BMW Group (BMW) Q2 2025 (Q&A) earnings summary

Executive summary

• Full-year guidance for volume growth and 5–7% margin is reaffirmed, with strong performance in Europe and the Americas offsetting softness in China and ongoing tariff impacts.

• Group pre-tax earnings (EBT) reached €5.7 billion in H1 2025, with an EBT margin of 8.5%, demonstrating resilience amid challenging market conditions.

• Electrified vehicles (BEV and PHEV) accounted for 26.4% of deliveries, with BEV share rising to 18.3% in the first half.

• Automotive Segment EBIT margin stood at 6.2% in H1, within the upper half of the 5–7% forecast range.

• MINI reported significant growth of 17.4% in deliveries, while BMW M models achieved record half-year sales.

Financial highlights

• Group revenues for H1 2025 totaled €67,685 million, down 8.0% year-over-year, mainly due to currency headwinds and subdued demand in China.

• Net profit for H1 2025 was €4,015 million, a 29.0% decrease year-over-year.

• Automotive Segment EBIT was €3,626 million, down 32.8% year-over-year; EBIT margin was 6.2%.

• Free cash flow in Automotive Segment: €2,345 million for H1, up 2.4% year-over-year.

• Earnings per share (common): €6.23 for H1, down 26.5% year-over-year.

Outlook and guidance

• Full-year guidance for slight volume growth and 5–7% margin remains intact, with management confident in achieving targets despite market volatility.

• Automotive Segment EBIT margin forecasted within 5.0–7.0%; Group EBT expected to be on par with previous year.

• ROCE for Automotive Segment projected at 9–13%; Financial Services RoE at 13–16%.

• Free cash flow is expected to be higher in H2 than H1, supported by lower CapEx and favorable working capital seasonality.

• Tariff impact for the full year is estimated at 1.25 percentage points, with ongoing efforts to mitigate through pricing and industrial optimization.