Colleagues, ladies and gentlemen, good morning, and welcome to our conference call of BMW Group second quarter. We have here with us Oliver Zipse, Chairman of the Board of Management of BMW AG, and for the first time, I'm very happy to welcome our new Member of the Board, Finance, Walter Mertl. He took over the office from Nicolas Peter in May. He's been with BMW Group since 1998, holding various Executive functions in Finance and Sales in Germany and Great Britain. Walter, a cordial welcome to you. Herr Zipse and Herr Mertl will begin by giving you an overview of business development, and after that, as always, you'll have the opportunity to ask your questions. I give the floor to Walter Mertl to begin with. Walter, you have the floor. Thank you, ladies and gentlemen. Good morning. I'm very happy to be able to present the BMW Group's quarter results to you for the first time today. In the second quarter of 2023, the BMW Group delivered a solid performance under difficult conditions. The group EBT margin came in at 11.3% for the quarter and 12.6% for the first half year. In the automotive segment, we achieved an EBIT margin of 9.2% in the quarter and 10.6% for the half year to the end of June. We expect the positive business trend to continue in the second half of the year, particularly due to the ongoing strength of the order book and an expected improvement in availability of our vehicles. As a result, we communicated an increase in our delivery forecast for the 2023 financial year as part of an ad hoc announcement the day before yesterday. In addition, we raised the guidance for the EBIT margin and return on capital employed in the automotive segment, as well as the outlook for return on equity in the financial services segment. I'd now like to take you through our financial figures for the second quarter in more detail. To do so, I've brought along a few slides with important key figures to explain the main developments and relevant influencing factors. Let's start with the group. Group earnings before tax for the quarter totaled just under EUR 4.2 billion. The EBT margin came in at 11.3% in the second quarter and 12.6% for the first six months. This is clearly above our strategic target of 10%. Group pre-tax earnings for the 1st half year decreased by just under EUR 6.8 billion. However, we must not forget that we had a one-off profit of EUR 7.7 billion last year due to the fair market valuation of BBA equity interests. If we factor out this effect and look at the underlying operating results instead, group earnings were significantly higher year-on-year. Now, I'd like to look at the individual segments, starting with the automotive segment. Here you can see sales, revenue, and earnings development in the automotive segment over the past six quarters. In Q2 2023, vehicle sales were up 11.3% on the prior-year quarter at just over 626,000 units. Compared to the 1st quarter, sales rose by 6.4%. All regions contributed, we were able to achieve a good balance. Deliveries through the end of June were 4.7% higher year-on-year. The order bank for our vehicles remains high. As a result of our strong market position, we expect a positive trend in deliveries in the second half of the year as well. We therefore now forecast a solid increase in deliveries for 2023. Our BEVs, the fully electric vehicles, contributed to this development, we see continued strong momentum. In Q2, we sold more than 88,000 all-electric vehicles. On top of the figure of nearly 64,000 units sold in the first quarter, this adds up to around 153,000 BEVs delivered in the first six months. That is more than double our BEV sales for the same period of last year. They represent 12.6% of total sales. The BEV share of overall sales already hit 14% in the second quarter and will reach 15% for the full year. The growth in sales and strong product mix increased revenues in the automotive segment, which after six months, were up by 10.9% on the previous year. Roughly half of this increase resulted from the full consolidation of BBA revenues in 2023. In the previous year, the revenues of our BBA joint venture were only included with the full consolidation from 11th February onwards. In the box on the bottom right, you can see how the operating result has developed in the automotive segment. In the second quarter, EBIT totaled around EUR 2.9 billion, with an EBIT margin at 9.2%. Without depreciation of BBA assets from the purchase price allocation, the margin was 10.2%. For the year to the end of June, the EBIT margin is 10.6% and 11.7% without the depreciation of BBA assets from the purchase price allocation. I'd like to use the next slide to explain the operating results in the automotive segment in more detail. The bridge starts on the left with Q2 of last year, with an EBIT of EUR 2.5 billion and an EBIT margin of 8.2%. From Q2 2022 to Q2 2023, we see a headwind of around EUR 300 million from the net balance of currency and raw material positions. This is due mainly to currency translation effects from the development of the U.S. dollar, the Chinese renminbi, and the Japanese