Bayerische Motoren Werke Ag · XETR:BMW
Bayerische Motoren Werke — BMW Group — Investor Presentation (December 2020)
52 slides from Bayerische Motoren Werke's investor presentation, December 2020
Slide 1: BMW Group Investor Presentation December 2020
BMW GROUP INVESTOR PRESENTATION December 2020 BMW Group Investor Presentation, December 2020 Page 1
Slide 2: Dynamic Strategy. An Ongoing Task.
DYNAMIC STRATEGY. AN ONGOING TASK. POSITION. WHAT do we stand for? DIRECTION. WHAT drives us? STRATEGIC APPROACH. WHERE do we want to go? COOPERATION HOW do we achieve our goals? BMW Group Investor Presentation, December 2020 Page 2
Slide 3: BMW Group Strategy
BMW GROUP STRATEGY. WHAT do we stand for? WHERE do we want to go? POSITION. STRATEGIC APPROACH. We take on business, environmental We focus on our customers and and societal challenges. fulfil their diverse needs worldwide. HOW do we achieve WHAT drives us? our goals? DIRECTION COOPERATION. We offer
Slide 4: Power of Choice. Our Customers Decide
POWER OF CHOICE. OUR CUSTOMERS DECIDE WHAT IS RIGHT FOR THEIR NEEDS. BMW X3. PETROL & DIESEL. BMW X3 xDRIVE 30e. PHEV. BMW iX3. BEV. VARIETY OF DRIVE TRAINS FOR THE BMW X3. BMW Group Investor Presentation, December 2020 Page 4
Slide 5: BMW i From Born Electric to One Architecture Serves All
BMW i FROM “BORN ELECTRIC”. TO “ONE ARCHITECTURE SERVES ALL”. 2013 FROM ONE ARCHITECTURE “BORN ELECTRIC”. 2021 ON. FITS ALL POWERTRAIN DERIVATIVES COMBUSTION ENGINE. PLUG-IN HYBRID. PURE ELECTRIC. AFTER NEW BEV CENTRIC ARCHITECTURE. 2025. BMW Group Investor Presentation, December 2020 Schematic illu
Slide 6: Our Clear Roadmap. At Least 25 Electrified Models by 2023
OUR CLEAR ROADMAP. AT LEAST 25 ELECTRIFIED MODELS BY 2023 INCLUDING AT LEAST 13 FULLY ELECTRIC CARS. FULLY ELECTRIC. BMW i3 94 Ah/33 kWh BMW i4* BMW iX1** BMW iX3 BMW 5er BEV** BMW i3 BMW i3, BMW i3s BMW i3, BMW i3s 60 Ah / 22 kWh MINI Electric BMW iX BMW 7er BEV** 94 Ah/33 kWh 120 Ah/42 kWh 2013 20
Slide 7: The First Ever BMW iX
THE FIRST EVER BMW iX. ELECTRIC PLATFORM. NEXT ERA, NEXT LEVEL i. MORE THAN 600 KM OF RANGE. CONSUMPTION BELOW 21 KWH/100KM (WLTP). ELECTRIC ALL-WHEEL DRIVE WITH TWO ELECTRICALLY MULTIPLE DESIGNS. DRIVEN AXLES AND MORE THAN 500 HP (370 KW). RECHARGING 120 KM IN JUST TEN MINUTES. HIGH-VOLTAGE BATTERY
Slide 8: E-Mobility Without Compromise. BMW Concept i4
E-MOBILITY WITHOUT COMPROMISE. BMW CONCEPT i4. BMW i4 (2021). UP TO 600 KM RANGE (BASED ON WLTP). UP TO 530 HP. 5TH GENERATION BMW eDRIVE WITHOUT ANY RARE EARTHS. BUILT IN MUNICH. BMW Group Investor Presentation, December 2020 Page 8
Slide 9: Leading Provider of Electrified Cars
LEADING PROVIDER OF ELECTRIFIED CARS. MORE THAN 146,000 UNITS SOLD IN 2019. ROADMAP. EUROPEAN NEW VEHICLE FLEET. 2030 GLOBAL SALES. 50% ELECTRIFIED. 2025 146,160 ELECTRIFIED CARS. 2019 33% ELECTRIFIED. 2021 142,386 2018 25% ELECTRIFIED. 103,103 2017 EUROPEAN SALES YTD-09/2020. 37% INCREASE OVER PREV
