BMW blame rising cost of oil and materials, a weakening U.S economy and international financial downturn for the revision of its financial forecast.
Pre-tax profit for the second quarter of 2008 is 602 million euros down by 43 per cent, compared to the second quarter of 2007 when profit was 1,065 million euros.
BMW Group has revised its earnings forecast to take account of less favourable market conditions.
“We now expect that the pre-tax return on sales for the year to be at least 4%”, stated Norbert Reithofer, Chairman of the Board of Management of BMW AG.
“The current situation does not only represent a challenge. We see it primarily as an opportunity for the BMW Group. The measures we are implementing are aimed at a significantly more demanding environment than one to two years ago. Our company will become even more efficient and we will continue to invest in our future”, concluded Reithofer.
