MUNICH - BMW said its second-quarter operating profit rose 26 percent, as new models, a rebounding Europe and strong China sales boosted earnings.
Earnings before interest and taxes jumped to 2.6 billion euros ($3.49 billion) from 2.07 billion euros a year earlier, BMW said today in a statement.
BMW's automotive EBIT margin, the best gauge to compare profitability with peers, was 11.7 percent, up from 9.6 percent a year earlier. The margin was the highest since the third quarter of 2011 and surpassed figures of 9.9 percent at Audi and 7.9 percent at Daimler's Mercedes- Benz Cars unit.
Second-quarter revenue increased 2 percent to 19.9 billion euros.
"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," CEO Norbert Reithofer said in the statement.
Marc-Rene Tonn, a Hamburg-based analyst with M.M. Warburg, said BMW had a very strong vehicle mix for the quarter. Prices have been stabilizing, which will have helped the automaker significantly. "Prices for cars in China have probably improved and there's likely been a stabilization in prices in Europe" with dealers not chasing customers with significant discounts, Tonn said.