BMW GROUP INVESTOR PRESENTATION
May 2019 STRATEGY NUMBER ONE NEXT.
We are Number ONE. We inspire people on the move: We shape tomorrow’s individual premium mobility. Brands & Design Products Technologies Customer Experience & Services Digitalization Profitability
BMW Group Investor Presentation, May 2019 Page 2 ACES ARE A CORE ELEMENT OF STRATEGY NUMBER ONE > NEXT.
AUTONOMOUS CONNECTED
ELECTRIFIED SHARED / SERVICES
BMW Group Investor Presentation, May 2019 Page 3 BMW GROUP’S ELECTRIFICATION PATHWAY.
BMW iNEXT
Roll-out BMW i Performance Upgrade BMW i3 BMW i Vision Dynamics/ LCI BMW i3, new BMW i3s BMW i4 MINI Electric (PHEV) MINI BEV BMW iX3
Building-up expertise Technology innovation Project i
I. PIONEERING II. ELECTRIFICATION OF CORE PORTFOLIO III. SCALABILITY AND FLEXIBILITY
Battery Electric Vehicles (BEV) BMW Group Investor Presentation, May 2019 Plug-in Hybrid Vehicles (PHEV) Page 4 Life Cycle Impulse (LCI) OUR FUTURE IS ELECTRIC. AMBITIOUS TARGETS FOR SALES OF ELECTRIFIED VEHICLES.
500,000 BY THE END OF 2019 142,600 ON THE ROAD 2018 103,000 2017 62,000 2016 32,000 ELECTRIFIED 2015 17,800 YTD-03/2019 2014 VEHICLES 311 27,044 ELECTRIFIED 2013 VEHICLES SOLD
BMW Group Investor Presentation, May 2019 Electrified vehicles = Battery electric vehicles & Plug-in Hybrid vehicles Page 5 OUR CLEAR ROADMAP: AT LEAST 25 ELECTRIFIED MODELS BY 2025, INCLUDING AT LEAST 12 FULLY ELECTRIC CARS. Fully electric
BMW i Vision Dynamics/ BMW i4 BMW iX3**
BMW i3 BMW i3 BMW i3s BMW i3/i3s MINI BEV** BMW iNEXT 60 Ah / 22 kWh 94 Ah / 33 kWh 94 Ah / 33 kWh 120Ah / 42 kWh 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
BMW i8 BMW 530Le China* BMW 225xe BMW X1 xDrive25Le BMW i8 Roadster BMW X5xDrive 45e iPerformance iPerformance (China)
BMW X5 BMW 330e BMW 530e BMW 530Le BMW X3 xDrive30e xDrive40e iPerformance iPerformance iPerformance (China) iPerformance
Schematic illustration of future launch dates BMW 330e * Not in series production any more Plug-in hybrid BMW 740e MINI Cooper S E ** MINI Battery Electric Vehicle & BMW iX3 are Concept Cars iPerformance Countryman ALL4 BMW Group Investor Presentation, May 2019 Page 6 MINI ELECTRIC CONCEPT. MINI COUNTRYMAN PLUG-IN HYBRID.
BMW Group Investor Presentation, May 2019 Page 7 THE BMW CONCEPT iX3. ELECTRIC MOBILITY ARRIVES AT THE CORE OF BMW.
BMW Group Investor Presentation, May 2019 Page 8 THE BMW i VISION DYNAMICS WILL BE BUILT AS I4 IN MUNICH. A NEW FORM OF ELECTRIFYING DRIVING PLEASURE.
BMW Group Investor Presentation, May 2019 Page 9 THE BMW VISION iNEXT. FUTURE FOCUSED. iNEXT– THE BUILDING BLOCKS FOR THE FUTURE.
BMW Group Investor Presentation, May 2019 Page 10 BMW i. FROM “BORN ELECTRIC” TO “ONE PLATFORM SERVES ALL”. FLEXIBLE VEHICLE ARCHITECTURE TO ENSURE QUICK RESPONSE TO DEMAND.
