customers.
In relation to the financial evolution of the firm, the group’s quarterly income fell by 15.3% between July and September, with 32,406 million euros, bringing the total for the nine months to 105,964 million euros, 5.8% less.
In the case of BMW’s net profit, it has decreased by almost 36% between January and September, with 6,132 million euros.
Sales also fall
One of the company’s few positive signs came from its financing area, which grew 2.5% in revenue in the quarter, with 9,331 million euros, and which rose 7% in the accumulated amount, with 28,598 million. .
This division, however, also reported a 12.4% drop in its profit before taxes in the first nine months, with 2,146 million euros.
Regarding the evolution of sales, BMW sold 540,881 vehicles in the world in the third quarter, with a decrease of 13%, and its accumulated deliveries in the year total 1,754 million of the BMW, Mini and Rolls-Royce brands, with a drop of 4.5%.
In that same accumulated period, BMW has produced 1.98 million cars in its factories, 0.3% more.
