BMW trims year’s car sales expectations as profits surge

BMW AG has pulled back its expectations for car sales this year, despite reporting a forecast-beating operating profit in the third quarter, when strong demand for sports utility vehicles helped offset lacklustre sales of electric cars.

While BMW Group is sticking to its goal of selling more than two million cars this year, chief financial officer Friedrich Eichiner yesterday said BMW now expected a "solid" increase in sales in 2014, backtracking from an earlier forecast of a "significant" increase.

Last year BMW Group, which includes the Mini and Rolls-Royce brands, sold 1.964 million cars. But the economic outlook has darkened in recent months.

Quarterly earnings before interest and tax (EBIT) rose 17 per cent to €2.26 billion, above the average forecast of €2 billion in a poll of analysts.