BMW outshines German rivals in H1 2024 sales

On Tuesday, BMW declared the most robust sales among Germany’s top three best carmakers and was the only brand to especially foster battery-electric deliveries, as Mercedes-Benz and Porsche struggled with low demand.

BMW has emerged as the leader among Germany’s top three premium carmakers in the first half of 2024, reporting the strongest sales and the most significant boost in battery-electric deliveries. In contrast, Mercedes-Benz and Porsche have faced challenges with low demand in the same period.

BMW’s Impressive Performance

BMW saw a 2.3% increase in total sales, reaching nearly 1.1 million vehicles. Notably, the company’s battery-electric vehicle (BEV) sales surged by 34%, totaling nearly 180,000 cars. This significant rise underscores BMW’s strong position in the transition to electric mobility.

Mercedes-Benz Struggles

Mercedes-Benz sold approximately 93,400 battery-electric cars, marking a 17% decline from the previous year. The company’s total sales fell by 6% to 960,000 vehicles.

Mercedes-Benz attributed the slowdown in electric vehicle ramp-up to key markets focusing on “healthy growth in a market environment characterised by heavy discounting.”

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Carmakers, including Mercedes-Benz, have been reducing electric vehicle prices, especially in China, to stimulate sales amid weakened demand and rising competition as manufacturers expand their electric vehicle portfolios.

Porsche’s Decline and Future Outlook

Porsche, which markets a lower volume of higher-priced vehicles, saw a 7% drop in sales, with total deliveries falling to 155,900 vehicles.

The decline was most pronounced in China, where sales plummeted by a third.

However, Porsche AG executives indicated that revenue is expected to improve in the second quarter due to the higher availability of top-end models.

This improvement is anticipated to align with margin forecasts of 15% to 17%. Analyst Tim Rokossa of Deutsche Bank expressed optimism about Porsche’s stock, citing these projections.

Audi’s Performance

Audi, Volkswagen’s premium brand, also faced a challenging first half, with sales declining by 8% to 833,000 vehicles. Battery-electric sales for Audi saw a modest increase of just 1.3%.

Future Projections

Despite the current struggles, both Porsche and Mercedes-Benz, as well as Audi, have expressed optimism that upcoming model launches will help recover lost ground and boost sales in the latter half of the year.

In summary, while BMW has excelled in sales and electric vehicle deliveries in the first half of 2024, Mercedes-Benz, Porsche, and Audi are banking on new model launches to regain momentum in an increasingly competitive market.