Munich. The Neue Klasse is providing strong momentum for fully-electric vehicle sales: Two million BEVs have been handed over to customers since sales of the very first BMW i3 launched in late 2013. Including plug-in hybrids, a total of around 3.5 million electrified vehicles have been delivered to customers worldwide since 2013. In the first half of 2026, more than one in every four vehicles sold was electrified.

 “Selling two million BEVs underlines how BMW and MINI models are winning over customers worldwide. In Europe, the positive development has continued since the market launch of the BMW iX3*, and we will soon be reaching the milestone of 100,000 new orders. This shows the tremendous importance of the Neue Klasse for the ongoing ramp-up of electromobility at the BMW Group,” says Jochen Goller, member of the Board of Management of BMW AG responsible for Customer, Brands, Sales.

In the second quarter of 2026, European sales of BEV vehicles climbed steeply as availability of the BMW iX3 increased, with the company recording 38% growth to 81,445 units. In the first half of 2026, fully-electric vehicles accounted for around 28% of total sales on the company's home continent. Since the world premiere of the BMW iX3, one in three fully-electric BMW vehicles ordered in Europe has been a BMW iX3. Within the X3 family, one out of every two vehicles ordered is already a fully-electric iX3.

The two-millionth fully-electric vehicle, a BMW i5 M60 xDrive*, was produced at Plant Dingolfing and delivered to a customer in Spain. BMW Group Plant Munich began series production of the new BMW i3 in August. High demand is leading to a steep ramp-up curve at the plant. “The second Neue Klasse model, the BMW i3, is already seeing strong demand since orders opened ahead of its market launch,“ Goller continued.

With its wide range of BEVs and plug-in hybrids, the BMW Group is ideally equipped to meet customers’ growing needs and continue to offer innovative, high-quality electric vehicles. The BMW Group laid the foundation for this more than 50 years ago as an e-mobility pioneer.

If you have any questions, please contact:

BMW Group Corporate Communications

Lennart Wermke, Communications BMW Group Financial Services

Telephone: +49 151 601 980 96

Email: lennart.wermke@bmwgroup.com  

Max-Morten Borgmann, head of Communications BMW Group, Finance, Sales

Telephone: +49 89 382-24118

Email: max-morten.borgmann@bmwgroup.com

Media website: https://newsroom.bmwgroup.com/global/en

Email: unternehmenskommunikation@bmwgroup.com

The BMW Group

With its four brands, BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2025, the BMW Group sold 2.46 million passenger vehicles and more than 202,500 motorcycles worldwide. The profit before tax in the financial year 2025 was € 10.2 billion on revenues amounting to € 133.5 billion. As of 31 December 2025, the BMW Group had a workforce of 154,540 employees.

The economic success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key element of the BMW Group’s corporate strategy and covers all products – from the supply chain through production to the end of their useful life. 

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

Munich. The BMW Group is maintaining a clear course in an increasingly competitive environment: Faced with a significant downturn in the Chinese market and an increasingly challenging operating environment worldwide, the company is accelerating and intensifying consequently measures to tackle enduring changes in the operating environment. As an initial and decisive step, the BMW Group has reached an agreement with the Works Council on an extensive workforce restructuring program including voluntary severance packages.

“The automotive industry is faced with rapidly escalating challenges – intense global competition, increasing regional regulatory requirements and the implications of geopolitical conflicts will shape our business model in the years ahead. That’s why it’s important to be lean and agile,” said Milan Nedeljković, Chairman of the Board of Management of BMW AG. “We are working to reshape our organisation and processes, thereby positioning the company to stay competitive going forward.”

In the second quarter, the sharply negative market development in China, intensified competition, particularly in the Asia-Pacific region, and the consequences of the continuing conflict in the Middle East clearly impacted the BMW Group’s business performance. Group pre-tax earnings (EBT) came in at €1,697 million (-35.1%) with an EBT margin of 5.4%; in H1, it was 6.5% (H1: €4,045 million; -29.4%). The EBIT margin in the Automotive Segment was 2.3%. Free cash flow in the segment totalled €513 million (-73.4%).

