By Kim Richters
Germany's BMW AG on Thursday proposed a higher dividend payout after earnings and revenue rose in 2021.
The premium car maker said aftertax profit jumped to 12.46 billion euros ($13.80 billion) from EUR3.86 billion the year earlier. Profit before tax rose to EUR16.06 billion from EUR5.22 billion.
"Valuation effects and reversals contributed to this improvement," BMW said.
Revenue for the year rose to EUR111.24 billion from EUR98.99 billion thanks to positive product-mix effects and improved pricing from a higher percentage of high-revenue vehicles.
BMW said the fourth quarter of 2021 was affected by the continuing semiconductor shortage as well as increasing energy and raw material prices. The car maker's quarterly revenue fell 3.6% to EUR28.41 billion, while profit before tax rose 29% to EUR2.91 billion.
It is proposing a dividend of EUR5.80 per share of common stock, which compares with EUR1.90 for the year before, and EUR5.82 per share of preferred stock, up from EUR1.92 the year-prior. "With a payout ratio of 30.7%, our shareholders will also be able to benefit from a strong financial year 2021," said BMW's finance chief Nicolas Peter.
BMW also said it will propose to the May 11 Annual General Meeting to purchase and retire treasury shares.
The auto maker is set to provide an outlook for the current year as well as more details on its 2021 results on March 16.
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(END) Dow Jones Newswires
March 10, 2022 08:17 ET (13:17 GMT)Copyright (c) 2022 Dow Jones & Company, Inc.