BMW says third-quarter cash flow in auto segment was above expectations
BMW on Monday said rebounding markets helped the German carmaker to deliver higher-than-expected free cash flow in the automotive segment during the third quarter.
Free cash flow amounted to 3.07 billon euros ($3.61 billion) in the third quarter, up from 714 million euros ($840.16 million) in the year-earlier period, the carmaker said late on Monday.
"This was due in particular to a faster recovery in several markets, which led to higher sales growth," BMW said in a preliminary earnings release which was published ahead of the company's scheduled quarterly earnings on Nov. 4.
(Also read | BMW looking to cash in on people spending on luxury cars as Covid curbs holidays)
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An optimisation of working capital and a reduction of fixed costs and capital expenditure had helped to bolster earnings, but earnings forecasts for the individual segments and the multi-brand carmaking group remain unchanged.
"Economic disruption caused by the coronavirus pandemic continues to significantly impair forecasting and leads therefore to considerable uncertainty in providing an accurate outlook," BMW said.