yen. These are mostly conversion effects. Raw material prices remain at the same high level as last year. Together, volumes, the model mix, and strong pricing generated a tailwind of EUR 500 million. The mix is stable overall, with solid volumes in the upper segment. We're seeing positive impulses from the X5 and the X1, among others. While we're seeing the first signs of normalization on the market, we remain all the more focused on price discipline. Expenses for research and development rose year-over-year to around EUR 300 million, mainly in connection with investments in electrification, digitalization, and automated driving. The BMW Group's R&D expenditure is determined by adjusting R&D expenses for capitalization and scheduled depreciation. This forms the basis for the calculation of the R&D ratio according to the German Commercial Code. The ratio for the year to the end of June came in at 4.6%. For the full year, we expect the ratio to be within our long-term range of 4%-5%. Sales and administrative costs increased by around EUR 100 million due to high expenses for personnel and digitalization projects, above all, among other things. For the item, other cost changes, we see burdens from higher material costs on the one hand, and additionally, we reassess warranty provisions in the second quarter and updated some parameters. This adjustment resulted in higher warranty costs in Q2. On the other hand, the development of license, licensing revenues had a positive effect in Q2. The full consolidation of BBA also resulted in a positive reconciliation item. The negative impact of BBA consolidation effects was EUR 800 million higher in Q2 2022 than in Q2 2023. Think this included both depreciation on inventory from the purchase price allocation and the elimination of interim profits in connection with intragroup deliveries. Free cash flow in the automotive segment totaled EUR 1.2 billion in the second quarter. The effect from working capital, totaling EUR 2.4 billion, largely resulted from the increase in inventory. Global demand for our vehicles and our order bank remain high. We ensure the availability of the right products and thus fulfill the wishes of our customers by reducing waiting times. In doing so, we will maintain our profitable growth in the second half of the year. The delta from capital expenditure and depreciation improved free cash flow in the second quarter by EUR 500 million. We continue to invest in the mobility of the future with our focus on electric mobility, digitalization, and automated driving. The CapEx ratio came in at 5.1% in Q2, and 4.4% for the first half year. We expect the ratio for the full year to be around 6%. Allocation to provisions increased free cash flow by around EUR 500 million in Q2. Through the first six months of the year, free cash flow in the automotive segment totaled EUR 3.1 billion. For the full year 2023, we expect free cash flow of at least EUR 6 billion. In addition to high investments for the transformation to e-mobility, we are planning for increased inventories in 2023 compared to the end of 2022. We plan across the years to ensure the necessary vehicle supply to the markets in order to fulfill high customer demand. Let's turn now to the financial services segment. Earnings in this segment results not only from new business, but largely from the entire portfolio of contracts. For this reason, I will focus primarily on a six month perspective for financial services. Higher interest rates resulted in noticeably increased financing costs for consumers. The financial services sector also remains as competitive as ever. Therefore, in the year to the end of June, the number of new financing and leasing contracts concluded with retail customers decreased by 10.6%. However, there was a noticeable positive trend in the second quarter since new contracts were at the same level as in the previous year's quarter. Higher prices and an improved product mix in the automotive business led to an increase in the average financing volume. As a result, the volume of new business in Q2 was 3.3% higher than in the same quarter of the previous year. Segment EBT at the end of June amounted to EUR 1.7 billion, a decrease of 14% compared to the full first half year of 2022. The main reasons for this are higher refinancing costs and a similar, and a smaller total portfolio compared with the previous year. On a positive note, income from the resale of end-of-lease vehicles is still high. In addition, the risk situation in the segment remains mostly stable. A credit loss ratio of 0.15% confirms the high quality of our portfolio. We anticipate that the positive effects from the remarketing of lease returns will remain stable through to the end of this financial year. We therefore now expect a return on equity in the range of 16%-19% for the full year. Let's move on to the motorcycle segment. For the past 100 years, the BMW Motorrad brand has offered an impressive range of attractive products. Its strong portfolio contributed to a successful second quarter in 2023, with record figures in deliveries and