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BMW profit of $2.7B is down as automaker invests to keep luxury lead

Despite selling 6.6-percent more vehicles - a record by volume - and posting higher revenues in the second quarter of 2013, BMW Group's profit of 2.07 million euros ($2.75 billion) is down 8.8 percent from last year. Investments in new technology (e.g. the new i3) and personnel, in addition to a competitive market, are to blame, BMW states. But the automaker remains committed to its fiscal targets for 2013, which, Chairman of the Board of Management of BMW AG, Norbert Reithofer, says will be "on a similar scale to 2012."
The BMW brand's sales performance in the first half of the year, which increased by 7.7 percent to 804,258 vehicles delivered, was good enough for it to maintain its lead in the luxury market, narrowly beating Audi, which delivered 780,510 vehicles, Automotive News reports. Mercedes-Benz delivered 694,433 vehicles to cement third place.

Forget about greenlighting it, BMW is already testing the M2

One week ago, we reported, with some skepticism, that BMW had greenlit a car we've been waiting for since the 1 Series M Coupe was discontinued - the M2. Now, we have the first images of that new hotshot underoing testing in Germany.
What's our reasoning here? After all, this just looks like an M235i. Well, that camo is disguising swollen fenders designed to conceal wider tires. Now, these aren't production changes, and it's very likely that the eventual M2's fenders will look quite a bit different. According to our spy, the front fenders have been borrowed from the M235i Racing, while the rears are from an unknown source.
Our spies are also quick to point out a few other high-performance items on this mule. The cross-drilled brakes and blue M calipers are one such item, although we aren't sure how much they differ from the optional stoppers on the production M235i. The black wheels are borrowed from the M3 and M4, and are shod in what look like a sticky set of Michelin tires.

Next BMW X1 caught on flatbed

The X1 had been around for four years before it was added to BMW's US lineup, so it isn't all that surprising that a new version of the company's smallest Sport Activity Vehicle is already in the works. Captured in transit on the back of a flatbed truck, these spy shots give us our first look at the next-gen X1 - codenamed F48 - which is expected to debut around 2015.
While the camouflage does a good job of obscuring most of the styling elements, we definitely see evidence of the X1's new platform. Elements like the loss of the long nose and a noticeably shrunken dash-axle gap (just compare this spy shot picture to this one from our X1 review), are good indicators that the next X1 will move to the new front-wheel-drive platform BMW is using for the new Mini and 1 Series GT. Aside from this, the overall shape is very similar to the current design, but we're sure it will pull many cues from the updated range of BMW products.