Wuhan, China – May 25: (China) The attendees wear protective masks as they look around BMW IX3 during the year 2023 in central China Automotive on May 25, 2023 in Wuhan, Hobby County, China. More than 80 brands participated at the Central China International Auto 2023, which started on Thursday. According to local reports, more than 40 electric cars brands participated in the exhibition. (Getty Images)
Getty photos Getty Images News | Gety pictures
BMWNet profits fell by more than a third of 2024, which led to “continuous demand for the Chinese market.”
The net profit for this year decreased by 36.9 % annually to 7.68 billion euros (8.32 billion dollars). The print was in line with LSEG expectations, according to Reuters.
The stocks were trading by 2 % at 8:57 am London time on Friday.
The auto maker said he expects a car profit margin from about 5 % to 7 % in 2025, compared to 6.3 % achieved last year, but I noticed that the implementation of the definitions had a negative impact on profits in the coming year.
The company said in a statement, “The difficult competitive environment, the macroeconomic, trade and geopolitical economy can all have a significant impact on business performance,” the company said in a statement.
The company’s expectations represent all the customs tariffs imposed until March 12, including fees on US steel imports and aluminum, and drivers by 20 % on imports from China and 25 % on imports from Canada and Mexico.
BMW’s financial director said an additional tariff for US imports until that date will reduce the margin of car profits by one percentage point, according to Reuters, citing a copy of a letter that is scheduled to be delivered to investors later on Friday.
The automobile company said it expects a “difficult situation in China”, with the high tariffs and “continuous support measures for the supply chain” as an anti -this year.
The total BMW delivery operations amounted to about 2.45 million units last year, a slight decrease from 2.55 million from 2023. The company has greatly attributed the decrease in the delivery stations related to the wrong braking system provided by Continental, which prompted last year to Carmaker minimum Her expectations for the whole year.
On Friday, the CEO of BMW Olive Zipse “Squawk Box Europe” said that the customs tariff may have been a good tool decades ago, when global markets were not as it is today – but criticized its use in the modern world.
“Everything is related to everything (today), the world will quickly see that this may not be the smartest way to improve your competitiveness,” he said. “There are strong signs at the same time that there is a future for free trade. We will see within the next 12 to 18 months a shift in situations towards the definitions, I’m almost sure.”
https://image.cnbcfm.com/api/v1/image/107322735-1698216765783-gettyimages-1493214477-_64a5437.jpeg?v=1738573922&w=1920&h=1080
Source link