EBIT margin. Sales of 65,000 units were therefore 8% higher than the prior year quarter. The segment also significantly increased its operating results compared to the second quarter of 2022, growing from EUR 127 million to EUR 158 million. The EBIT margin was 16% for the quarter and 16.2% for the half year. This brings me to the overview of our guidance for financial year 2023. In the automotive segment, we now expect deliveries to show a solid increase over the previous year. As a result of the positive volume development, we now expect the EBIT margin in the automotive segment to be within the range of 9%-10.5%. Accordingly, we raise the target range for the segment ROCE to between 18%-22% in the automotive segment, and we now forecast return on equity in the financial services segment to be between 16% and 19% over the year. All other guidance figures remain unchanged. Our forecast does not take into account a deep recession in key sales markets. Furthermore, in our outlook, we do not expect further escalation of the conflict between Russia and Ukraine or an expansion of the war. Ladies and gentlemen, our industry is in the midst of a profound change. We are steering the BMW Group profitably through this transformation with sound financials. In doing so, we always focus on the long-term success of our company. Our strategic focus is on electromobility, digitalization, and sustainability. To this end, we're making necessary investments in next-generation technologies. We are maintaining our course in our current core business. Operationally, we're strong, and that secures our profitability. We have the necessary latitude to invest in the future of the company and at the same time, create value for our shareholders. The BMW Group has a young, highly attractive product lineup on the market, with an array of new models to come over the next few years. With the Neue Klasse, we will shape the future of mobility and secure our competitiveness, and this way, our financial performance. The BMW Group maintains the right balance between the three core elements of its business success. First, a profitable core business. Second, a continuing growth trajectory, and third, a clear path to lower CO₂ emissions. This is how we can continue to create value for the BMW Group. We deliver on our promises. That is our pledge, and something I am personally committed to. Thank you, Walter Mertl. Now our CEO, Oliver Zipse, will give a presentation. Well, ladies and gentlemen, in just a few weeks, the IAA Mobility will take place right on BMW Group's doorstep here in Munich. Our company and brands will be showcased as part of the open space on Max-Joseph-Platz, in the heart of the city and on the trade fair grounds. The IAA Mobility will turn the whole city into a mobility hub, creating a platform for constructive dialogue between all mobility providers and residents, stakeholders, and guests from around the world. Few business segments offer such a wide range of opportunities for innovations that can benefit us in our everyday lives and at the same time speed up progress in society. We firmly believe this and have the facts to back it up. Our BMW vision vehicles are the embodiment of this approach. They focus specifically on individual future topics and demonstrate how we at BMW are tackling and implementing them. Take, for example, the BMW i Vision Circular from 2021, which was systematically designed for closed-loop material cycles. A circular economy is our vision for the long term, because this will make our company less dependent on valuable raw materials and even more resilient. Another example is the BMW i Vision Dee from CES at the beginning of 2023. It demonstrates the potential of what happens when hardware and software merge. The car becomes a digital companion that learns and understands. We believe there are three key action areas that will dominate mobility of tomorrow: electric, digital, and circular. Each of these on its own is already a challenging and technically complex task. Combining all three aspects into a coherent overall concept is the ultimate challenge. This capability will determine future competitiveness in our industry. With our next vision vehicle, we will open up new dimensions in several areas: design, operating principle, efficiency, and sustainability, of course. On 2nd of September, BMW Vision Neue Klasse will celebrate its world premiere. The date was chosen to honor a historical milestone. It will be almost 60 years to the day that BMW staked the claim of Neue Klasse. Back then, the decision to launch a groundbreaking new product range enabled BMW's success and kept it going over the following decades. Now, once again, we're turning vision into reality, and I can promise you that the BMW Vision Neue Klasse is close to standard production and will be on the road soon. Production of Neue Klasse will get underway in 2025 at our new plant in Debrecen, Hungary, followed by the plant Munich in 2026. To mark the 20th anniversary of BMW Brilliance, we also announced local production of Neue Klasse at our plant in