Slide 10: What Will Drive Acceptance and Profitability of E-Mobility
WHAT WILL DRIVE ACCEPTANCE AND PROFITABILITY OF E-MOBILITY GOING FORWARD. ACCEPTANCE PROFITABILITY OF EVs. Regulation favors OF EVs. Utilization of the pricing E-Mobility. potential of BEV/PHEVs. Optimization of the Charging Infrastructure. Diverse Product offering Improvement in Increase in volume/
Slide 11: Sustainability Fully Integrated and Leads to Top Ratings
SUSTAINABILITY IS FULLY INTEGRATED IN THE BMW GROUP AND LEADS TO TOP RATINGS. TOP RATINGS. DOW JONES MSCI ESG. CARBON FTSE4GOOD. ISS ESG. SUSTAINALYTICS. SUSTAINABILITY BMW’s A-rating DISCLOSURE Listed in the Corporate ESG Overall ESG Score: INDICES. remains unchanged PROJECT. FTSE4Good Index. Perfo
Slide 12: Substantial CO2 Reduction per Vehicle up to 2030
SUBSTANTIAL CO2 REDUCTION BY AT LEAST ONE THIRD PER VEHICLE ACROSS THE ENTIRE VALUE CHAIN UP TO 2030. SUPPLY CHAIN. PRODUCTION. USE PHASE. 2030 2030 2030 Avoid increase of ca. -80% substantial -40% CO2 +40% per vehicle and CO2 reduction per vehicle vs. 2019. reverse trend. per vehicle vs. 2019. -20%
Slide 13: Efficient Dynamics. Active Climate Protection Since 2007
EFFICIENT DYNAMICS. ACTIVE CLIMATE PROTECTION SINCE 2007. EFFICIENT DYNAMICS. SELECTED MILESTONES. 2007 2013 2019 AUTOMATIC START/ BMW i3: FULLY ELECTRIC 48 VOLT MILD STOP FUNCTION. SERIES-PRODUCTION CAR. HYBRID TECHNOLOGY. 2007 FUTURE. 2010 2016 2020 HIGH-PRECISION 3rd GENERATION AIR 5th GENERATION
Slide 14: CO2 Compliance. EU Targets for 2020 and 2021
CO2 COMPLIANCE. WE WILL REACH OUR EU TARGETS FOR 2020 AND 2021. CO2-EMISSIONS. New passenger cars [g CO2 / km]. 210 190 170 -17 % 2019 – 2020 150 2006 – 2008 130 ~ -20 % 110 90 BMW Group Investor Presentation, December 2020 Page 14
Slide 15: Outlook CO2 Fleet Target Achievement EU 2020
OUTLOOK CO2 FLEET TARGET ACHIEVEMENT EU 2020. BMW GROUP WILL ACHIEVE CO2 FLEET TARGETS IN THE EU IN 2020. CO2 g/km NEDC BMW Group Fleet EU (BMW, MINI, Rolls Royce, BMW M) ~127* Full compliance with Examples: regulatory requirements 48V rollout Aerodynamics Tire portfolio PHEVs (Plug-in hybrids
Slide 16: Total Value Chain of Battery Cell
BMW CONSIDERS THE TOTAL VALUE CHAIN OF BATTERY CELL. FROM CRADLE TO GRAVE. RAW MATERIALS CELL DESIGN AND BATTERY RECYCLING. AND REFINING. PRODUCTION. “2ND LIFE”. Optimized performance/ Environmental Cell/module/ Cell/module/pack design costs based on BMW Group and social standards. pack design. to f
Slide 17: System Integration. Mastering Complexity
SYSTEM INTEGRATION. MASTERING COMPLEXITY. DESIGN. MANAGING MILLIONS OF CUSTOMERS SAFETY. IN SALES, FINANCIAL SERVICES AND AFTERSALES. PRODUCING 11,000 CARS PER DAY. 4,800 DEALERS IN 160 COUNTRIES. 4,500 SUPPLIER LOCATIONS. IN COMPLIANCE THOUSANDS WITH REGULATION. OF PARTS PER VEHICLE. ELECTRIFIED AN
Slide 18: Remote Software Upgrade