Global deliveries down slightly year-on-year; growth in Europe and the US

The BMW Group delivered a total of 1,156,727 BMW, MINI and Rolls-Royce vehicles to customers worldwide in the first six months of the year (2025: 1,207,594 vehicles/-4.2%; in Q2: 590,947 vehicles/-4.9%).

The company reported growth in the first half of the year in the Sales Region Europe and in the USA (Europe: +5.4%; USA: +3.9%). Growth in both regions increased further in the second quarter (Europe: +7.6%; USA: +11.9%).

In the Sales Region China, the negative trend accelerated during the reporting period. The BMW Group also recorded a significant decrease in deliveries (H1: 261,773 units/-20.4%; Q2: 117,815 units/-30.2%).

MINI brand deliveries increased significantly during the reporting period, with growth of +17.1% and 81,032 vehicles delivered in the second quarter (2025: 69,223 vehicles/+17.1%; H1: 149,535 units; 2025: 133,838 units/+11.7%). Its fully-electric models contributed to this sales growth: Accounting for 36.9% of the brand’s total deliveries, more than one in every three MINIs sold in the first six months was fully electric (2025: 34.3%).

The BMW Group delivered a total of 116,807 fully-electric vehicles between April and June (2025: 111,070 vehicles/+5.2%, H1: 204,295 vehicles/-7.4%). As a result, nearly one in five vehicles delivered was fully electric (19.8%). In the Sales Region Europe, the positive sales performance continued following the launch of the BMW iX3* in early March: In the second quarter of 2026, total BEV sales in this region reached 81,500 vehicles, an increase of 37.9% compared to the previous year. Nearly one in three new vehicles delivered was fully electric (31.3%/2025: 24.4%).

Demand for the Neue Klasse continues to grow with every new model introduced: The BMW iX3, the first model of the Neue Klasse, is fully on track to reach the milestone of 100,000 orders since its sales launch.

The second Neue Klasse model, the BMW i3, has equally recorded strong demand immediately following the start of the early ordering phase for the Launch Edition in June. Since their world premieres, the BMW 7 Series and the all-new BMW X5 have received extremely positive feedback. The new X5 will make the technologies of the Neue Klasse available in five drive train variants to deliver on different customer requirements worldwide.

“With the Neue Klasse and its technologies, we are bringing a strong product portfolio to market – innovative and at the forefront of technology. Customer feedback has been excellent, and demand remains consistently strong,” said CEO Nedeljković.

Lower Group revenues year-on-year – cost reduction achieved

For the first six months of 2026, the BMW Group reported revenues of €62,266 million (2025: €67,685 million/-8.0%,adjusted for currency translation effects -6.1%; Q2: €31,259 million (2025: €33,927 million/-7.9%, adjusted for currency translation effects -7.8%). Increased competitive pressure and lower sales volumes impacted the year-on-year comparison.

Research and development expenditure was further reduced, as planned, declining moderately year-on-year to €3,714 million in the first six months (H1 2025: €4,020 million/-7.6%; Q2: €1,959 million; 2025: €2,036 million/-3.8%). 

As planned, capital expenditure was also significantly lower, amounting to €1,900 million for the first half of the year and €1,277 million in the second quarter (H1 2025: €2,736 million/-30.5%; Q2 2025: €1,534 million/-16.7%). The capex ratio for the first half-year came in at 3.1% (2025: 4.0%; Q2: 4.1%; Q2 2025: 4.5%).

As planned, the BMW Group also achieved a further moderate reduction in sales and administrative expenses, with costs declining to €4,777 million for the year to the end of June (2025: €5,089 million/-6.1%; Q2: €2,509 million; 2025: €2,700 million/-7.1%).

“Competition in the global automotive market has sharpened noticeably. Following cost savings of €2.5 billion last year, we are intensifying and accelerating our efficiency measures while implementing targeted structural measures. Our goal is to reduce complexity and establish a sustainably lower cost base,” said Walter Mertl, Member of the Board of Management responsible for Finance. “The targeted use of digitalisation and artificial intelligence is already generating positive momentum across all areas of the company. For example, within our Development division, we use industrial data combined with artificial intelligence to achieve shorter cycles in virtual vehicle validation, therefore unlocking greater data-driven value creation.”

