Azernews.Az

By Alimat Aliyeva

BMW’s profit in the first half of this year dropped by 29 percent compared to the same period last year, Azernews reports.

The company reported a net profit of 4 billion euros for the first six months. This decline was driven by factors such as increased customs duties, challenging market conditions in China, and a weak US dollar. Despite these setbacks, BMW remains in a relatively stable position compared to other major German automakers. For instance, Volkswagen and its subsidiary Audi saw their profits fall by more than a third in the same period, while Mercedes-Benz experienced a decline of over 50 percent.

BMW CEO Oliver Zipse described the half-year results as a testament to the resilience and sustainability of the company’s business model.

Sales figures further highlight BMW’s relative strength: unlike Mercedes and Audi, BMW’s vehicle sales remained steady, with 1.2 million cars sold in the first half of the year. However, total revenue still fell by 8 percent, reaching 67.7 billion euros.

The company estimates that customs duties alone will reduce the automotive division’s profitability by approximately 1.25 percent this year, translating into losses amounting to billions of euros.

BMW’s ability to maintain stable sales despite adverse economic conditions and trade tensions demonstrates the brand’s strong market appeal and diversified global footprint. As the automotive industry undergoes a major transformation with the rise of electric vehicles and digital technologies, BMW’s focus on innovation and sustainability could help it weather ongoing challenges better than many competitors.