BMW profits drop

Manufacturing News, Source : TheManufacturer.com
Published : 04 May 2007 9:13
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German car manufacturer BMW sees profits fall as a result of new model launch.

Despite BMW’s position as the world’s leading seller of premium cars, profits have fallen in the first three months of the year as a result of high investment in its latest two product launches.

According to reports, BMW’s first quarter profits before tax fell by a whopping 34 per cent to £581.6 million (€852 million).

The sexy car manufacturer has said that it remains optimistic, but even in the face of tough competition from the likes of Mercedes and Audi, it believes that it will still meet predicted full-year targets.

Launch costs this month will continue to be high, however, costs should fall in the second half of the year.

 

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