2013 FROM “Born electric” 2021 ON One platform fits all powertrain derivatives…
Combustion engine Plug-In-Hybrid Pure electric
BMW Group Investor Presentation, May 2019 Schematic illustration Page 11 WHAT WILL DRIVE THE ACCEPTANCE AND THE PROFITABILITY OF E-MOBILITY GOING FORWARD…
ACCEPTANCE Regulation favors E-Mobility with PROFITABILITY OF OF EVS purchasing or tax incentives or non cash benefits EVS Utilization of the pricing + like parking, commuter lanes,.. + potential of BEV/PHEVs
Optimization of the Charging Infrastructure Increase in volume/sales due to BMW i /iPerformance Rollout with 25 Cost Reduction due to technological Improvement in Production electrified models by 2025 advancement, supplier consolidation and Smart and Efficient, Efficiency due to flexible manufacturing efficiency Increase of charging points architecture and less complexity
Driving Range Extension with new storage Decrease in Battery topologies and motor configurations. An improved Costs due to new Material Costs Reduction drive range would lead to higher usability and easier innovations and scalability due to higher supply and higher adoption. volume
Time Outlook Time Outlook
BMW Group Investor Presentation, May 2019 Page 12 THE DEVELOPMENT OF TODAY’S ASSISTED FUNCTIONS TO FULL AUTOMATION EQUALS A TECHNOLOGICAL QUANTUM LEAP.
PILOT FLEET 2021 SOP 2021 1 3 0 Already in series production -Basis for HAD & FAD- HIGHWAY URBAN L0 L1 L2 L3 L4 L5
HANDS ON HANDS ON HANDS TEMP. OFF HANDS OFF HANDS OFF HANDS OFF EYES ON EYES ON EYES TEMP. OFF EYES OFF MIND OFF DRIVER OFF
Longitudinal or Traffic control Awareness for No driver intervention traverse guide takeover No active assistance No driver system Takeover request No takeover request TASK OF TASK OF Longitudinal Longitudinal DRIVER THE CAR or traverse guide and traverse guide CONDITIONAL NO AUTOMATION DRIVE ASSISTANCE PARTIAL AUTOMATION HIGH AUTOMATION FULL AUTOMATION AUTOMATION Levels according to SAE (Society of Automotive Engineers) J3016
BMW Group Investor Presentation, May 2019 Page 13 THE NEW BMW 5 SERIES DRIVER ASSISTANCE SYSTEMS PROVIDE COMFORT AND SAFETY AT THE HIGHEST LEVEL.
Crossing traffic Lateral parking aid Distance information Top View Remote warning rear / front Night Vision Lane departure warning Lane keeping assistant with active side collision protection Active cruise control with Stop&Go function Rear collision prevention Crossroad Assist
Wrong Way Assist Lane change warning Speed Limit Assist 3D View Approach control warning with braking function Top View Steering and lane control assistant Parking assistant Speed limit and No Pass Active Park Distance Control information
BMW Selective Beam Panorama View Remote Control Parking Speed Limit Device
BMW Group Investor Presentation, May 2019 Page 14 AUTOMATED DRIVING AT THE BMW GROUP.
BMW Group Investor Presentation, May 2019 Page 15 AUTONOMOUS DRIVING REQUIRES TO COOPERATE WITH LEADING COMPANIES WITHIN THE TECH INDUSTRY.
– Sensors: camera, radar, LIDAR – Centimeter precision – Ultra low latency – Worldwide regulation – Object fusion – Real-time capable – Ultra high reliability – Unified homologation – Road model – Highly available and reliable – Ultra high data rates – Safe and secure development – Driving strategy/planning 5G AUTOMOTIVE AUTHORITIES AND AUTONOMOUS DRIVING OEM COOPERATION ASSOCIATION ASSOCIATIONS
OEMs
BMW Group Investor Presentation, May 2019 *The acquisition is still subject to approval by the antitrust authorities. Page 16 AUTONOMOUS DRIVING. BMW GROUP’S TRANSFORMATION INTO A TECH COMPANY.