REMOTE SOFTWARE UPGRADE. ONGOING SOFTWARE UPDATES OVER-THE-AIR*. BMW Maps. Android Auto. Connected Charging. New cloud-based navigation with Wireless Android integration accessible via the New connectivity services for more transparency significantly enhanced performance, Control Display, Navigation
Slide 19: Digital Solutions. Innovative and Effective Use Cases
DIGITAL SOLUTIONS. INNOVATIVE AND EFFECTIVE USE CASES. CAR. PRODUCTION. REMOTE SERVICE ARTIFICIAL UPGRADE. INTELLIGENCE APPLICATIONS. QUANTUM COMPUTING RESEARCH. PURCHASING. FINANCIAL MATERIALS SIMULATION. RETRACEABILITY SERVICES. PROCESS OPTIMIZATION. BY BLOCKCHAIN. 100% DIGITAL MACHINE LEARNING. P
Slide 20: YOUR NOW Joint Venture - The Mobility Powerhouse
YOUR NOW JOINT VENTURE - THE “MOBILITY POWERHOUSE” WITH A SIGNIFICANT END CUSTOMER BASE AND COVERAGE WORLDWIDE. GMV RR** in billions € n/a YTD 9M 2020 2.8 47.3 2.1 43.5 0.09 95.8 CUSTOMERS* in millions INTERACTIONS 12.6 124 7.9 134 0.52 279 in millions 16 153 6 >1,100 n/a >1,100 CITIES* BMW Group In
Slide 21: The Road to Autonomous Driving
THE ROAD TO AUTONOMOUS DRIVING. 200,000 1,800 23,000 m2 240,000,000 TB OF DATA. EXPERT DEVELOPERS. IS THE AREA. TEST KILOMETERS. ON THE ROAD WITH AUTONOMOUS DRIVING. THE BMW PERSONAL COPILOT TECHNOLOGY. INTELLIGENT DRIVING. INTELLIGENT PARKING. INTELLIGENT SAFETY. BMW Group Investor Presentation, De
Slide 22: Industry and Cross-Industry Cooperation and Partnerships
THE BMW GROUP USES INDUSTRY & CROSS-INDUSTRY COOPERATION & PARTNERSHIPS TO PREPARE ITSELF FOR FUTURE TECHNOLOGIES AND BUSINESS OPPORTUNITIES. ELECTRIFICATION AUTONOMOUS DRIVING DIGITAL & MOBILITY SERVICES AND CELL TECH YOUR NOW Joint Venture. Hydrogen & FuelCell BMW Group Investor Presentation, Dece
Slide 23: Fresh Line Up of the X Family
VERY ATTRACTIVE AND FRESH LINE UP OF THE X FAMILY SUPPORTS GROWTH AND PRODUCT MIX. BMW X1 BMW X2 BMW X3 BMW X4 BMW X5 BMW X6 BMW X7 BMW Group Investor Presentation, December 2020 Page 23
Slide 24: Premium Segment Share. Total Market 2020
PREMIUM SEGMENT SHARE. TOTAL MARKET 2020. 30% 27% 26% 25% 20% 15% 14% World 12% 12% 12% Average: 11% 10.8%. 10% 10% 10% 9% 9% 8% 7% 5% 5% 0% Germany United Spain South Italy USA South Canada Australia China France Russia Turkey Japan Kingdom Korea Africa BMW Group Investor Presentation, December 202
Slide 25: The World's Leading Premium Car Company
THE WORLD’S LEADING PREMIUM CAR COMPANY. BMW, ROLLS-ROYCE AND BMW MOTORRAD POST NEW ALL-TIME HIGHS* IN 2019. 2,185,793 175,162 347,474 5,100 +3.3% +5.8% -4.6% +21.6% * In connection with a review of its sales and related reporting practices, BMW Group reviewed prior period retail vehicle delivery da
Slide 26: Deliveries YTD-09/2020
BMW, ROLLS-ROYCE AND BMW MOTORRAD DELIVERIES* YTD-09/2020. DECREASE DUE TO CORONAVIRUS PANDEMIC. 1,427,392 129,599 208,144 2,651 -11.3% -5.4% -20.0% -28.5% * In connection with a review of its sales and related reporting practices, BMW Group reviewed prior period retail vehicle delivery data and det
