BMW Group set to remain on course in 2016Staff writer ▼ | March 16, 2016
The BMW Group is set to continue its success story in 2016. “We are targeting new highs for sales volume and group profit before tax,” said chairman Harald Krüger.
Auto industry Automobile sales volume climbed by 6.1% to a new record
Group profit before tax is forecast to improve slightly. The BMW Group benefits from its strong brands, attractive product range and the expectation that international automobile markets will continue their generally upward trend.
These favorable factors contrast with rising personnel expenses, intense competition and high levels of upfront expenditure for new technologies. The global political and economic environment is also expected to remain volatile.
The Automotive segment is targeting a slight sales volume increase in 2016. Alongside the positive impetus expected from the new BMW 7 Series, the launches of the new generations of BMW X1 and MINI Clubman models towards the end of 2015 are also expected to boost sales volume figures in 2016.
Automotive segment revenues are therefore expected to increase slightly, in line with the rise in sales volume. The target range for the EBIT margin between 8 and 10% remains unchanged for 2016.
The BMW Group expects the Motorcycles segment to continue its upward trend in the current year.
The new R NineT Scrambler and G 310 R models unveiled at last autumn’s trade fairs will broaden the product portfolio and attract new customer groups. A slight year-on-year increase in sales volume is forecast for the full year.
The Financial Services segment is likely to continue performing well in 2016. Despite rising equity capital requirements worldwide, the BMW Group forecasts a return on equity (RoE) in line with the previous year’s level (2015: 20.2%), once again ahead of the target rate of at least 18%.
The BMW Group achieved its sixth record-breaking year in succession in 2015, posting new highs to date for sales volumes, revenues and profit before tax, despite a volatile market environment.
Automobile sales volume climbed by 6.1% to a new record level of 2,247,485 units (2014: 2,117,965 units). With additional tailwind from favourable currency factors, Group revenues grew by 14.6% in 2015 to € 92,175 million (2014: € 80,401 million).
Profit before financial result (EBIT) increased by 5.2% to € 9,593 million (2014: € 9,118 million), mainly on the back of sales volume growth.
Group profit before tax (EBT) rose for the first time above € 9 billion, increasing by 5.9% to a new high level of € 9,224 million (2014: € 8,707 million). Group net profit rose for the first time above € 6 billion, increasing by 10.0% to a new record level of € 6,396 million (2014: € 5,817 million). ■