Shenyang, China, from 2026. The Neue Klasse is a mega project that spans the entire company. It's about nothing less than the future of the BMW brand, the BMW Group, and our portfolio. We're in intensive preparation for this, and we continue to make significant investments in relevant future technologies over the next few years. Internally, we're working together within new organizational structures, such as our tech clusters, like the one for the electric drivetrain, for example. This way, we're able to address, in parallel and in an integrated manner, the mission-critical issues of cost efficiency and sustainability at the same time. It is clear to us that with innovation drivers like Neue Klasse, we can grow as a company, both quantitatively and qualitatively, and that is what counts. At BMW Group, everything has to get a little better every day. That's what we aspire to. In late July, the new BMW 5 Series began rolling off the assembly line in Dingolfing. It will be released on the markets towards the end of the year. As with the BMW 7 Series, 4 Series, X3 and X1 models, customers once again get to choose between different drivetrain variants. With the all-electric i5, BMW Group will then, as promised, offer at least one BEV model in every core segment. The i5 will help ensure that 40% of all the vehicles we build at our biggest European plant will be fully electric from next year onwards. In addition to 5 Series, the new BMW X2 is also in the starting blocks, including the BEV variant, iX2. The 5 Series is receiving very positive feedback in the media and social media now already. The eighth generation of our successful business sedan has been praised in particular for its tech highlights, including the Level 2 hands-off system. The Five Series is the first car in Germany to be approved for partially automated driving at up to 130 km/h on motorways. With this exemption, it means that drivers can use the new BMW Highway Assist, which allows them to take their hands off the wheel while driving. Another feature has been added to our Highway Assist, the Active Lane Change Assistant with so-called eye confirmation. This world first allows the driver to change lanes, as suggested by the system, simply by looking into the exterior mirror. For BMW Group, safety will always be a core element that our technological innovations must all contribute to. We test our vehicles on the proving ground, not on our customers, and only release perfectly tested, highly advanced vehicles on the market. Last week, we opened a new testing site in the Czech Republic. It is by far our largest test track. What do we do there? We testing highly automated driving. Our Future Mobility Development Center in Sokolov provides the ideal infrastructure and reproduces road conditions of countries from all over the world. The site covers 600 hectares and consists of six tracks. We're also focusing on production trials for fully automated parking. Together with our partner, Valeo, we are developing solutions for automated valet parking. Compelling products that create value for customers, as well as surprising innovations, are the foundation of our business success. There is a positive correlation here. Strong products generate strong demand across all drive technologies and all market regions. As you know, we at the BMW Group are taking an open technology approach to the transformation of our industry. This has never been as important as today. We are concerned with both climate effectiveness and sustainable business success. For us, there are no old or new technologies, only future-proof ones. For effective climate protection, all types of drives must contribute to the reduction of CO₂ emissions. This technology-open approach is a strength of the BMW Group. After all, the world regions and individual markets will continue to develop differently and at different speeds in the coming years and decades. This applies to technologies and regulation, to the expansion of infrastructure for e-mobility, and to the wishes of customers, because different political framework conditions lead to different customer behavior. In the U.S., for example, the internal combustion engine remains relevant parallel to the ramp-up of e-mobility, which we see above all in states like California. In China, the government is promoting e-mobility, but there is no question of banning the combustion engine. In Japan, hybrid drive is in demand, and there's a high level of interest in hydrogen. Thanks to our flexibility, we can react quickly to changing requirements in the market at any time and in any situation. We can provide customers with adequate offers without sacrificing market value. We continue to pursue this approach consistently and with conviction, because the holistic view of customer needs, environmental requirements, and political guidelines is a unique selling point of BMW. I see this as further proof that our strategy is working and bearing fruit. This was also true in the first half of 2023. Despite a somewhat subdued global economy, the BMW Group delivered more than 1.2 million vehicles