BMW Group (BMW) Q4 2025 earnings summary

Executive summary

• Group earnings before tax exceeded €10 billion in 2025, with a stable EBT margin of 7.7% and net profit above €7 billion, supported by disciplined cost management and resilient profitability.

• Delivered 2,463,681 vehicles worldwide, a 0.5% increase year-over-year, with BEV sales reaching 442,056 units (17.9% of total), marking a new all-time high.

• Maintained strong balance sheet, enabling consistent dividend payouts and share buybacks.

• Strategic focus on electrification, digitalization, and sustainability, with significant investments in battery technology and production footprint.

• Successfully launched Neue Klasse with the BMW iX3, exceeding demand expectations and marking a pivotal strategic milestone.

Financial highlights

• Group revenues totaled €133,453 million in 2025, down 6.3% year-over-year, mainly due to currency effects and pricing pressure.

• Group EBT for 2025 was €10.97 billion, with an EBT margin of 11.0%, and net profit of €7,451 million.

• Automotive EBIT margin was 5.3% (down from 6.3% in 2024), within the 5–7% target range; free cash flow in the automotive segment reached €3.24 billion.

• R&D expenditure in 2025 was €8.3 billion, down 8.4% year-on-year, with a ratio of 5.0%; CapEx ratio reduced to 5.4%.

• Dividend payout proposed at €4.40 per ordinary share, with total shareholder return close to €4 billion including buybacks.

Outlook and guidance

• Global deliveries in 2026 are forecast to remain at 2025 levels, with stable sales in China and some growth in Europe and the US.

• Automotive EBIT margin in 2026 expected between 4%-6%, with ROCE in automotive at 6%-10%; Financial Services RoE projected at 13–16%.

• Group earnings before tax anticipated to be moderately lower in 2026 due to tariffs, currency, and raw material effects; free cash flow in automotive expected above €4.5 billion.

• Continued focus on cost discipline, leveraging flexibility, and rolling out Neue Klasse technologies across the portfolio.