BMW shares are lower Tuesday as the German car maker reported a slowdown in sales of its BMW and Mini vehicles in May 2018 compared with the same month a year earlier. However, its sale figures also show that demand for electric vehicles continues to grow significantly.
By 1200 BST, BMW shares were 0.22% in the red at €85.19. The stock has generally been trending lower for the past month or so.
BMW sales details
In its latest sales update, BMW reported it had sold just over 1 million BMW and Mini vehicles in the year-to-end of May 2018. That’s an increase of 1.6% from the same period in 2017.
However, total sales in the month of May 2018, were 2.1% lower than in May 2017. Mini vehicle sales fell 4.4%, while the level of BMW vehicle sales was 1.8% lower in May 2018 than it was the same month a year earlier.
“To have sold over a million cars by this point in the year is a real milestone,” said Pieter Nota, BMW AG Management Board member responsible for Sales and Brand BMW.
“We’re particularly pleased to see that our X vehicles are more popular with our customers than ever, with record sales figures despite the lack of X3 availability in China,” Nota added.
The improvement in sales over the first five months of 2018 compared to the same period in 2017, was largely driven by a notable jump in demand in South Korea and Latin America. Sales across the US also grew strongly.
However, demand in Germany and the UK were clear exceptions in the year-to-date trend. And, while sales grew in the five-month period in China, for the month of May itself, sales slid 10.1% as consumers reacted to the news that the country would lower import tariffs on cars.
In addition to that detail, while the level of electric car sales remains low in comparison to other models, the rate of growth was impressive; a 41% increase in the five months to May 2018 from a year earlier and a 39.2% rise in May 2018 from May 2017.