to customers, an increase of 4.7% compared to the previous year. BMW remains number one in the global premium segment, with over 20% of the market. While regions from the Americas and Europe to China and Asia are currently supporting our growth. The ramp-up of our all-electric models remains a clear priority. As you know, BEVs should account for 15% of our global sales for the full year. Our BMW iX came first in the BEV ranking in the J.D. Power APEAL Study, which rates customer satisfaction among new vehicle owners in the U.S. One thing is clear, e-mobility needs suitable framework conditions. As a founding partner of IONITY, we have been promoting the development of a comprehensive level charging infrastructure in Europe since 2017, and now we're transferring our commitment to the U.S. Together with six other car manufacturers, the BMW Group is establishing a new joint venture for a fast-charging network in North America. Our goal is to build at least 30,000 charging points in cities and on highways. The first stations will be opened as early as summer 2024. The network will be open to users of all brands and will support both CCS connections and NACS technology. What is clear is our products with all drive technologies are in demand, and our plants around the world are operating at high capacity. Our order book remains high. The world of the future is not a zero-sum game. Rather, new technologies create new opportunities. Only companies that pursue a broad, innovation-based strategy across all technologies will be successful and continue to gain additional market share. Our brands are all making their contribution. Rolls-Royce is launching the all-electric Spectre later this year. BMW Motorrad, in its anniversary year, is now pushing ahead with electrification following the CE 04 with the eParkourer CE 02. MINI is reinventing itself from the ground up with the new MINI family. The new Cooper Electric, with its spectacular interior and infotainment system, will be unveiled before the end of the year. We will also be building all-electric MINI vehicles in China going forward. In March already, we introduced a new customer-centric direct sales structure for the MINI brand in China. In Europe, we will be launching our new sales model for direct customer access with MINI in 2024. The BMW brand will follow in Europe in 2026. Ladies and gentlemen, all of this shows how we are setting the BMW Group on a profitable course for the future through quantitative and qualitative growth with both our products and technologies. We are aiming for appropriate market penetration and intend to systematically exploit our opportunities. Thank you. Thank you, Oliver Zipse. Now, colleagues, let's turn to your questions. I'd like to ask for the technical information to be given for the conference. Ladies and gentlemen, the Q&A is about to begin. If you'd like to ask a question, please use the buttons at the lower end of your screen. If you've dialed in by telephone, click the asterisk button and nine, and then you will be given the opportunity to ask your question. As soon as your name has been announced, you can ask your question. In order to withdraw a question, use the hand in the app or by telephone, push the asterisk button, and nine. Thank you. Just a moment for the first question. First question, Max Hägler, DIE ZEIT. Please turn on your microphone now. Hello from Hamburg. Thanks for your time and the opportunity to ask questions. I've got three questions, if I may. There is a discussion in the country about the accumulation of burdens in Berlin and in Brussels. I'd like to know, what do you think are the major burdens? Is it raw material prices? Is it regulations? Is it areas or mentality? What are the major challenges when we talk about problems like this? Then the ramp-up of electromobility, well, is has come to a halt. Well, not exactly a halt, still, we have this discussion about subsidiaries, the regime in Germany was certainly helpful. Are there other ideas of how more momentum can be increased, further stimulus? Then the third, the MINI appears to offer quite high discounts at the moment for every customer. What's going on, what are you planning for the future? Thank you. Okay. Thank you, Mr. Hägler, hello to Hamburg from Munich. I'd say we'll begin with the CEO for the first two questions, then the discounts MINI, Mr. Mertl would take over. Oliver Zipse, please. Well, good morning, Mr. Hägler. Nice we're able to talk to you. Hello from Munich. First question, you wrote quite a nice article together with two colleagues, where you described the current situation with, you know, the giant who's being put chains on by all these little dwarfs, and that is a pretty appropriate picture. What we're seeing here is something that concerns the heart of the German industry. A deindustrialization in Germany, bottom-up, is taking up speed. Well, you don't really see that reflected in the DAX companies, but in the SMEs, on which we depend in a certain way. In the first six months, 2023 alone, 16% more companies filed for bankruptcy in Germany. That's the strongest increase for the past 20 years. Many processing industry, 22.6%, was affected. 