The second-quarter sales results from OEMs continue to roll in, and another brand is showing a decline, this time it is BMW Motorrad. Usually one of the stronger brands, in terms of yearly and quarterly growth, the Germans are reporting a 3.1% sales decline for Q2 2018.
In total, BMW Motorrad sold 51,117 units worldwide, compared to the 52,753 units it sold during the same time period last year. In terms of money, this sales drop means a corresponding 5.8% decline in revenue (€658 million) and a 6..8% decline in profits before tax (€174 million).
This is also translating into a 1.6% sales decline (by unit volume) for the first half of the year, with only 86,975 motorcycles and scooters sold to customers. This has resulted in a 10.1% revenue drop (€1,182 million), and a profit decrease of 23.7% (€196 million).
Dragging down these numbers was mostly the European Union, with the European market dropping 7.9% in the first six months of 2018 (53,989 units). With Europe accounting for 60% of BMW’s motorcycle business, a negative move there drastically determines results overall.
Looking at the EU with a finer comb, we see that sales were down most notably in Germany (-18.8%), Italy (-5%), and France (-4%). However, some European markets showed modest gains, like Spain (+1.3%).
BMW Motorrad also made gains in the United States, which is a bit of a surprise considering how weak the motorcycle market has been here. As such, BMW Motorrad USA reported a 3.1% sales increase, with 7379 units sold to customers in the first six months of 2018.
These gains in the USA are surely the result of BMW’s new motorcycle models for 2018, specifically the BMW K1600 Grand America, and the revised middleweight GS models.
We know for sure that the BMW HP4 Race has not been helping BMW Motorrad’s bottom line in the United States, with our last tally of those sales coming in at a whopping 14 units over the past year.
Looking ahead, BMW Motorrad says it plans to reveal nine new models this year, likely at the INTERMOT and EICMA shows. Hopefully that will help the German brand turn around its lacking sales progress.
Source: BMW Group