NEW AUTONOMOUS DRIVING CAMPUS . Next steps towards fully- automated driving, from software development to road testing. . Agile teams, short distances and short decision-making processes. . Room for 1,800 employees.
NEW DRIVING SIMULATION CENTER . World’s most advanced facility of its kind for the simulation of real-world driving situations. . Construction completion in 2020.
BMW Group Investor Presentation, May 2019 Page 17 BMW GROUP AND DAIMLER AG ARE JOINING FORCES – OUR CURRENT OFFERINGS SUPPLEMENT EACH OTHER PERFECTLY TO ENSURE PERSONAL FREEDOM FOR OUR CUSTOMERS.
BMW Group Investor Presentation, May 2019 Page 18 A STRONG PRODUCT MOMENTUM AND THE MIX IMPROVEMENT WILL FOSTER GROWTH AND PROFITABILITY.
… BMW i8 Roadster BMW 8 Series BMW Z4 Rolls Royce Cullinan BMW 3 Series
MINI BEV* BMW X2 BMW X5 BMW X6** BMW X7 …
*MINI Battery Electric Vehicle Concept BMW Group Investor Presentation, May 2019 Page 19 **New generation launching soon MODEL OFFENSIVE. STRONG GROWTH IN THE X FAMILY.
BMW X2 BMW X3 BMW X4
BMW X5 BMW X6 BMW X7
BMWBMW Group Group Investor Investor Presentation,Presentation, MayFebruary May 2019 2019 2019 Page 20 THE BMW Z4. FREEDOM ON FOUR WHEELS.
BMW Group Investor Presentation, May 2019 Page 21 THE NEW BMW 3 SERIES SEDAN. SPORTY DRIVING PLEASURE, NEW DESIGN LANGUAGE, AND TRAILBLAZING DRIVER ASSISTANCE TECHNOLOGY.
BMW Group Investor Presentation, May 2019 Page 22 THE BMW X7. FUSION OF DRIVING PLEASURE AND LUXURY.
BMW Group Investor Presentation, May 2019 Page 23 BMW 8 SERIES COUPÉ & CONVERTIBLE. THE PINNACLE OF SPORTS PERFORMANCE AND EXCLUSIVITY.
BMW Group Investor Presentation, May 2019 Page 24 THE NEW ROLLS-ROYCE CULLINAN – EFFORTLESS EVERYWHERE. LUXURY, PERFORMANCE AND USABILITY NOT SEEN BEFORE IN THE SUV MARKET.
BMW Group Investor Presentation, May 2019 Page 25 GLOBAL ANNUAL PREMIUM SEGMENT SALES ARE EXPECTED TO GROW AT A CAGR OF 1.8% TO 11.8 MN UNITS BY 2031.
12,000 Rest of World, CAGR +3.2%
10,000 BRIKT*, CAGR +3.9%
8,000 China, CAGR +3.4% Region (‘000 units) 2019 2031 Chg. World 9,481,097 11,799,772 24% 6,000 Japan, CAGR -1.7% Rest of World 643,713 941,190 46% BRIKT* 474,959 755,093 59% North America, CAGR +1.0% 4,000 China (Mainland) 2,850,767 4,280,993 50% Japan 305,347 248,373 -19% North America 2,102,166 2,379,297 13% 2,000 Western Europe 3,104,145 3,194,826 3% Western Europe, CAGR +0.2%
0 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031
BMW Group Investor Presentation, May 2019 Source: Global Insight 01/2019 *BRIKT refers to Brazil, Russia, India, South Korea and Turkey Page 26 PREMIUM SEGMENT SHARE OF TOTAL MARKET 2019.
