FRANKFURT—German carmaker BMW will deepen cost cuts after higher development expenses contributed to a 27 percent drop in third-quarter operating profit, falling short of analyst expectations as currency effects also took a toll.
Investments to develop electric and self-driving cars, as well as spending to boost production of new X5, X7, and 8-series luxury models weighed on earnings when tariffs between China and the United States, and a price war in Europe were already eroding margins.
