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Dec 31, 2024
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BMW Q4 2024 Earnings Report

BMW reported a significant decline in Q4 2024 earnings, with revenue and net profit falling sharply due to weaker sales and margin compression.

Key Takeaways

BMW's Q4 2024 earnings showed a steep decline in revenues and profits compared to the previous year. The company faced headwinds from the Chinese market, supply chain challenges, and increased costs. Despite these challenges, BMW remains committed to future growth with its NEUE KLASSE lineup and investments in electrification.

Q4 revenue fell to €36,416 million, down 15.2% year-over-year.

Net income dropped to €1,546 million, reflecting a 40.9% decline.

EPS decreased to €2.41 from €3.77 in Q4 2023.

EBIT declined by 57.3% to €1,882 million, impacted by higher costs and lower sales.

Total Revenue
€36.4B
Previous year: €38.9B
-6.3%
EPS
€2.42
Previous year: €3.41
-29.2%
Gross Profit Margin
16.1%
Previous year: 19.1%
-15.7%
Pre-tax Return on Sales
5.8%
Previous year: 8.6%
-32.6%
Post-tax Return on Sales
4.2%
Previous year: 6.1%
-31.1%
Gross Profit
€17.1B
Previous year: €7.12B
+140.3%
Cash and Equivalents
€19.3B
Free Cash Flow
€5.04B
Total Assets
€268B

BMW

BMW

BMW Revenue by Segment

BMW Revenue by Geographic Location

Forward Guidance

BMW expects a moderate recovery in sales for 2025, driven by new product launches and cost reductions, but macroeconomic risks and high interest rates remain concerns.

Positive Outlook

  • New BMW iX3 launch expected to drive sales in the NEUE KLASSE lineup.
  • Continued investment in electrification and future mobility solutions.
  • Operational efficiency improvements expected to boost margins.
  • European market remains a key area of growth.
  • Stable financial services segment contributing to overall stability.

Challenges Ahead

  • Weak demand in China continues to be a major challenge.
  • Higher tariffs impacting profitability in key markets.
  • Supply chain disruptions pose continued risks.
  • Elevated R&D and capital expenditures reducing near-term profitability.
  • Potential currency fluctuations adding uncertainty to financial results.

Revenue & Expenses

Visualization of income flow from segment revenue to net income