Slide 27: BMW Group Automotive Deliveries by Region
BMW GROUP AUTOMOTIVE. SIGNIFICANT DECREASE IN DELIVERIES* YTD-09/2020 DUE TO CORONAVIRUS PANDEMIC. AMERICAS EUROPE MAINLAND CHINA REST OF WORLD -19.7% +6.4% 15% 40% 34% 11% -25.7% -10.7% 251,936 units 648,494 units 560,367 units 177,370 units * In connection with a review of its sales and related re
Slide 28: Major Markets Deliveries to Customers YTD-09/2020
BMW GROUP AUTOMOTIVE MAJOR MARKETS. DELIVERIES* TO CUSTOMERS YTD-09/2020. Deliveries of automobiles* YTD-09/2020 YTD-09/2019 Change in % Europe 648,494 807,780 -19.7 thereof Germany 203,442 238,222 -14.6 United Kingdom 118,652 177,443 -33.1 Americas 251,936 339,201 -25.7 thereof USA 200,286 265,694
Slide 29: Growth in China
GROWTH IN CHINA. CHINA TOTAL MARKET & 7 MODELS IN LOCAL PRODUCTION & PREMIUM SEGMENT. MORE TO COME 5 SERIES X1 Total Market Premium Segment +9% 3 SERIES +8% 1 SERIES SEDAN X3 X2 -7% -10% iX3 NEW MODEL YTD 09/2020 FY 2019 BMW Group Investor Presentation, December 2020 Page 29
Slide 30: BMW and MINI Retail Sales Development Mainland China
BMW AND MINI RETAIL SALES DEVELOPMENT. MAINLAND CHINA 2007 – 2019. Share of JV Sales (through BMW Brilliance Automotive). 59% 53% 48% 32% 41% 43% 51% 61% 61% 61% 65% 72% 74% [in m€] +14.0% 724.7 +7.0% +15.1% 635.8 594.4 +11.4% +16.7 % +1.7% 516.4 456.0 463.7 +19.7 % 538.6 390.7 384.1 455.6 +40.3 % 3
Slide 31: Global Production Network FY 2019
GLOBAL PRODUCTION NETWORK FY 2019. OFFERING HIGH FLEXIBILITY. Munich, Germany BMW 3, 4 series 221,077 4% 8% Dingolfing, Germany BMW 3, 4, 5, 6, 7, 8 series 284,907 7% Regensburg, Germany BMW 1, 2, 3, 4 series, X1, X2 255,804 2% 11% Leipzig, Germany BMW 1, 2 series, i3, i8 230,284 9% Rosslyn, South A
Slide 32: Automotive Segment EBIT Margin
AUTOMOTIVE SEGMENT. EBIT MARGIN. EBIT margin. [in %] 11.8 10.8 9.4 9.6 9.2 8.9 9.2 8.0 7.2 4.9 2010 2011 2012 2013* 2014 2015 2016 2017** 2018 2019 BMW Group Investor Presentation, December 2020 * 2013 figures have been adjusted in accordance with IAS 8. | ** Adjusted value for 2017 in accordance wi
Slide 33: BMW Motorrad. Wider Range Than Ever Before
BMW MOTORRAD. WIDER RANGE THAN EVER BEFORE. ADVENTURE TOUR SPORT ROADSTER HERITAGE URBAN MOBILITY BMW Group Investor Presentation, December 2020 Page 33
Slide 34: Financial Services at a Glance FY 2019
FINANCIAL SERVICES AT A GLANCE. FY 2019. BUSINESS LINES (PORTFOLIO SIZE). CONSUMER DEALER MULTIMAKE FINANCE FINANCE FINANCE Global operations in ~60 countries. ~5.5 million € 104.0 BN. € 21.2 BN. € 6.8 BN. serviced retail contracts. FLEET INSURANCE BANKING CHINA EU BANK BUSINESS APAC W/O CHINA 12% 1
Slide 35: Contribution of Financial Services to Group Profit
