BMW Lowers Guidance Amid Coronavirus Damage
March 18 2020 - 3:30AM
Dow Jones News
By Jessica Sier
BMW AG revised its guidance down on Wednesday as the spread of
coronavirus continues to damage global supply chains and consumer
demand.
The German car maker expects group profit before tax for the
year to come in significantly lower than in 2019, and its earnings
before interest and taxes margin will likely slump 4% to between 2%
and 4% for the full-year period.
Delivery volumes to all major markets will be lower in 2020,
particularly the automotive segment, the company said, adding that
uncertainty regarding the effects of the coronavirus makes it
difficult to accurately forecast its performance for 2020.
"Based on the latest developments, the BMW Group expects the
spread of coronavirus and the required containment measures to have
a negative impact on delivery volumes in all major markets over the
year 2020 as a whole," said the company in a statement.
The shift in guidance comes as most major car manufacturers and
their suppliers suspend operations in their plants across
Europe.
Write to Jessica Sier at jessica.sier@wsj.com
(END) Dow Jones Newswires
March 18, 2020 04:15 ET (08:15 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.
Bayerische Motoren Werke (TG:BMW)
Historical Stock Chart
From Apr 2024 to May 2024
Bayerische Motoren Werke (TG:BMW)
Historical Stock Chart
From May 2023 to May 2024