30%
27% 25% 25%
20%
15% 13% 12% 11% World Average: 10.0% 11% 11% 10% 10% 10% 10% 9% 7% 7% 6% 5%
0% Germany United Spain SouthKorea Italy USA SouthAfrica Canada Australia China France Russia Turkey Japan Kingdom
BMW Group Investor Presentation, May 2019 Source: Global Insight 01/2019 Page 27 BMW GROUP SALES AT LAST YEAR’S HIGH LEVEL THROUGH MARCH 2019.
605,333 +0.1% 519,307 +0.4% 84,820 -1.8% 1,206 +49.4% 38,606 +7.7%
BMW Group Investor Presentation, May 2019 Sales figures YTD-03/2019 Page 28 BMW GROUP AUTOMOTIVE: BALANCED SALES DISTRIBUTION AND YTD-03/2019 AT LAST YEAR‘S HIGH LEVEL WITH A TOTAL OF 605,333 VEHICLES (+0.1%).
Asia (w/o China) Americas Europe Mainland China & Rest of World*
+0.0% +10.1% -2.1%
-16.9%
17% 45% 28% 10%
103,814 units 270,676 units 168,434 units 62,409 units
Sales figures YTD-03/2019. Figures may not add to 100% due to rounding. BMW Group Investor Presentation, May 2019 *includes Rolls Royce sales figures Page 29 BMW GROUP AUTOMOTIVE MAJOR MARKETS. DELIVERIES TO CUSTOMERS YTD-03/2019.
Deliveries of automobiles YTD-03/2019 YTD-03/2018 Change in %
Europe 270,676 270,563 +0.0
thereof Germany 74,407 77,137 -3.5 Great Britain 62,245 61,198 1.7
Americas 103,814 106,067 -2.1 thereof USA 82,793 84,368 -1.9
Asia 216,841 212,356 2.1 Thereof China Mainland 168,434 152,942 10.1 thereof BBA retail sales 128,653 108,274 18.8
Rest of the World* 14,002 15,652 -10.5
Total 605,333 604,638 +0.1
*includes Rolls Royce sales figures
BMW Group Investor Presentation, May 2019 Sales figures YTD-03/2019 Page 30 BMW AND MINI RETAIL SALES DEVELOPMENT IN MAINLAND CHINA YTD-03/2019.
Share of JV Sales (through BMW Brilliance Automotive)
59% 53% 48% 32% 41% 43% 51% 61% 61% 61% 65% 72% 71% 76% +7.7%
+15.1% 640.0 in ‘000 units +11.4% 594.4 +1.7% Import JV Sales +16.7 % 516.4 +19.7 % 456.0 463.7
+40.3 % 390.7 384.1 459.6 326.4 +37.6 % 316.2 275.9 282.0 +10.1% +86.7 % 232.6 198.5 141.2 +37.5 % 169.0 168.4 +27.5 % 94.4 152.9 90.5 53.7 65.8 210.3 128.7 51.6 185.3 192.2 180.1 181.7 200.2 180.4 108.3 43.7 115.3 138.2 30.6 35.2 21.0 30.7 46.8 44.7 39.8 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 YTD-2018 YTD-2019
Sales figures YTD-03/2019. Figures may not add to 100% due to rounding. BMW Group Investor Presentation, May 2019 Page 31 GROWTH IN CHINA DESPITE MARKET NORMALIZATION. GROWTH OF DEALER NETWORK AND FURTHER LOCALIZATION.
6 MODELS IN LOCAL PRODUCTION & MORE TO COME
5 SERIES X1 BMW and MINI outlets in China (as of 31 December 2018)
3 SERIES 2 SERIES ACTIVE TOURER Outlet BMW MINI North 112 27 East 118 30 Southeast 100 19 1 SERIES SEDAN X3 West 149 32 South 146 26 Total 625 134 X2 START IN 2019 NEW MODEL
BMW Group Investor Presentation, May 2019 Page 32 AUTOMOBILE PRODUCTION BY PLANT IN 2018.
