BMW Financial Services (FS) has posted a
dramatic rise in pre-tax profits for the first half of 2011.
The German car manufacturer’s finance and
leasing division has recorded a 95.2% rise in pre-tax profit to
€1.17bn up from €602m for the same period in 2010.
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
Revenue for the six month period increased by
2% to €8.36bn.
The number of new lease and credit financing
contracts signed with retail customers in the first six months of
2011 was 591,351, an increase of 12.2%.
Leasing, which represents 30.5% of the BMW FS
business, grew 20.4%.
Financing contracts from Alphabet, the group’s
multi-brand fleet business, increased 13.6% in the six month
period, adding 69,514 contracts.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataAlphabet, the BMW FS subsidiary that announced
a deal to purchase ING Car Lease in July, had a total of 359,368
fleet vehicles contracts in place to 30 June 2011, up 9.6% from the
end of 2010.
Pre-tax profit for BMW Group for the first
half of 2011 more than doubled to €4.5bn.
Dr. Friedrich Eichiner, finance member of the
Board of Management of BMW, said the economic recovery had improved
the risk situation in leasing which had contributed to the group’s
success.
He added the financing and leasing business
continued to perform extremely well and said the purchase of ING
Car Lease was a strategic investment in a growing European fleet
management market.
grant.collinson@vrlfinancialnews.com
