Looking ahead, for fiscal 2017, BMW Group sees slight increase in earnings before tax compared with previous year’s 9.67 billion euros.
The company projects positive business development despite challenges. Competition on international automobile markets is expected to remain intense throughout the current year.
In the Automotive segment, revenues are expected to grow solidly and the company sees positive sales volume growth to continue in 2017. Assuming economic conditions do not deteriorate, deliveries to customers are forecast to rise slightly to a new high from last year’s 2.37 million units.
For the second quarter, net profit climbed 13.6 percent to 2.21 billion euros from last year’s 1.95 billion euros. Earnings per share were 3.34 euros, compared to 2.95 euros last year.
Earnings before tax – Group increased 9.2 percent to 3.06 billion euros from last year’s 2.80 billion euros.
Earnings before interest and tax or EBT margin – Group was 11.8 percent, up 0.6 percentage points from 11.2 percent last year.
Automotive segment’s EBIT grew 2.8 percent to 2.23 billion euros.
Revenues increased 3.1 percent to 25.80 billion euros from prior year’s 25.01 billion euros.
In the quarter, Automotive revenues edged up 0.5 percent from last year to 22.98 billion euros, Motorcycles revenues grew 12.8 percent and Financial Services revenues increased 8.3 percent.
Automotive sales volume increased 4.6 percent to 633,582 units, with 5.3 percent rise in BMW brand and 1.6 percent rise in MINI vehicles. Meanwhile, Rolls-Royce’s sales volume fell 25.7 percent.
The company noted that important contributions for the higher sales were made in particular by the BMW X-family models and the sedan versions of the new BMW 5 and 7 Series.
Motorcycles production volume climbed 15.8 percent.
BMW said its group sales continued to grow through June 2017. the company sold 1.22 million units, up 5 percent. Motorcycles sales volume increased 12.3 percent.
The company said more than 155,000 electrified BMW group vehicles were sold by June 2017. The firm is well on track for 100,000 electrified vehicles in 2017.
Further, BMW said it plans to launch 40 new or revised models by end of 2018.
For 2020, it projects EBT margin above 10 percent, compared to 10.3 percent in 2016.
Global annual premium segment sales are expected to grow…