Auto giants BMW and Stellantis have seen their Q1 revenues go waaaay up. German marque BMW saw revenues in Q1 go up by a hefty 17.4% to €31.1b. Buoyed by strong pricing, its revenue and profits came out ahead, despite some troubles — the chip shortage. However, BMW Group (all brands) automotive deliveries in the first quarter were down 6.2% on last year at 596,907 vehicles. So then, how's the uptick in revenues possible?
Because of the chip shortage, automakers have had to sell higher-margin vehicles and reduce the supply of new vehicles. This has kept prices high, helping to compensate for lost unit sales.
Elsewhere, Stellantis said its sales rose in the first quarter, supported by strong pricing, a strong vehicle mix, and favorable exchange-rate effects. Net revenue increased 12% to €41.5b. It had strong North American revenues, up 30% to nearly €21b, which helped offset lower revenues in Europe.
Why it matters
Auto brands are posting up profits despite chip shortages. Perhaps this is why EV auto company Atlis Motor Vehicles has unveiled its plans to IPO, despite US stock market listings having stalled.
