BMW Group (BMW) Q2 2024 (Media Q&A) earnings summary

Executive summary

• Group revenues for H1 2024 were €73,558 million, nearly flat year-over-year (-0.7%), with profit before tax down 14.2% to €8,023 million and net profit down 14.6% to €5,656 million.

• All-electric vehicle (BEV) deliveries surged 24.6% year-over-year, now representing 15.7% of total deliveries, while overall vehicle deliveries remained stable at 1,213,276 units (-0.1%).

• BEV share reached 17% after six months, showing gradual growth, but no explicit 20% target for the year.

• The Group EBT margin was 10.9% for H1 2024, exceeding the 10% strategic target, while the Automotive segment EBIT margin was 8.6%, within the 8–10% target range.

• Financial Services saw a 16.5% increase in new credit financing and leasing contracts, but profit before tax declined 13.1% due to normalization in the pre-owned vehicle market.

Financial highlights

• Group revenues: €73,558 million for H1 2024 (-0.7% year-over-year); Q2 revenues: €36,944 million (-0.7%).

• Profit before tax: €8,023 million for H1 2024 (-14.2%); Q2: €3,861 million (-8.6%).

• Net profit: €5,656 million for H1 2024 (-14.6%); Q2: €2,705 million (-8.6%).

• Earnings per share (common): €8.57 for H1 2024 (-11.6%); Q2: €4.15 (-5.5%).

• Automotive segment free cash flow: €2,289 million for H1 2024 (-27.1%).

Outlook and guidance

• Slight increase in vehicle deliveries expected for 2024, supported by new model launches and full availability of key models.

• Automotive EBIT margin forecasted between 8–10% for 2024; ROCE expected between 15–20%.

• Share of all-electric vehicles in deliveries projected to increase significantly versus 2023.

• Group profit before tax expected to decrease slightly due to high R&D and capital expenditure for electrification and digitalization.

• Management remains confident in achieving CO2 targets for this year and next, supported by BEV and PHEV sales.

• The company is optimistic about a market recovery in China in the third quarter, driven by new MINI models and growing BEV demand.