Frankfurt – German automaker after the reduction of expansion of BMW will increase the cost of higher growth, will reduce the operating profit of the third quarter to 27 percent, analysts expectations as well as growth and growth.
Investments for the development of electric and self-propelled vehicles, as well as the expansion of the X5, X7, Z4 and 8 series luxury models attracting revenues when rates of tariffs between China and the United States and Europe have already deteriorated.
In the fourth quarter, capital flows will continue to increase, BMW said, because of the launch of the new version of the BMW 3 series.
"Additional measures will be needed to support our profitability," said Financial Director Nicola Petre.
"Despite the difficult conditions, we will still be able to achieve three billion euros as a target of cash flows," he added.
"With today's challenges it will not be an easy task."
BMW's revenues were 1.75 billion euros below interest and taxes (EBIT) below 1.77 billion euros, according to Reuters's surveys, as higher raw prices, currency effects, and 679 million euro for the car.
BMW's shares, whose other brands are mini and roles, are down 1.9 percent.
Sales per car
BMW said that despite the slight increase in luxury car sales, the Operating Return on Sale of Automobiles grew by 4.4% in comparison to the same period last year with 8.6%, and its target rate was 8-10% .
BMW warned in September that its Pretax profits will fall this year against previous ex-stock exchanges and reduced its profit margin for automotive, intensive price competition, trade and currency management.
"Compared to 2017, additional cost of spending more than 1 billion euros for next year's mobility and a high three-million-million negative impact on the exchange rate and raw material prices have resulted in an expected profit per year," BMW said on Wednesday.
BMW had fewer problems than rivals Volkswagen and Daimler's cars that comply with the New World Harmonized Motor Vehicle Test Standards (WLTP), after the start of the rules, resulted in cutthroat competition, distortion and hard discourse.
Separately, BMW claims that it will buy specific raw materials such as cobalt, and then buy them battery cell suppliers to provide electric car batteries.
Developing a BMW technology consortium with Sweden's battery producer Norwolt and Belgian Umicore, developing a chain of battery cells in Europe, including development, production and ultimately processing.
($ 1 = 0.8747 euro)
Report by Edward Taylor