BMW Sees Lower Car Segment Margin for 2022 Due to Ukraine War -- Update
16 Marzo 2022 - 4:16AM
Noticias Dow Jones
By Kim Richters
BMW AG said Wednesday that the profit margin for its car segment
would be lower this year due to the war in Ukraine, while group
earnings should rise significantly thanks to the consolidation of
its Chinese joint venture.
The German premium car maker said it expects an earnings before
interest and taxes margin for its automotive business of between 7%
and 9% in 2022, which compares with 10.3% in 2021. Without the
impact of the war, BMW would have aimed for 8% to 10%, it said.
The company said the situation in Eastern Europe is restricting
its production network and will continue to do so in the next
weeks. It is working on minimising the disruptions and continues to
source parts from Western Ukraine, it said.
Due to the production disruptions, BMW said it expects car
deliveries this year to be on the same level as 2021. Without the
negative effects, deliveries would have been expected slightly
higher.
"Regardless of this, the situation remains extremely dynamic,
making it difficult to provide accurate guidance for the financial
year 2022. Since it is not possible to assess further potential
longer-term implications of the war in Ukraine at this time, this
cannot be factored into our forecast," BMW said.
Meanwhile, the auto maker guides for free cash flow in its
automotive segment to reach at least 7 billion euros ($7.67
billion) this year, plus a positive one-time effect of about EUR5
billion from the previously announced consolidation of its Chinese
joint venture BMW Brilliance Automotive. Group earnings before
taxes should also grow significantly this year because of the
consolidation, it said.
Earlier this month, BMW released figures for 2021, with
after-tax profit jumping to EUR12.46 billion from EUR3.86 billion
in 2020, and revenue rising to EUR111.24 billion from EUR98.99
billion.
The auto maker was able to increase earnings and revnenue last
year despite the semiconductor shortage that affected vehicle
production. The company said Wednesday that it doesn't expect the
bottlenecks to improve until the second half of this year.
At 0906 GMT, BMW shares were trading 2.2% higher at
EUR77.01.
Write to Kim Richters at kim.richters@wsj.com
(END) Dow Jones Newswires
March 16, 2022 06:01 ET (10:01 GMT)
Copyright (c) 2022 Dow Jones & Company, Inc.
Bayerische Motoren Werke (TG:BMW)
Gráfica de Acción Histórica
De Mar 2024 a Abr 2024
Bayerische Motoren Werke (TG:BMW)
Gráfica de Acción Histórica
De Abr 2023 a Abr 2024