BMW Motorrad and KTM are two European motorcycle brands growing at an expeditious rate. KTM has eclipsed BMW in terms of motorcycle sales, with 180,801 KTM and Husqvarna motorcycles sold in 2015, compared to BMW’s 136,963.
That is a 32% unit sales advantage for KTM, which has brought the Austrians roughly €1.02 billion in revenue.
While that’s an impressive figure, it is BMW Motorrad that will be laughing all the way to the bank, as the BMW Group has disclosed that its motorcycle sales generated almost double the figure, with €1.99 billion in total sales for 2015.
This marks a 18.5% increase in turnover for BMW Motorrad, which resulted in a 62.5% increase in income (EBIT), or €182 million.
BMW has been able to achieve this strong sales growth via high-margina and large-displacement motorcycles, unlike KTM and Ducati that have seen recent growth via motorcycles with a smaller displacement and a lower margin structure – the case being stronger for the latter mentioned company.
With BMW now making a foray into the small-displacement space with the BMW G310R street bike, which will likely give way to more 300cc class machines, it will be interesting to see how these affects the German company’s ledger. As we’re fond of saying, time will tell.
Source: BMW Group
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