The premium carmaker expects its earning margin for a car in 2025, below.
Chief executive Oliver Zips said the group earnings were 1 billion euro provision “Rupe Serv Chich”, with more possible tariffs from the European Union and the United States.
Nevertheless, officials did not expect all the tariffs so far, including 25% tariffs on steel and aluminum and imports from BMW to Mexico to BMW, remaining in place for the whole year.
“If the situation changes, we also have a view,” added CFO Ver Ltter Mertel.
BMW’s shares were down 2.3% at 0803 GMT, with investors being depressed with lower than expected margins for the group’s OS toss segment.
The German carmaker is directly in the firing line of the rising trade war between the US and the EU, with US President Donald Trump threatening tariffs on Europe’s car import from April 2 and also called for a change in Europe.
In Germany, some 56% of BMW vehicles are exported outside the European Union, and cars are exported to its US plant over $ 10 billion in South Carolina, making the company the largest automotive exporter by value.
Reduction in profits
BMW’s net profit declined by more than a third in 2024, with weak sales in China and Germany as well as delivery hold-ups, corresponding to market expectations due to brake, dented performance problems.
The fourth quarter profits declined 41%, with Carmaker’s warning in January that more fixed costs from uninding inventory will hit its earnings in the last three months of 2024.
In addition to the group, in addition to its history, the payment ratio of 36.7%, which includes a dividend of 32.321 euros per share selected for 2024, is below 6.02 euros paid for the previous year.
The BMW has reduced its 2024 margin outlook from 8-10% to 6-7% in September as China’s sales were reduced and problems with the brake provided by the Continental, which affects 1.5 million cars.
($ 1 = 0.9217 euro)
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