BMW AG earnings jumped to beat expectations after higher vehicle prices and prioritizing money-spinning models like the $75,000 (¥8,560,000) X7 SUV helped the company offset output reductions due to the dearth of chips.
Group earnings before tax surged 50% to €2.9 billion (¥384 billion) in the third quarter, BMW said Wednesday, compared with an average analysts’ estimate of €2.5 billion. The chip supply woes that have hampered the entire industry will remain an issue beyond this year, it said.
"Business during the current financial year to date has benefited substantially from the favorable stable market situation and continued brisk demand,” Chief Financial Officer Nicolas Peter said in the statement.