Company Announcements

DGAP-Adhoc: Bayerische Motoren Werke Aktiengesellschaft: Preliminary Automotive Free Cash Flow for the fourth quarter and the full year 2020 above market expectations

Source: EQS

DGAP-Ad-hoc: Bayerische Motoren Werke Aktiengesellschaft / Key word(s): Quarter Results/Annual Results
Bayerische Motoren Werke Aktiengesellschaft: Preliminary Automotive Free Cash Flow for the fourth quarter and the full year 2020 above market expectations

27-Jan-2021 / 18:13 CET/CEST
Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.


The preliminary Automotive segment Free Cash Flow for the fourth quarter 2020 is around € 2.8 billion (Q4 2019: € 1.5 billion), leading to around € 3.4 billion (2019: € 2.6 billion) for the full year 2020 and thus exceeds current market expectations.

The better than expected Free Cash Flow development of the Automotive Segment in the fourth quarter 2020 is driven mainly by the following effects:

- Positive operating result in the Automotive segment

- Continued focused management of inventories

- Lower than expected consumption of warranty provisions as a result of lockdown measures

- Higher down payments received from BMW Group dealerships, most notably in China in line with the positive market development and in the UK relating to Brexit

The positive operating result of the Automotive segment in the fourth quarter is partially due to better than expected remarketing results in the pre-owned car market. This also has a positive effect in the Financial Services segment, leading to a Return on Equity for the segment which is only slightly down on prior year as opposed to a moderate decline as indicated in the current outlook.

Due to the faster recovery in many markets in the second half of 2020 and consequent cost management, the EBIT margin in the Automotive Segment for the full year 2020 is at the upper end of the 0 - 3 % corridor. The Group EBT remains within the outlook and in line with market expectations.

The definition of Free Cash Flow and Return on Equity can be found on pages 244 and 245 of the BMW Group Annual Report 2019. Further details will be published on 17 March 2021 in the Group Financial Statements 2020 of BMW AG.



Contact:
Veronika Rösler
Head of Investor Relations
Tel.: +49-89-382-25387

27-Jan-2021 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
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Language: English
Company: Bayerische Motoren Werke Aktiengesellschaft
Petuelring 130
80788 Munich
Germany
Phone: +49 (0)89 382 0
Internet: www.bmwgroup.com
ISIN: DE0005190003, DE0005190037
WKN: 519000 , 519003
Listed: Regulated Market in Frankfurt (Prime Standard), Munich; Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Stuttgart, Tradegate Exchange; Luxembourg Stock Exchange, SIX
EQS News ID: 1163848

 
End of Announcement DGAP News Service

1163848  27-Jan-2021 CET/CEST

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