6 days agoBMW warns significant decline in profits this year
Periskopi(an hour ago)
(an hour ago)The headquartered BMW AG car manufacturer in Munich envisions a significant"drop in its pre-tax profit this year, mainly due to the weakening of demand in China and the impact of the Middle East crisis.
BMW, owner of brands BMW, MINI, Rolls-Royce and BMW Motorrad, cited worsening market conditions and the cost of restructuring measures in a warning of profits released Tuesday.
The announcement prompted its shares to drop by more than 7% in Europe on Wednesday morning.
According to producers, demand in China was further weakened, resulting in stronger competition throughout the region.
He also noted that war in Iran has had a greater impact than expected, keeping high energy costs and affecting consumer demand.
The company now expects vehicle shipments to drop slightly compared to last year, instead of remaining stable.
As a result, BMW now forecasts a significant decline in pre-tax profits from last year's 10.2 billion euros. /Periscope/
