The Latest: BMW Motorrad News

BMW Group releases Q1 numbers

Saturday, May 5, 2018   (3 Comments)
Posted by: Wes Fleming #87301

According to BMW Group's Q1-2018 report, deliveries of motorcycles worldwide remained basically flat compared to Q1-2017. BMW Motorrad delivered 35,858 units in Q1-2018 compared to 35,636 in Q1-2017.

Production volume was down significantly, falling just over 24 percent from 54,466 to 41, 284. Revenue fell as well, dropping over 15 percent from €620,000,000 ($742,610,000) in Q1-2017 to €524,000,000 ($627,620,000) for Q1-2018.

Profit (before tax) in the motorcycle division fell even further, dropping nearly 38 percent from €125,000,000 ($149,720,000 to €78,000,000 ($93,420,000). BMW Group net profit rose 1.2 percent, however, from €2.274 billion ($2.72B) to &euro2.301 billion ($2.76B).

As was the case with their annual results for 2017, Q1-2018 saw further contraction of sales in the United States, with numbers falling another 6.7 percent. Germany also saw a slight dip of 1.2 percent. Sales were up in Spain (+19.6%), France (+7.2%) and Italy (5.9%), more or less in line with the overall rise of 5.3 percent in motorcycle registrations across Europe in the same time frame.

A note: Production volume is how many motorcycles BMW made. Deliveries is how many motorcycles BMW shipped to its dealers. Sales in how many people bought BMW motorcycles.

BMW Motorrad Quarterly Deliveries

  Q1-2018 Q1-2017 Pct. Change
Worldwide 35,858 35,636 + 0.6
Europe 21,477 22,991 - 6.6
Germany 4,887 5,824 - 16.1

 

BMW Motorrad Quarterly Sales

  Q1-2018 Q1-2017 Pct. Change
Italy 3,258 3,463 - 5.9
France 3,697 3,696 flat
Spain 2,247 2,215 + 1.4
USA 2,919 2,866 + 1.8

 

BMW attributed the drop in manufacturing to the large number of new models released in the first quarter of 2017, as well as the changes to the F 700 and 800 GS and GS Adventure motorcycles.

Between Q1-2017 and Q1-2018, the workforce of BMW Motorrad grew 1.8 percent from 3,506 employees to 3,568.

BMW Group expects the worldwide motorcycle market (250cc and above) to remain stable in 2018, and they expect the upward trends displayed in France, Italy and Spain to continue trending upwards. While they expect the markets in Germany and the UK to remain stable, BMW is predicting yet a further slide of the market in the United States.

Overall, BMW Group expects the motorcycle segment to have a slight rise in 2018 over the 164,153 motorcycles delivered in 2017, which is different from their optimistic outlook for 2018 stated in their 2017 Annual Report.

You can download and read BMW Group's Q1-2017 Report for yourself. (PDF reader required.)

Comments...

T. Redd says...
Posted Monday, May 14, 2018
Bob, I am with you. Riders are holding them longer which impacts new sales - especially in the USA. I am fine with my 1200 GS with 83K miles. Runs great and just no reason to upgrade. T
Bob Cole says...
Posted Sunday, May 13, 2018
I disagree that riders by age are in decline. I rather attribute the flat sales as proof that BMW bikes are well built & their owners are holding onto them longer than other brands. My K1300GT has 56k miles & is still going strong. While I am thinking about the new VVT models down the road, the current 1200RT models are too much of a drop in HP for me to consider. I would also contend that for many riders (such as myself) the 1200RT with 120HP is too low, the K1600 is just too big for my personal tastes. There's no "Goldilocks" model, i.e. "just right" between the two for a touring bike. This is where my hope the new VVT model will fill that niche. 144HP will indeed make my heart go pitter patter. Are you listening, BMW? ;)
Aaron K. Miller says...
Posted Monday, May 7, 2018
As shown in the report and well as HD; riders by age are in decline. Unless we offer more opportunity to educate and bring the enjoyment and excitement to ride; production and income will suffer. Additionally, I would submit that other manufacturers are producing better bikes with better technologies that are carving into the purchases of high-end motorcycles. Better to get ahead of the curve, rather than play catch-up. Look how well that worked for retail, i.e., Montgomery Ward, Sears, etc.

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