MUNICH (dpa-AFX) - German luxury car giant Bayerische Motoren Werke AG or BMW Group (BAMXY.PK, BAMXF.PK, BMW.L) Tuesday reported 27.2 percent increase in the second-quarter net profit, as revenues grew with rise in sales volumes in all major sales regions. The Group also reaffirmed sales volume and earnings outlook for full year 2014.
Strong demand for BMW Group vehicles had a positive impact on Automotive segment's performance.
Total number of BMW, MINI and Rolls-Royce brand vehicles delivered to customers in the three-month period increased 5.3 percent to 533,187 units from 506,321 units last year.
BMW brand worldwide sales rose 8.3 percent to 458,088 units, while sales of MINI vehicles fell 10.4 percent to 74,028 units as a result of the MINI Hatch model change. The company delivered 1,071 Rolls-Royce cars in the quarter, an increase of 28.6 percent from a year ago.
For the second quarter, Group net profit increased 27.2 percent to 1.77 billion euros from 1.39 billion euros in the previous year.
Profit before tax, or EBT climbed 30.9 percent to 2.66 billion euros from 2.03 billion euros a year earlier.
Group revenues for the quarter rose 1.8 percent to 19.91 billion euros from 19.55 billion euros in the prior year.
In the Automotive segment, revenues improved 1.7 percent to 18.50 billion euros from 18.20 billion euros.
Motorcycles segment revenues grew 11.2 percent to 528 million euros, and Financial Services generated revenues of 5.16 billion euros, up 1.9 percent from last year.
During the first half of the year, sales in Europe rose 2.2 percent, the number of BAMXY.PKvehicles sold in Germany edged up 0.6 percent, and sales in Great Britain increased 1.8 percent. In Asia, sales climbed 18.3 percent, and the Americas showed a sales growth of 3.5 percent.
'The BMW Group increased sales volume, revenues and Group earnings in both the second quarter and the six-month reporting periods, continuing the successful development of our business,' said Norbert Reithofer, chairman of the board of management of BMW AG.
For full year 2014, the Group still expects profit before tax to increase significantly from last year's 7.91 billion euros, and sales volume to increase from nearly 1.96 million units, amid a challenging market environment.
On Frankfurt's Xetra, the shares closed Monday's trading at 88.41 euros.
Copyright RTT News/dpa-AFX