German manufacturing giant BMW has reported third quarter net quarter profits of EUR 2.58 billion, surpassing analysts’ expectations with a 42.4 per cent year on year increase during the three-month window.
The outperformance in profits is powered by rocketing sales of electric vehicles and higher car prices.
BMW has now reported an operating profit (EBIT) margin in its automotive division of 7.8 per cent.
The premium automaker saw deliveries fall 12.2 per cent in the third quarter, but has been boosted by revenue increases of 4.5 per cent.
Purchases in the past nine months to September were almost double last year’s levels, with just under 232,000 units sold to consumers.
In the run-up to the results, BMW had announced it expected to deliver up to 90,000 fewer cars in 2021 because of a global shortage of semiconductor chips.
“A better product mix and good price setting of new vehicles alongside a stable pricing trend of used vehicles strengthened the financial performance of the business,” a company statement said,
The company’s shares are currently trading at 88.80 EUR on Xetra, up 0.16 per cent for the day.
More to follow….