Group half-year EBT margin at 6.5%

Group earnings before tax for the reporting period were significantly lower than the previous year, totalling €4,045 million (2025: €5,727 million/-29.4%; Q2: €1,697 million; 2025: € 2,614 million/-35.1%). The EBT margin for the first half of 2026 stood at 6.5% (2025: 8.5%/-2.0 percentage points/Q2: 5.4%; 2025: 7.7%/-2.3 percentage points).

In the Automotive Segment, lower sales volumes and intense competition weighed on revenue performance. During the first six months, Automotive Segment revenues declined moderately year-on-year to €54,321 million (2025: €58,654 million/-7.4%, adjusted for currency translation effects -5.4%; Q2: €27,162 million/2025: €29,443 million/-7.7%, adjusted for currency translation effects -7.8%).

Earnings before financial result (EBIT) for the first half of the year amounted to € 1,974 million (2025: €3,626 million/-45.6%; Q2: € 629 million; 2025: €1,602 million/-60.7%). Compared with the same period of the previous year, earnings were impacted by the negative market development in China, increased depreciation and amortisation, as well as currency and commodity headwinds, which could only be partially offset by cost reductions. 

The EBIT margin for the second quarter came in at 2.3% (Q2 2025: 5.4%; H1: 3.6%; 2025: 6.2%). This includes headwinds of around 1.25 percentage points from expenses related to import duties (USA, EU), as well as around 1.2 percentage points from depreciation and amortisation of BBA assets resulting from the purchase price allocation.

Free cash flow of €1,290 million in first half-year

The Automotive Segment’s free cash flow for the first six months totalled €1,290 million (2025: €2,345 million/-45.0%; Q2: €513 million; 2025: €1,932 million/-73.4%). A free cash flow of >€2.5 billion is projected for the full year.

Financial Services Segment sees growth in new contracts

In the Financial Services Segment, the number of new financing and leasing contracts increased by 5.0% to 866,088 contracts (2025: 824,672 contracts; Q2: 445,876 contracts; 2025: 421,861 contracts/+5.7%).

The penetration rate rose to 52.9% (2025: 43.7%; Q2: 54.2% (2025: 44.4%).

For the year to the end of June, the segment reported profit before tax (PBT) of € 1,008 million (2025: €1,192 million/-15.4%). The year-on-year decline was attributable to an increase in the provision for a UK customer compensation programme in the first quarter. In the second quarter, substantially due to the higher portfolio volume and the resulting increase in interest income, Financial Services reported a significantly higher profit before tax of €627 million (2025: €542 million/+15.7%).

Guidance for 2026 confirmed

Against the backdrop of the challenges outlined above, the BMW Group confirms its guidance for the financial year 2026:
Slight decline in Automotive Segment deliveries compared to the previous year

• Automotive Segment EBIT margin: within the range of 1–3%
• Group earnings before tax: significant decrease
• Automotive Segment RoCE: within the range of 1–5%
• Return on equity (RoE) in the Financial Services segment: 13-16%
• Motorcycles segment: deliveries expected in line with previous year; EBIT margin expected within a corridor of 4.0–6.0% and RoCE within a corridor of 10–14%

The BMW Group’s actual business performance may deviate from the expectations outlined above – for example, due to changes in political and macroeconomic conditions.

** As of 1 January 2025, the forecast range for Group EBT has been adjusted. For details, please refer to the glossary in the BMW Group Report 2024.

GLOSSARY – explanatory comments on key performance indicators

Deliveries to customers

A new or used vehicle is recorded as a delivery once it is handed over to the end user (which also includes leaseholders under lease contracts with BMW Financial Services). In the US and Canada, end users also include (1) dealers when they designate a vehicle as a service loaner or demonstrator vehicle and (2) dealers and other third parties when they purchase a company vehicle at auction and dealers when they purchase company vehicles directly from the BMW Group. Deliveries may be made by BMW AG, one of its international subsidiaries, a BMW Group retail outlet, or independent third-party dealers. The vast majority of deliveries – and hence the reporting of deliveries to the BMW Group – is made by independent third-party dealers. Retail vehicle deliveries during a given reporting period do not correlate directly to the revenues that the BMW Group recognises in respect of that particular reporting period.