0%
Munich, Germany BMW 3, 4 series 157,799 3% 6% 8% Dingolfing, Germany BMW 3, 4, 5, 6, 7, 8 series 328,862 2% 13% Regensburg, Germany BMW 1, 2, 3, 4 series, X1, X2 319,592 Leipzig, Germany BMW 1, 2 series, i3, i8 244,248 9% Rosslyn, South Africa BMW 3 series, X3*** 50,224 Spartanburg, USA BMW X3, X4, X5, X6, X7 356,749 13% Dadong, China* BMW 5 series, X3 191,888 12% Tiexi, China* BMW 1, 2, 3 series , X1 299,939 Oxford, UK MINI Hatch, MINI Clubman 234,501 10% Graz, Austria (Magna Steyr)** BMW 5 series 64,431 8% 2% Born, Netherlands (VDL Nedcar)** MINI Hatch, MINI Cabrio, MINI, Countryman, BMW X1 211,660 14% Goodwood, UK Rolls-Royce 4,353 Assembly plants 77,288 Sum 2,541,534
*Joint venture BMW Brilliance Automotive Ltd., Shenyang ** Contract production BMW Group Investor Presentation, May 2019 Page 33 *** X3 production as of 04/2018 BMW MOTORRAD. WIDER RANGE THAN EVER BEFORE.
URBAN ADVENTURE TOUR SPORT ROADSTER HERITAGE MOBILITY
BMW Group Investor Presentation, May 2019 Page 34 BMW GROUP FINANCIAL SERVICES AT A GLANCE.
Global Presence as of 12/2018 Business Lines as of 12/2018
Global Operations in 60 Countries
Retail Finance Dealer Finance € 96.1 bn € 20.4 bn
~ 4.9 Million Serviced Retail Contracts
Fleet Business Multi Make Financing EU Bank 21% € 13.0 bn € 6.6 bn Americas 28%
18% Asia, Pacific EMEA 33% Insurance Banking 3.9 mn contracts € 10.5 bn
BMW Group Investor Presentation, May 2019 Page 35 SIGNIFICANT CONTRIBUTION OF FINANCIAL SERVICES TO BMW GROUP PROFIT.
Earnings before Tax (EBT) Financial Services [in mn €] 2,207 2,166 2,161 SF 19% 1,975 3) 1,790 1,723 4) 1,561 1,619
2) 1,214
743
365
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 1) -292
1) FY-08 EBT includes a negative effect of EUR 1,057 million from additional credit and residual value risk provisions. 2) FY-10 EBT includes a positive effect of EUR 122 million from better than expected off-lease business. BMW Group Investor Presentation, May 2019 3) FY-11 EBT includes a positive effect of EUR 439 million from adjustment of residual value and credit risk provisions and a better than expected off-lease business. Page 36 4) FY-12 EBT includes a positive effect of EUR 124 million from better than expected off-lease business. BMW GROUP FINANCIAL SERVICES. SOLID DEVELOPMENT OF CREDIT LOSS RATIO.
Credit loss ratio* [in %] 0.84
0.67
0.59
0.50 0.49 0.48 0.46 0.46 0.41 0.37 0.34 0.32 0.25
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
* Definition Credit Loss Ratio : credit losses in relation to the average serviced portfolio. Credit losses: all write offs, meaning the lost receivable including accumulated interest and other costs BMW Group Investor Presentation, May 2019 less utilized collateral. Income related to the recovery process after write off is also taken into consideration. Page 37 BMW GROUP FINANCIAL YEAR 2018. KEY FINANCIALS UNDERLINE BMW GROUP’S STRONG OPERATING PERFORMANCE.
