'BMW profit drops in second quarter': Report

German luxury carmaker BMW reported that its profit attributable to shareholders for the second quarter dropped to €2.84 billion ($2.89 billion), or €4.30 per share, from €4.77 billion, or €7.23 per share, last year, according to DPA news agency.

Profit before tax for the quarter was €3.93 billion down from €5.98 billion in the previous year.

But revenues for the quarter grew to €34.77 billion from €28.58 billion last year, the report said.

Owing to the negative impact on production, the BMW Group now anticipates a slight year-on-year decline in automotive segment deliveries over the full 12-month period.

The BMW Group also expects higher expenses for raw materials and energy prices in the second half of the year, particularly due to reduced gas supplies, with a corresponding negative impact on earnings in the form of further rising costs for materials and manufacturing, the news agency adds.