(RTTNews) - German automajor BMW Group (BMW.L, BAMXF.PK, BAMXY.PK) reported Wednesday that its third-quarter net profit plunged 83.8 percent to 476 million euros from last year's 2.93 billion euros.
Earnings per share of common stock was 0.64 euro, down 84.8 percent 4.20 euro last year.
Group earnings before tax in the third quarter declined 79.4 percent to 838 million euros from 4.06 billion euros in the prior year. Group operating profit or EBIT was 1.70 billion euros, down 61 percent from the prior year.
In the quarter, Group research and development expenditure climbed 35.4 percent year-over-year to 2.47 billion euros.
BMW Group posted revenues of 32.41 billion euros, a decline of 15.7 percent from last year's 38.46 billion euros. Adjusted for currency translation effects, revenues fell 15.3 percent.
The premium manufacturer delivered 540,881 BMW, MINI and Rolls-Royce vehicle, down 13 percent from last year's 621,699 automobiles.
However, BMW Group BEV deliveries grew significantly by 10.1 percent compared to the previous year, and the share of sales of fully electric vehicles rose to 19.1 percent percent.
Further, BMW Group confirmed its adjusted fiscal 2024 guidance as of September 10.
Group earnings before taxes are still expected to decrease significantly. Vehicle deliveries in the Automotive Segment will be slightly lower than the previous year.
The EBIT margin for 2024 is forecast to be within the range of 6 percent to 7 percent.
Chairman of the Board of Management of BMW AG, Oliver Zipse, said, "After the extraordinary challenges in the third quarter, we are looking ahead: In the fourth quarter, we are back on track for stronger earnings in order to achieve our annual targets, despite planned high upfront expenditures. We are striking a balance between securing short-term earnings and long-term success..."
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