Payout ratio

The payout ratio is preliminary. Although the Board of Management and the Supervisory Board will propose a fixed dividend per share at the Annual General Meeting, the number of shares entitled to a dividend is expected to fall by the Annual General Meeting due to the ongoing share buy-back programme. Accordingly, the total amount to be distributed to shareholders is also still expected to change by 13 May.

EBIT

Profit before financial result. Profit before financial result comprises revenues less cost of sales, less selling and administrative expenses and plus/minus net other operating income and expenses.

EBIT margin

Profit/loss before financial result as a percentage of revenues.

EBT

EBIT plus financial result.

PHEV

Plug-in-hybrid electric vehicle - hybrid vehicle with petrol engine and electric drive.

If you have any questions, please contact:

BMW Group Corporate Communications

Dr Britta Ullrich, Finance Communications

Telephone: +49 89 382-18364

Email: britta.ullrich@bmwgroup.com

Max-Morten Borgmann, head of Communications BMW Group, Finance, Sales

Telephone: +49 89 382-24118

Email: max-morten.borgmann@bmwgroup.com

Media website: https://newsroom.bmwgroup.com/global/en

Email: presse@bmwgroup.com

The BMW Group

With its four brands, BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2025, the BMW Group sold 2.46 million passenger vehicles and more than 202,500 motorcycles worldwide. The profit before tax in the financial year 2025 was € 10.2 billion on revenues amounting to € 133,5 billion. As of 31 December 2025, the BMW Group had a workforce of 154,540 employees.

The economic success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key element of the BMW Group’s corporate strategy and covers all products – from the supply chain through production to the end of their useful life. 

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

Munich. The first half of the year presented a mixed picture: While the market in China and the countries of the Asia-Pacific region saw a significant decline in the first six months of the year, the BMW Group increased its sales in Europe and the US. In Europe, sales rose by around +5.4%. In the US, the company recorded growth of +3.9%, where the BMW brand is outperforming the overall market. In the first half of 2026, the BMW Group delivered a total of around 1.15 million vehicles to customers worldwide, representing a slight decline in sales (-4.2%).

“Despite challenges worldwide, we achieved positive sales results in the US and Europe,” said Jochen Goller, member of the Board of Management of BMW AG responsible for Customer, Brands, Sales. “The Neue Klasse continues to show strong momentum. With the BMW iX3*, we are on track to reach the next major milestone of 100,000 new orders. The second Neue Klasse model, the BMW i3, is already seeing strong demand since orders opened ahead of its launch.”

With the start of delivieries of the new BMW iX3, sales of fully-electric vehicles showed a positive trend in the second quarter.The BMW Group delivered 116,807 BMW and MINI fully-electric vehicles to customers between April and June 2026 (+5.2%). Particularly in the European market, where the BMW iX3 was available first, BEV sales rose sharply. With 81,445 units delivered in the second quarter, the company recorded double-digit growth of +38.0% across Europe. In Germany, BMW rose to second place in Q2 for registrations of fully electric vehicles.

The BMW brand delivered around one million vehicles to customers in the first half of the year (-6.2%). The BMW brand recorded growth in both Europe (+1.5%) and the US (+4.7%). In the USA, growth was primarily driven by the BMW X models. The new BMW X5 was also unveiled there in late June, with its market launch expected to generate positive sales momentum worldwide. During the same period, BMW M GmbH delivered 99,595 vehicles to customers (-6.0%).

With a total of 149,538 vehicles sold, the MINI brand posted a significant year-on-year increase of +11.7%, marking its sixth consecutive quarter of growth. MINI’s fully-electric models experienced strong global demand and were the brand's primary growth driver. The Rolls-Royce brand handed over 2,523 vehicles to customers in the first half of 2026 (-9.8%). In the first six months of the year, BMW Motorrad delivered a total of 102,847 motorcycles and scooters (-2.9%).

