The 913,000 BMWs and 144,000 Minis sold represent an increase of 17% from the 905,657 units sold in 2001.
Chairman of the board of management, Dr Helmut Panke, said: 'We are expecting the premium segments once again to develop better in 2003 than the mass segments.'
The manufacturer described 2003 as one of its most important product years ever.
A spokesman said: 'The newly-developed Rolls-Royce brand will be expanding the company's premium portfolio in the absolute top segment - which means that the BMW Group is represented in the premium sector with three brands for the first time. The Rolls-Royce Phantom is the curtain-raiser for the largest product offensive that the BMW Group has ever undertaken within a year.
'Within the BMW brand, the new 5-series will be launched. In addition, two completely new model series will be presented with the X3 and the 6-series coupe.'
The firm will also be busy with the launch of updated 3-series variants, a diesel Mini for Europe and the Z4 sports car.
Panke added: 'With our clearly expanded product range, we intend to increase sales by 40% by the year 2008 to 1.4 million vehicles.'