SIGNIFICANT CONTRIBUTION OF FINANCIAL SERVICES TO BMW GROUP PROFIT. Earnings before Tax (EBT) Financial Services. [in m€] *** 439 124 **** 122 ** 2,207 2,272 2,166 2,143 1,975 1,619 1,723 1,351 1,437 1,092 743 365 * 2007 -292 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 * FY-08 EBT include
Slide 36: Financial Services Credit Loss Ratio
BMW GROUP FINANCIAL SERVICES. DEVELOPMENT OF CREDIT LOSS RATIO. Credit loss ratio.* [in %] 0.84 0.67 0.59 0.49 0.48 0.50 0.46 0.46 0.41 0.37 0.32 0.34 0.25 0.26 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 * Definition Credit Loss Ratio : credit losses in relation to the ave
Slide 37: BMW Group FY 2019 Key Financials
BMW GROUP. FY 2019 KEY FINANCIALS. BMW Group FY 2019 FY 2018* Change in % Earnings before tax (EBT) – Group (in m€) 7,118 9,627 -26.1 EBT margin (in %) – Group 6.8 9.9 -3.1 % points Payout Ratio (in %) – Group 32.8 32.0 +0.8 % points Automotive Segment Sales (units) 2,538,367 2,483,292 +2.2 Earnings
Slide 38: BMW Group Q3 2020 Key Financials
BMW GROUP. Q3 2020 KEY FINANCIALS. BMW Group Q3 2020 Q3 2019 Change in % Earnings before tax – Group (in m€) 2,464 2,248 9.6 EBT margin (in %) – Group 9.4 8.4 1 % point Automotive Segment Sales (units) 675,592 621,981 8.6 Earnings before interest and tax (EBIT) (in m€) 1,477 1,515 -2.5 EBIT margin (
Slide 39: BMW Group YTD-09/2020 Key Financials
BMW GROUP. YTD-09/2020 KEY FINANCIALS. BMW Group YTD-9/2020 YTD-9/2019 Change in % Earnings before tax – Group (in m€) 2,962 5,063 -41.5 EBT margin (in %) – Group 4.3 6.8 -2,5 % points Automotive Segment Sales (units) 1,638,167 1,872,451 -12.5 Earnings before interest and tax (EBIT) (in m€) 152 2,67
Slide 40: R&D Expenditure and R&D Ratio
THE BMW GROUP IS COMMITTED TO PLAYING A KEY ROLE IN TOMORROW’S MOBILITY. R&D Expenditure.* R&D Ratio.** [in m€, HGB] [in %, HGB] 8,000 7.1 7,000 6.5 6.3 6.2 6.2 5.6 5.7 5.6 Long-term 6,000 5.4 5.5 4.9 5.1 target ratio: 4.8 5,000 4.6 5% – 5.5%. 4,000 6,890 3,000 6,108 6,419 5,169 5,164 4,792 4,566 2,
Slide 41: Capital Expenditure and Capex Ratio
TIGHT MANAGEMENT OF CAPITAL EXPENDITURE TO ACHIEVE TARGET RATIO. BMW Group Capital Expenditure.* Capex Ratio.** [in m€] [in %] 6.5 5.2 5.7 5.6 5.7 5.4 5.4 4.8 Long-term target 5.2 ratio: <5%. 4.7 4.2 4.0 4.0 3.8 5,650 4,967 5,029 4,601 4,688 4,151 3,826 3,731 2,777 2,933 2,980 2,720 2,383 2,312 2006
Slide 42: Free Cash Flow Automotive Segment
FREE CASH FLOW. AUTOMOTIVE SEGMENT. Free Cash Flow (Automotive).* [in m€] Long-term target: >3 billion. 5,792 5,404 4,471 4,459 3,809 3,481 3,166 3,003 2,713 2,567 2,277 1,456 1,156 197 2006 2007 2008 2009** 2010 2011** 2012 2013** 2014 2015 2016 2017 2018 2019 *Definition: Free cash flow correspond
Slide 43: Performance Program
PERFORMANCE PROGRAM. IMPORTANT DECISIONS ALREADY BEING IMPLEMENTED. CUSTOMER AND PROCESS AND SALES VEHICLE STRUCTURE COOPERATIONS Improvement in sales Complexity and product variety Optimization of indirect Project-based cooperations performance and optimization reduction while maintaining purchasin
