Second quarter earnings down by 20%... but German carmaker BMW is sticking to its outlook.
It blamed the decline on currency headwinds, and the rising cost of manufacturing electric and hybrid vehicles.
Stricter carbon emissions legislation due in 2021 among factors forcing carmakers to develop lower-emission autos.
The Munich-based company said its earnings before interest and taxes fell to $2.4 billion.
That as investment in property, plant and equipment jumped almost 40%.
Car shipments were actually up a little over the period but profit margins sagged: down about two percentage points over a year earlier.
BMW far from alone in facing a battle.
German rival Daimler among those to lower its outlook for the year.
A global trade war and waning Chinese demand just two of the negatives for the sector right now.