BMW and Volvo Cars both reported weaker third-quarter results compared with a year earlier. BMW’s net profit fell about 15% to €1.45 billion, while revenue declined nearly 6% to €30.5 billion. Volvo’s sales fell 16% to 141,650 vehicles.
BMW said it may accelerate further job cuts after strong participation in its latest voluntary departure program. CEO Milan Nedeljkovic did not specify how many additional positions could be affected, saying the company was prepared to make cuts where necessary. In July, BMW had been reported as planning to eliminate 8,000 jobs by the end of 2027.
The German automaker’s global deliveries declined 6.3% in the quarter, with deliveries in China down 24.8%. BMW cited intense competition and reduced demand in China, the world’s largest automotive market, as pressures on its business.
Volvo Cars reported that fully electric vehicle sales rose 27%, making up 34% of its total, while plug-in hybrid sales fell 30% and accounted for 20%. The company said it was adapting to weaker demand in China and prioritizing business stability over sales volume. It also said production of the EX60 is being gradually ramped up.
Volvo Cars, which is majority-owned by China’s Geely, announced last month that it would cut another 2,500 jobs after reporting results below expectations.
Sources: Folha Mercado.