FY-2018 FY-2017 FY-2017 BMW Group Change in % reported adjusted* reported Earnings before tax – Group (in m€) 9,815 10,675 10,655 -8.1 EBT margin (in %) – Group 10.1 10.9 10.8 -0.8 pp Payout Ratio (in %) – Group 32.0 30.3 30.3 +1.7 pp Automotive Segment Automotive sales (units) 2,490,664 2,463,526 2,463,526 +1.1 Earnings before interest and tax (EBIT) (in m€) 6,182 7,888 7,863 -21.6 EBIT margin (in %) 7.2 9.2 8.9 -2.0 pp Net financial assets (m€)* 19,488 19,787 19,787 -1.5 Motorcycles Segment Sales (units) 165,566 164,153 164,153 +0.01 Earnings before interest and tax (EBIT) (in m€) 175 207 207 -15.5 EBIT margin (in %) 8.1 9.1 9.1 -1.0 pp Financial Services Earnings before tax (EBT) (in m€) 2,161 2,207 2,207 -2.1 Return on Equity (in %) 14.8 18.1 18.1 -3.3 pp Penetration rate (in %) 50.0 46.8 46.8 +3.2 pp Credit loss ratio (in %) 0.25 0.34 0.34 -0.09 pp
BMW Group Investor Presentation, May 2019 *restated according to new IFRS-15-Standard Page 38 BMW GROUP Q1-2019. HIGH VOLATILITY AND COMPETITIVE MARKETS AS WELL AS INVESTMENTS IN FUTURE IMPACTED Q1-2019 RESULT.
Q1-2019 Q1-2018 Q1-2018 BMW Group Change in % reported adjusted* reported Earnings before tax – Group (in m€) 762 3,139 3,165 - EBT margin (in %) – Group 3.4 13.8 13.9 -10.5 pp Automotive Segment Automotive sales (units) 605,333 604,638 604,638 +0.1 Earnings before interest and tax (EBIT) (in m€) -310 1.881 1.881 - EBIT margin (in %) -1.6 9.7 9.7 -11.3 pp Motorcycles Segment Sales (units) 38,606 35,858 35,858 +7.7 Earnings before interest and tax (EBIT) (in m€) 89 77 77 +15.6 EBIT margin (in %) 15.2 14.7 14.7 +0.5 pp Financial Services Earnings before tax (EBT) (in m€) 627 553 561 +13.4
BMW Group Investor Presentation, May 2019 *restated according to new IFRS-16-Standard Page 39 AUTOMOTIVE SEGMENT EBIT MARGIN. CORE BUSINESS REMAINS ON TRACK FOR SUCCESS.
EBIT margin [in %]
11.8 10.8 9.6 9.4 9.2 8.9 9.2 8.0 7.2
2010 2011 2012 2013* 2014 2015 2016 2017** 2018
* 2013 figures have been adjusted in accordance with IAS 8 ** adjusted value for 2017 in accordance with IFRS 15 BMW Group Investor Presentation, May 2019 Page 40 FREE CASH FLOW IN AUTOMOTIVE SEGMENT REMAINS STRONG, DESPITE SIGNIFICANTLY HIGHER INVESTMENTS.
Free Cash Flow (Automotive)* [in m€]
5,792 5,404
4,471 4,459 3,809 3,481 3,166 3,003 FY-Target: 2,713 > 3 billion 2,277
1,456 1,156
197
2006 2007 2008 2009** 2010 2011** 2012 2013** 2014 2015 2016 2017 2018
* Definition: Free cash flow corresponds to the cash inflow from operating activities of the Automobiles segment less the cash outflow for investing activities of the Automobiles segment adjusted for net BMW Group Investor Presentation, May 2019 investment in marketable securities and term deposits. 2009 – 2015 as reported, 2007 & 2008 calculated according to above definition from reported figures. No cash flow reporting on segment level in 2006. Page 41 ** 2009, 2011, 2013 figures have been adjusted in accordance with IAS 8. THE BMW GROUP IS COMMITTED TO PLAYING A KEY ROLE IN TOMORROW’S MOBILITY AND IS INVESTING SUBSTANTIAL AMOUNTS IN NEW TECHNOLOGIES.
