BMW Group targets new highs in sales volume and profit this year image

Bayerische Motoren Werke AG (BMW), the world’s largest maker of luxury vehicles said is confident about the current financial year after a record year in 2011.

The German automaker said pretax profit this year will probably beat 2011’s 7.38 billion euros ($9.72 billion). If so, the outlook is ahead of the 7.06 billion-euro average estimate of 20 analysts surveyed by Bloomberg.

“We are starting the new year with a full order book and a highly attractive model range. The BMW Group plans to grow faster than the market as a whole in 2012 and expects to achieve new sales volume records for its BMW, MINI and Rolls-Royce brands” stated Norbert Reithofer, Chairman of the Board of Management of BMW AG at the Annual Accounts Press Conference in Munich on Tuesday.

The company plans to build a new plant in Brazil and is expected to add a second factory in China this year as it seeks to fend off efforts by Volkswagen AG (VOW3)’s Audi and Daimler AG (DAI)’s Mercedes-Benz to take the lead in the segment.

Last week BMW said its profits jumped by 51 percent last year to euro4.9 billion ($6.43 billion), AP reported. Profit compared with an €8.04 billion average estimate of 20 analysts surveyed by Bloomberg. Revenue climbed 14 per cent to €68.8 billion.

BMW, which is fending off efforts by Volkswagen’s Audi and Daimler’s Mercedes-Benz to take the segment’s top sales spot, spent €500 million in the second half to introduce new versions of the 3-Series sedan and 1-Series compact.