Annual figures: BMW makes record profit – and benefits from Trump’s tax reform

BMW boss Harald Krüger

Satisfied in Geneva: BMW can present a new record profit.

(Photo: AP)

BMW Thanks to the US tax reform, the net profit has increased significantly. The surplus climbed in 2017 to 8.7 billion euros, which is 26 percent more than in the previous year, as the Munich car maker announced on Thursday.

The effect of the recent corporate tax reform by US President Donald Trump the Munich estimate to 977 million euros.

Shareholders who are to receive a record dividend may also look forward to the higher net profit: 4.00 per share (previous year: 3.50) per share and 4.02 (3.52) per preference share per share.

This proposal is “a signal of confidence” that the BMWGroup will continue its successful course, said CEO Harald Krüger.

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To the business club

In 2017, the Munich luxury-class manufacturer posted the eighth record year in succession: earnings before taxes rose by 10.2 per cent to 10.655 billion euros, sales by 4.8 per cent to 98.678 billion. In the central car division, however, the yield (EBIT margin) remained at 8.9 percent and thus lagged behind again Mercedes Benz with 9.7 percent.