R&D Expenditure* R&D Ratio** [in m€, HGB] [in %, HGB]
8,000 7.1 7,000 6.3 6.2 6.5 5.7 6,890 6,000 5.6 Target ratio: 5.5 6,108 5.6 5.1 5%-5.5 % 5,000 5.4 4.9 4,792 4.8 4.6 5,164 3,952 5,169 4,000 4,566 3,208 3,144 2,864 2,773 3,000 2,448 3,373
2,000
1,000
0 2006 2007 2008 2009 2010 2011 2012 2013*** 2014 2015 2016 2017 2018
HGB: German Commercial Code * R&D Expenditure: Research and development expenses plus capitalized research and development cost minus amortization of capitalized development costs. BMW Group Investor Presentation, May 2019 ** R&D Ratio: R&D expenditure divided by Group revenues. Page 42 *** 2013 figures have been adjusted in accordance with IAS 8. TIGHT MANAGEMENT OF CAPITAL EXPENDITURE TO ACHIEVE TARGET RATIO.
BMW Group Capital Expenditure* Capex Ratio** [in m€] [in %] 6,000 10
9 4,967 5,029 5,000 4,601 4,688 8 4,151 7 4,000 3,826 3,731 6.5 6 2,933 2,980 2,777 5.7 4.8 Target ratio: 3,000 2,720 5.4 5 5.7 5.6 4.0 5.2 <5% 5.2 2,383 2,312 4 4.7 4.2 2,000 3.8 4.0 3
2 1,000
1
0 0 2006 2007 2008 2009 2010 2011 2012 2013*** 2014 2015 2016 2017 2018
* Capital Expenditure: additions to property, plant and equipment and other intangible assets (definition has been changed in 2016). BMW Group Investor Presentation, May 2019 ** Capital expenditure ratio: Capital expenditure divided by Group revenues. Page 43 *** 2013 figures have been adjusted in accordance with IAS 8. machine-2125169/
PERFORMANCE > NEXT. IMPORTANT DECISIONS ALREADY BEING IMPLEMENTED.
CUSTOMER VEHICLE PROCESS COOPERATIONS AND SALES AND STRUCTURE
Improvement in sales Complexity and product Optimization of indirect Project-based cooperations for performance and variety reduction while purchasing and material cost opening up new opportunities. optimization of customer maintaining customer reduction. interface based on data benefit. Joining forces with Daimler AG analytics. Cross-functional optimization with the mobility services Joint Accelerate the R&D process. of structures and processes. Ventures and on automated driving.
BMW Group Investor Presentation, May 2019 Page 44 OUTLOOK 2019. SETTING HIGH STANDARDS IN CHALLENGING ENVIRONMENT.
AUTOMOTIVE MOTORCYCLES FINANCIAL BMW SERVICES GROUP
Slight increase Solid increase Return on Equity Significant decrease in Group in deliveries. in deliveries. on par with previous year´s earnings before tax. level. EBIT-margin between 4.5 EBIT-margin between Size of workforce at year-end and 6.5% *. 8 and 10%. on par with previous year´s level.
*Without the effect of the provision for the ongoing antitrust proceedings amounting to approx. € 1.4 billion, the target range for the EBIT margin of 6-8% has not changed.
BMWBMW Group Group Investor Investor Presentation,Presentation, April May 2019 Page 45 BMW GROUP’S FINANCE STRATEGY COVERS THE ENTIRE AUTOMOTIVE VALUE CHAIN.
BMW GROUP CORPORATE FINANCE STRATEGY REFLECTS THE INDUSTRIAL NATURE OF THE BUSINESS AND IS FOCUSED ON THE ENTIRE AUTOMOTIVE VALUE CHAIN.