22.6% more insolvencies. Now, with our suppliers, some of them, due to cost burdens and other burdens, they're actually considering turning their backs on Germany. This is, of course, also related to growth aspects. Most of the growth is happening abroad, and the most urgent problems, as you all know, I mean, it's not just one problem. There's a bundle of continuingly high energy prices, bureaucracy, regulations, CO2 requirements, which are desirable, but not always can be met in a profitable manner. The lack of skilled labor, refinancing costs, infrastructure, blah. You know all this. What you described in that article, yes, I can confirm it. Even if BMW, as we've just said, it does not affect BMW directly. Nonetheless, you have to see the signs of a slowing industrial development, and you have to take them seriously. Allow me to also say the fact that growth is hard to sell, especially sustainable growth, and in part, we're now going into a post-growth economy, and this is something that really worries us. Much on your first question. Second question, ramp-up of e-mobility. Well, this is all going hand in hand, of course. What's most important for the ramp-up of e-mobility is certainly tax incentives. What's more important and that's what the car manufacturers cannot do themselves. That's providing the right infrastructure. I'm talking about building directives, I'm talking about infrastructural requirements, especially in residential buildings, and this is, I think, where we still all need to have a closer look. Well, tax incentives are certainly helpful for any type of growth, but that's not really what the focus should be on. Discounts, I think, Walter Mertl will answer that third question. Yeah, as you've just heard, Mr. Hägler, we are facing the MINI initiative starting next year, and we're running out the current MINI model. You will be given nice opportunities, a convertible, an e-convertible that we started this year, and there was strong demand, and the car was sold out quickly, so that wasn't a discount issue. Otherwise, it's also due to the life cycle, and you will be looking forward to the fact that as of the 4th quarter this year, the new e-MINI can already be ordered. Delivery starting in 2024. Thank you. Next question, please. Michael Rasch, Neue Zürcher Zeitung. Good morning from Frankfurt to Munich. I'd like to touch on what my colleague already asked. It's the energy prices that most of the colleagues focus on when they talk about current problems. Can you tell us again, what does the energy prices mean for BMW if they increase or decrease by 10 cents? Second question: sometimes there's demands saying that subsidies for diesel should be abolished and there should be more focus on electric cars. What do you say about this? Thank you, Mr. Rasch. We'll begin with Walter Mertl on the role of the energy prices. Hello, Mr. Rasch. The energy prices, I mean, basically, this has been going on since last year. It affects us via the purchase of materials and components. We also see it in our supply chain. Of course, there's ongoing discussions about this together with our suppliers. We're treating them as partners and, of course, a reduction in energy prices or energy costs would be quite relevant for the industry. We would all be doing better if that happened. Otherwise, in a complete chain, we'll have more difficulties the stronger the energy prices increase, and let's not leave out of account that it's a European issue. We don't see the costs like that in China, and the effects are also not as strong in the U.S. Okay, then about the subsidies, abolishment of subsidies for diesels in favor of e-mobility, Oliver Zipse? Well, Mr. Rasch, good morning to you. Let's perhaps define the term first. Tax, deductions and subsidies. I mean, there are no subsidies for diesel in Germany. There's tax benefits, but here I'd say the subsidies that are being paid currently just for e-cars should be kept on the same level, on today's level. The principle we should have is the one of technology openness. Any replacement of very old technology by a modern technology helps the environment, regardless of which type of drivetrain we have. What would be most difficult is if you had lack of subsidies and if you had poor infrastructure, if that resulted in older cars being driven longer, that would be the worst for the climate. We continue to be in favor of technology openness and promotion of new technology on the road. Of course, when it comes to the order of magnitude, there should be a focus on e-mobility, as we already have today. Thank you. Next question, please. Lazar Backovic, Handelsblatt. Hello, Mr. Zipse and Mr. Mertl. Thanks for being given the opportunity to ask questions. I've got three brief questions. First one concerns the e-drive. First six months, 13% +, better than our competitors. First question, therefore, could you state a year where you will be exiting combustion engines in individual markets? Second question: Why did you ramp up