Air density decreases with altitude - they say around 4% for every 300m elevation. So up here in Johannesburg, we're at an average of 1,600m above sea level - which means air density is
roughly 20% less up here than it is at the coast.
When
any manufacturer quotes power figures for their engine, they quote coastal figures - where the engine will develop its peak power due to the high density. As that engine is elevated, however, power (KW) is going to drop because of the lower air density - so by the time the engine is 1,600m, it's developing roughly 20% less power than it was at the coast. So the naturally aspirated BMW M3 which at the coast was developing 309KW, is now only developing 250KW in Johannesburg.
The 135i is turbo charged - forced air going into the engine. Basically it won't lose any power according to the altitude/elevation - and thus develops 225KW at the coast, at 500m or even 200m.
So if both these cars are at the coast, the power is 309KW for the M3 and 225KW for the 135i - which is why the M3 takes it at the coast. Bring both cars to Johannesburg, and the M3 drops to 250KW while the 135i stays at 225KW.
* Yes, a turbo does lose a little at altitude and figures aren\t 100% - but I'm trying to show the idea