Slide 44: Outlook 2020
OUTLOOK 2020. AUTOMOTIVE MOTORCYCLES FINANCIAL SERVICES BMW GROUP Significant decrease Moderate decrease Moderate decrease in Significant decrease in Profit in deliveries* in deliveries Return on Equity before tax EBIT-margin between 0 EBIT-margin between Slight decrease in workforce and 3% 3 and 5%
Slide 45: Diversified Funding Mix
DIVERSIFIED FUNDING MIX WITH A COMBINATION OF INDUSTRY AND BANK - TYPICAL FINANCING INSTRUMENTS. FUNDING INSTRUMENTS FINANCIAL DEBT AS OF FY 2019 Commercial paper Other <1yr 1yr 2yrs 3yrs 4yrs 5yrs 7yrs 10yrs+ 2.4% 0.6% CP (EMTN) PPs Bonds Liabilities from Banks loans customer deposits ABCP ABS 13.2
Slide 46: Focus on Liquidity and Funding
FOCUS ON LIQUIDITY AND FUNDING IN A CHALLENGING ENVIRONMENT. Solid level of BMW Group Gross Liquidity with EUR 21.8 bn.* Automotive Segment reporting Net Financial Assets of EUR 13.5 bn.* Enhanced strong focus on Working Capital management and prioritised CAPEX planning. Refinancing strategy
Slide 47: Corporate Finance Ensures Solvency at Any Time
CORPORATE FINANCE ENSURES SOLVENCY AT ANY TIME. MANAGING RISK ALONG THE ENTIRE VALUE CHAIN. RESEARCH & SUPPLY SALES & FINANCIAL PRODUCTION DEVELOPMENT CHAIN MARKETING SERVICES Currencies Financial Risk Liquidity Commodities Asset-Management Funding Interest Rates Sustainability & Governance Solvent
Slide 48: Global Markets Access
GLOBAL MARKETS ACCESS. TREASURY ORGANIZATION ENSURES 24 HOUR MARKET COVERAGE. 50 bn. EMTN Program 5 bn. EUR & 2 bn. French CP Program Financial and Panda Bond Stand Alone Bonds Asset Backed Securities Asset Backed Securities Asset Backed Securities BMW Bank Group of Treasury Center China Beijing Ins
Slide 49: BMW Group Investor Relations Contacts
BMW GROUP INVESTOR RELATIONS. CONTACTS. Veronika Rösler Patrick Neumayer Gerald Schmutz Head of Investor Relations Equity & Debt IR Equity & SRI IR +49-89-382-25387 +49-89-382-24272 +49-89-382-62393 veronika.roesler@bmw.de patrick.neumayer@bmw.de gerald.schmutz@bmw.de Tanja Seiler Andreas Stöffler M
Slide 50: Financial Calendar 2021
BMW GROUP INVESTOR RELATIONS. FINANCIAL CALENDAR 2021. 17.03.2021 Integrated Annual Report 2020 18.03.2021 Analyst and Investor Conference 2021 07.05.2021 Quarterly Statement to 31 March 2021 12.05.2021 Annual General Meeting 2021 03.08.2021 Quarterly Report to 30 June 2021 03.11.2021 Quarterly Stat
Slide 51: Virtual Conferences & Roadshows 2020
BMW GROUP INVESTOR RELATIONS. VIRTUAL CONFERENCES & ROADSHOWS 2020. 03.-04.12.2020 German Investment Seminar (Commerzbank) 03.-04.12.2020 German Corporate Conference (Kepler Cheuvreux, UniCredit) 24.03.2021 Global ESG Conference (J.P. Morgan) BMW Group Investor Presentation, December 2020 Page 51
Slide 52: Disclaimer
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 forwa