faster than others? You've got a higher share than others. Do you have a better supply of parts than others? Is that why you can produce faster? That would be interesting to know. The third question concerns the order backlog, the order book. How high was it at the beginning of the year, and what's the figure now? You can also divide this between electric and combustion, if you like. Thank you. First two questions will be answered by our CEO, Oliver Zipse. Well, Mr. Backovic, thanks for your questions. First question, of course, is not unexpected. This is a question that gets repeated every year, but if you observe the world, you will notice there's no indication that the world would be doing without combustion engines. Look to the U.S., to China. Europe is now the only region worldwide, which in 12 years is planning an exit or has announced an exit, but we're a global manufacturer, so we continue to be of the opinion it's too early to be doing that. Let's just see how the availability of raw materials develops, how the costs develop. Let's see what the charging infrastructure is doing. As you can see, we're doing pretty good with this. Why did we ramp up faster than our competitors? Well, for years we've been telling you the story that a flexible platform is what's most important, and this is now paying off, and it's only just starting. The i7 will be available in all drive variants in the markets, and it's only just introduced now. Now, we've got the i5 coming. Large volume problem, the iX1. We're even expanding the third shift in the Regensburg plant because there's such high demand. The iX2, the Spectre, all of them are still coming, and we're only just starting. That's why we dare say at least 15% pure BEV. That excludes the plug-in hybrids even for this year, and it's not surprising at all to us, and we are only at the beginning of this increase in market share. Allow me to say a few words still. This also gives rise to opportunities because it's not a zero-sum game. The ICEs, I mean, like the electric drivetrains, all in all, growth will be going into the BEVs. It's also a growth scenario. Without putting our costs of retail in danger, our strategy is working just as we anticipated, and as I said, we're only at the beginning of this journey. Thank you. The third part of the question concerned the order book beginning of the year and now. Mr. Mertl? Well, as I already said in my speech, our order book is quite good. It'll take us right to the end of the year. There's a long waiting time for some models also, and that's one reason why we're so confident looking into the future, and that's why we also raised our guidance, and that takes us way beyond the end of the year. Let's not forget, in Spectre, for example, we've got such a high order bank already, and deliveries are only starting in the fourth quarter, and this will last us well into the year 2024. Therefore, we have no worries here. Thank you. Next question, please. Meret Lamke, Automobilwoche. Thank you. You've explained quite nicely that the situation with the BEVs is quite positive for BMW, but I'd still like to know, what's the impression for the overall market? Do you have a feeling that the euphoria of, about e-mobility last year, also, due to subsidies, is somehow slowing down? Don't you have the impression that people are more interested in a combustion engine car than the new world of e-mobility? How do you experience the market beyond BMW? Thank you, Ms. Lamke. Mr. Zipse? Well, markets are never euphoric. People who talk about them are euphoric. The markets have always been quite rational. They did exactly what we anticipated. They grow strongly in terms of percentage, of course, as you've seen. In the first six months, the BEV share increased by more than 30%, but starting from a low level. We're starting from a low level. That's why it's only 15% this year. We've never been euphoric. We've always tried to understand markets and technologies in such a way that they are effective in the end, and effective means they trigger investments which later pay off in some way through the purchasing power of our customers. The euphoria you're talking about, this is how it should always gone, and the greatest hindrance is really the infrastructure and how that will develop with e-mobility, and, I mean, it's still developing in many areas of Europe. Thank you. Next question, please. Marco Engemann, dpa. Good morning. Thanks to Munich from me. What is your take when it comes to sales prices? Herr Mertl, with the EBIT bridge or NBM, it also says so. There was an increase in sales. There's a good product mix, you said. You see a trend towards normalization. How much price effect is included in that? What's the future with respect to the almost recession we're currently observing? It's regionally different, but perhaps this would give rise to giving some discounts. Then I have a detailed question relating to increased reserves for warranty costs. These warranty costs, they include a lot of things. Is this increase, what is this related to? Thank you. Thank