BMW plunges to Q2 loss
The global health crisis took its toll on BMW, which posted a second-quarter loss on Wednesday (August 5).
The German carmaker saw a $787 million loss before interest and taxes, as sales of luxury cars slumped.
That's down from $2.6 billion profit a year before.
The company's earnings before interest and tax was pushed to a negative 10.4% in the quarter, as BMW ramped up investments in expensive electric car technology.
Despite the loss, BMW said it was 'cautiously optimistic' about the rest of 2020 and still expected to make a profit for the full year.
Car sales have begun to recover in some markets, for instance, including in China.
But the company warned the rebound would not be enough to make up for the shortfall in sales because of the pandemic.
Shares fell 3% in early trade.
Honda also showed the global health crisis has hit automakers hard on Wednesday,
The Japanese carmaker forecast a near 70% drop in annual profit to a 10-year low.
Honda joins rivals Nissan and Mitsubishi in forecasting losses for the year.
