Tough Auto Market Dents BMW Earns, Sales In Q1

FRANKFURT, Germany (AP) – BMW AG says tough auto markets worldwide and investment in new technology dented its first-quarter earnings.

Net profit fell 3 percent to 1.312 billion euros. Revenues fell 4.1 percent to 17.55 billion euros.

The earnings figures follow a quarter in which the European car market shrank 10 percent due to the eurozone’s debt crisis and recession.

Still, the company’s drop in profit for the quarter was smaller than at German competitors Daimler AG and Volkswagen AG.

The company gave a cautious outlook Thursday, staying with its forecast for earnings “on a similar scale” to last year’s.

But CEO Norbert Reithofer said “we do not expect to receive a great deal of impetus from most European markets.”