you, Mr. Engemann. Mr. Mertl? Well, first, the sales prices. We can state that our price level is very stable compared to the previous year. It's positive. We had a price increase, as you know, due to increases in material prices. We were able to enforce it. Discipline is really top here. That's what's most important. Briefly talking about the reserves for warranty costs, this, in our case, results from one-off issues, technical actions we have had, not just since the second quarter, but always. As you know, we are quite conservative in this respect. As I said, it's mostly reserves or provisions that we have reviewed on a regular basis. We adjusted various parameters. These have led to those additional burdens. Thank you. We've got five minutes left. I'd say two more questions, perhaps. Next question, please. Victoria Waldersee, Reuters. Two brief questions on China. Germany's meanwhile published a China strategy. What is BMW planning in this field? Second question: How about pricing for e-cars in China and globally? Thank you, Ms. Waldersee. Mr. Zipse, please. Well, thank you for your questions. We had the Chinese Minister President here some time ago, we presented our technology to him, what our technological approach is. We also talked about digitalization, by the way, we also talked about hydrogen, about the Chinese joint venture, Brilliance and Spotlight we have in China. I think we have a pretty open discussion there, which is well balanced between potential risks and opportunities and dependencies. A business model without China is impossible, not just in China, but also globally, because the world is just all interlinked. In our risk management, we've found a balanced approach, especially as far as the raw materials and their origin is concerned. In the first six months, China grew for us. It didn't shrink, but it grew. We keep investing in order to support the ramp-up of e-mobility there. Now, pricing for BEVs, here we need to see which segment we're talking about. I mean, in China, most of the BEVs are below CNY 200,000, and this is a segment when we're not doing business as BMW. In the higher regions, however, above CNY 350,000, is pretty stable. The prices are also fairly stable, and every time we set prices, we reconsider what type of market is it, what prices can we enforce, and we're actually not dissatisfied at the moment. Herr Mertl has already mentioned this. Worldwide and in China, we have been able to enforce our prices. Thank you. The last question, please. Wilfried Eckl-Dorna, for the last question, please. Eckl-Dorna, are you there? We hear you now. I'd like to know. More money for e-cars, what does it exactly mean? What does it mean that more money is being spent on e-cars? Sorry, this question is very hard to understand. There's problems with the sound. Well, we had some difficulty hearing. I think the first question was, what do we spend more money on in e-mobility, and how does profitability develop, if we've understood you correctly, in the ramp-up? Okay. Okay, Walter Mertl, please. Hello, Mr. Mr. Eckl-Dorna. Where does our money go? Well, this year and the next years to come, we massively invest in the ramp-up of our BEV plans for the production of batteries, and that's both the current generation five and already next generation six, which we will then build into the new Neue Klasse. This has a double effect. Currently, we're making use of opportunities where we see, yes, we can still invest, and we're doing this in a very dynamic environment at the moment. We've got more scope for generating sales, and we're taking use of, we're making use of this opportunity, and we're investing in some topics more strongly this year already. In terms of profitability, there's good news because the contribution margin is still developing positively. We've already said so in March, and a couple of years ago, it wasn't like that. There, we actually feared that contribution margins would be worse, but we can say that we've got positive contribution margins everywhere. It's a better trend, but that's really the same statement also that we made in Q1. It's, the trend is better than we had anticipated a couple of years ago, and we're very happy about this. Above all, I'd like to point out that with our upper segment, we're beginning with the BEVization, 7 Series is there, not available in all markets yet, not all variants available yet. The next ones will be coming. In China, for example, the 57 was only just launched in July. That will give us some momentum. Let's not forget our 5 Series. With our 5 Series, which will be launched in the fall, in Q4, it's available in all drive variants, we see great potential in it. I have the pleasure to be able to drive an i5 60 right now, it's just fun, when we sell it, it will make a good contribution margin. Okay, which means we are ending on a positive note, our member of finance or Mertl is in a good mood. Thanks also to him and to Mr. Zipse. Thanks to all of you. Colleagues, have a nice summer. See if you can get some holiday, we'll see ourselves at the IAA Mobility. All the best from Munich and sales.