Automotive value chain
Research & Development Production Sales & Marketing Financial Services
BMW Group Investor Presentation, May 2019 Page 46 DIVERSIFIED FUNDING MIX WITH A COMBINATION OF INDUSTRY AND BANK TYPICAL FINANCING INSTRUMENTS. Funding Instruments Financial Debt as of FY 2018
Commercial Derivative Other 1% <1yr 1yr 2yrs 3yrs 4yrs 5yrs 7yrs 10yrs+ paper instruments 2% 2%
CP (EMTN) PPs Bonds Liabilities from Banks loans customer deposits ABCP ABS 14%
Customers deposits Liabilities to Bonds Fed BCD’s banks 13% 103.6 bn € Funds 51%
Industry-typical Bank-typical instruments instruments ABS 17%
BMW Group continues to target a well diversified debt structure
BMW Group Investor Presentation, May 2019 Page 47 BMW GROUP INVESTOR RELATIONS. CONTACTS.
Torsten Schüssler Mariam Kremer Patrick Neumayer Head of Investor Relations Debt & Equity IR Debt & Equity IR Americas
+49-89-382-25387 +49-89-382-96136 +1-201-307-4210 torsten.schuessler@bmw.de [email protected] [email protected]
Tanja Seiler Andreas Stöffler Equity & SRI IR Equity IR & Annual General Meeting (AGM)
+49-89-382-75161 +49-89-382-17944 [email protected] [email protected]
IR Contact BMW Group Investor Relations http://www.bmwgroup.com/ir Petuelring 130 80788 Munich [email protected]
BMW Group Investor Presentation, May 2019 Page 48 BMW GROUP INVESTOR RELATIONS. FINANCIAL CALENDAR 2019.
07.05.2019 Quarterly Report to 31 March 2019
16.05.2019 Annual General Meeting
01.08.2019 Quarterly Report to 30 June 2019
06.11.2019 Quarterly Report to 30 September 2019
18.03.2020 Annual Accounts Press Conference
19.03.2020 Analyst and Investor Conference
BMW Group Investor Presentation, May 2019 Page 49 BMW GROUP INVESTOR RELATIONS. ON THE ROAD 2019.
09.05.2019 J.P. Morgan Global China Summit Beijing 10.05.2019 IR Roadshow Singapore Singapore
23.05.2019 Berenberg Conference USA New York
05./06.06.2019 UniCredit Automotive Credit Conference London
05.06.2019 dbAccess Berlin Conference Berlin
11.06.2019 J.P. Morgan Annual European Automotive Conference London
12./13.06.2019 IR Roadshow Paris Paris
25.06.2019 BMW Capital Markets Day #NextGen (Focus on products and future mobility) Munich Beijing, 03./04.07.2019 BMW Capital Markets Day China Shenyang
BMW Group Investor Presentation, May 2019 Page 50 DISCLAIMER.
This document contains forward-looking statements that reflect BMW Group’s current views about future events. The words “anticipate,” “assume,” “believe,” “estimate,” “expect,” “intend,” “may,” ”can,” “could,” “plan,” “project,” “should” and similar expressions are used to identify forward-looking statements.
These statements are subject to many risks and uncertainties or may be affected by factors outside BMW Group’s control, including adverse developments in global economic conditions resulting in a decline in demand in BMW Group’s key markets, including China, North America and Europe; a deterioration in credit and financial markets; a shift in consumer preferences affecting demand for BMW Group’s products; changes in the prices of fuel or raw materials; disruption of production due to shortages of materials, labor strikes or supplier insolvencies; the effective implementation of BMW Group’s strategic goals and targets; changes in laws, regulations and government policies, particularly those relating to vehicle emissions, fuel economy and safety; and other risks and uncertainties, including those described under the heading “Report on Risks and Opportunities” in BMW Group’s most recent Annual Report.
If any of these risks and uncertainties materializes or if the assumptions underlying any of BMW Group’s forward-looking statements prove to be incorrect, actual results may be materially different from those BMW Group expresses or implies by such statements. BMW Group does not intend or assume any obligation to update these forward-looking statements.
BMW Group Investor Presentation, May 2019 Page 51