BMW Group (BMW) Q1 2026 (Q&A) earnings summary

Executive summary

• Q1 EBT was €2,348 million with a 7.6% margin; group revenues declined 8.1% year-over-year to €31,007 million amid challenging markets.

• Automotive EBIT margin was 5.0%, within full-year guidance, while Automotive free cash flow rose 88.1% to €777 million.

• Global deliveries fell 3.5% to 565,780 vehicles; BEVs accounted for 15.5% of deliveries, while European all-electric order intake rose over 60%.

• Full-year 2026 outlook was confirmed, with Automotive and Motorcycles deliveries expected at prior-year levels.

Financial highlights

• Group net profit declined 23.1% to €1,672 million; earnings per share fell 20.7% to €2.68.

• Automotive EBIT was €1.3 billion, versus €2.0 billion in Q1 2025; margin was 5.0%, down from 6.9%.

• Automotive revenue fell 7.0% to €27,159 million; FX-adjusted decline was 2.9%.

• Financial Services profit before tax fell 41.4% to €381 million; Motorcycles EBIT rose 17.1% to €89 million.

• Cost of sales and administrative and sales expenses declined; cost savings, improved manufacturing efficiency and lower warranty costs supported results.

Outlook and guidance

• FY 2026 Automotive EBIT margin guidance remains 4%-6%, with ROCE at 6%-10%; no commitment to a specific point in the margin range.

• Automotive and Motorcycles deliveries are expected at prior-year levels; Motorcycles EBIT margin guidance is 4%-6% and ROCE 10%-14%.

• Group profit before tax is projected to decrease moderately; Financial Services ROE guidance is 13%-16%.

• Tariffs are expected to reduce Automotive EBIT margin by 1.25 percentage points; currency, raw material and China pricing pressures remain.

• Cost and fixed-cost reductions will continue through 2026-2028; guidance remains unchanged despite a more cautious China outlook.