(FT) -- BMW reported sharply higher quarterly earnings and said that economic recovery in its main markets and strong demand for new models like its 5-Series and X-1 meant that its profit would continue to "rise dynamically" this year.
The world's biggest-selling luxury carmaker reported a second-quarter net profit of €831 million ($1.1 billion), compared with a net profit of €121 million ($160 million) in the same period last year. BMW's quarterly revenues were €15.35 billion ($20.3 billion), 18 percent higher than a year ago.
Norbert Reithofer, BMW's chief executive, said the company was profiting from demand for its new vehicles, efficiency enhancements, and an economic upswing in some of its main markets, including China, North America, India, and Brazil.
The company said that its performance put it on track to meet its target of achieving an earnings before interest and tax margin of 8-10 percent in its core automotive division and a return on equity of at least 18 percent in its financial services segment by 2012.
BMW said that it still expected its sales to increase by about 10 percent to more than 1.4 million vehicles, about the same as the 1.43 million cars it sold in 2008, the first year of the financial crisis, but still fewer than the record 1.5 million vehicles it sold in 2007.
CNN
