BMW posts 'sharp' profit growth in Q1

BMW, the world's leading luxury car maker, yesterday posted "sharp growth" in first-quarter profit, erasing its loss a year earlier amid a pick-up in global sales of high-end automobiles.

BMW reported a net profit of €324 million (Dh1.54 billion), and upgraded its full-year outlook.

The company made a net loss of €152m in the first three months of 2009.

BMW reported core earnings from its auto division of €291m on sales of €12.443 billion, compared with a first-quarter 2009 loss of €251m on €11.5bn in sales.

The net profit figure exceeded an analyst forecast of €247m compiled by Dow Jones Newswires, but sales were slightly below their outlook of €12.6bn.

A total of 315,614 vehicles were delivered, an increase of 13.8 per cent.

Core earnings for the entire group, including BMW motorcycles and financial services, came to €449m, compared with a loss of €55m in the first three months of 2009.

For all of 2010, Chairman Norbert Reithofer said the group was "aiming to achieve significantly higher group earnings" than in 2009.