BMW AG, the world’s second-largest luxury carmaker, reported today that its fourth-quarter profit rose 30%.

Profit rose to 549 million euros, or 82 cents a share, from 424 million euros, or 63 cents, last year. Analysts were expecting profit to rise to 485 million euro.

Full-year profit rose to a record 2.22 billion euros from 1.95 billion euros last year. Analysts were expecting 2.16 billion euro.

Revenue rose 0.2% to 11.01 billion euros.

The company will also raise the 2004 dividend by 6.9% and buy back as much as 10% of its shares.