BMW Group expects profitable growth in 2023 – through dynamic BEV ramp-up and high-end premium segment

Munich. With the prospect of profitable growth in a persistently challenging business environment, combined with a very dynamic increase in sales of electric vehicles, the BMW Group is looking ahead to financial year 2023, with tailwinds from last year’s success — based on highly attractive and technologically outstanding products. The company is taking this momentum into the home straight as it prepares for the launch of its next product generation, the NEUE KLASSE, in two years. The proven strengths of the present and the focus on future-oriented technologies will lay the foundation for the success of this future product generation.

The main growth drivers in 2023 will be fully-electric (BEV) vehicles and models from the high-end premium segment — such as the new BMW 7 Series, the updated BMW X7 and the Rolls-Royce model family. In this upper segment, the BMW Group expects growth in the mid-double-digit percentage range for the current financial year, with BEV models even likely to grow in the high double-digit percentage range. Overall, the BMW Group expects its deliveries to customers worldwide to increase slightly in the Automotive Segment in 2023.

At the same time, the BMW Group is striving for a high level of profitability in its core business and is targeting an EBIT margin of 8-10%in the Automotive Segment for the financial year. It should be noted that since the full consolidation of BMW Brilliance Automotive, the EBIT margin is no longer directly comparable with competitors.

“The BMW Group shows a high degree of resilience, especially under challenging conditions. The company anticipates developments in the economic environment at an early stage and takes action accordingly,” said Oliver Zipse, Chairman of the Board of Management of BMW AG, in Munich on Wednesday. “A high level of flexibility, combined with our operational performance, proved to be an effective combination for ensuring the success of the BMW Group, even in the face of headwinds and taking advantage of opportunities for profitable growth.”

“The BMW Group is proving that it can do both — manage the company’s biggest transformation, while maintaining its profitability. Our extremely strong product portfolio, in particular our impressive range of electrified vehicles and luxury-class models, makes both possible for us,” said Nicolas Peter, member of the Board of Management of BMW AG responsible for Finance. “We generate the expenditure for innovations from current cash flow. As before, our BMW approach remains focused on the profitable and sustainable future of the company.”

BEV offering strongest growth driver in 2023 – 15 percent BEV share

In the past year, the BMW Group more than doubled its BEV sales to over 215,000 units, underlining its role as a pioneer in e-mobility. The company once again delivered significantly more fully-electric vehicles to customers than its direct European competitors and also significantly more than the majority of Asian and US new entry players.

Source : IBM

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