BMW expects to achieve its target annual sales of two million cars four years earlier than planned. The company had earlier forecasted to top two million sales in 2020 and by the looks of the figures in the first months of 2012, BMW is poised to reach the target by 2016.
BMW delivered 1.67 million cars last year. The automaker expects to surpass the 2 million vehicle mark in 2016, including its Mini and Rolls-Royce brands, without profitability suffering as a result, the company said today at its annual press conference.
The German manufacturer will expand further in the emerging markets and will concentrate of BRIKT (Brazil, Russia, India, South Korea and Turkey) for more sales. BMW will also increase production capacity in US, China, India and South Africa and will aim for an operating profit margin of 8-10 per cent.
“We will raise capacities in China, the US, South Africa and India. At the same time, we are evaluating potential locations… in Brazil, Russia, India, Korea, Turkey,” Chief Executive Norbert Reithofer told reporters at BMW’s headquarters in Munich.
Volkswagen’s Audi overtook stalwart Mercedes-Benz as the second largest premium brand by vehicle sales last year and has surpassed BMW in terms of profitability thanks to economies of scale it enjoys with its parent — a luxury BMW does not have as an independent company.
Stay tuned for more updates.