BMW Group sales in Q2/YTD June 2026 at a glance

¹ BEVs and PHEVs                                                                                   

BMW & MINI sales in the regions/markets

² Provisional registration figures

³ Asia-Pacific, Eastern Europe, Middle East, Africa

The delivery figures reported in this press release are provisional and may change up until the BMW Group Report 2026 is published. Notes on how delivery figures are prepared can be found in the BMW Group Report 2025 on p. 427.

BMW Group Corporate Communications

Carolin Bachmann, Communications Sales

Telephone: +49 151 601 38801

Email: carolin.bachmann@bmwgroup.com  

Max-Morten Borgmann, Head of Communications BMW Group, Finance, Sales

Telephone: +49 89 382-24118

Email: max-morten.borgmann@bmwgroup.com

Media website: https://newsroom.bmwgroup.com/global/en

Email: presse@bmwgroup.com

The BMW Group

With its four brands, BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2025, the BMW Group sold 2.46 million passenger vehicles and more than 202,500 motorcycles worldwide. The profit before tax in the financial year 2025 was € 10.2 billion on revenues amounting to € 133.5 billion. As of 31 December 2025, the BMW Group had a workforce of 154,540 employees.

The economic success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key element of the BMW Group’s corporate strategy and covers all products – from the supply chain through production to the end of their useful life. 

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

X: https://www.x.com/bmwgroup

Munich / San Francisco, April 29, 2026 –BMW i Ventures today launched its third fund, putting $300 million behind a clear premise: that AI will fundamentally reshape how the automotive industry operates and creates value across its entire ecosystem. Fully backed by the BMW Group, Fund III will focus on physical AI, agentic AI, industrial software, manufacturing technologies, supply chain technologies and advanced materials. The fund will invest across North America and Europe, from Seed through Series B. The launch brings BMW i Ventures’ total capital under management to $1.1 billion.

“With BMW i Ventures, we are investing in technologies that will shape the future of our industry. Our corporate venture capital activities play a key role in our innovation strategy, complementing our internal R&D and building strategic partnerships across the entire automotive value chain”, said Oliver Zipse, CEO of BMW Group. “BMW i Ventures is launching the third fund at the perfect time: AI has shown its tremendous potential to transform products, operations, and entire value chains. Through BMW i Ventures and Fund III, we are best prepared to leverage these opportunities: We can anticipate shifts early, act quickly and efficiently on innovations, and remain at the forefront of our industry.”

AI as Operating Layer of the Automotive World

BMW i Ventures will focus on agentic AI, AI-native enterprise applications that automate complex workflows in industrial environments, and physical AI that enables robots and autonomous machines to perceive, plan and act safely in the real world. As AI unlocks step-function improvements in productivity, decision-making and speed of execution, the fund will back innovations across the automotive value chain in automation, engineering, and manufacturing, from highly specific production optimization to platforms that enable connected and intelligent operations across industrial networks.

“With Fund III, we’re backing the founders who are turning AI into an industrial advantage, on the factory floor, in logistics networks and across global supply chains,” said Marcus Behrendt, Managing Partner at BMW i Ventures. “The new fund sharpens our focus for a world where AI-native software, robotics, and materials innovation will define the next generation of suppliers.”

“AI is quickly becoming part of the operating system of the modern enterprise,” added Kasper Sage, Managing Partner at BMW i Ventures. “We’re particularly interested in AI that can execute workflows end-to-end, driving real ROI through autonomous systems. That’s where productivity gains have real business impact.”

Advanced Materials and Circular Supply Chains

For BMW i Ventures, circularity remains a core investment pillar that supports industrial resilience and helps reduce exposure to constrained or geopolitically sensitive supply chains for critical materials. Fund III will continue to back next-generation materials innovations and technologies designed to advance circular industrial systems across product design, manufacturing processes, and supply chains. This includes technologies that support recycling and recovery of critical materials, circular manufacturing processes, and new materials that combine performance improvements with more efficient resource use.

“Circularity is not only about reducing emissions, it’s about securing access to raw materials and reducing exposure to constrained supply chains,” said Behrendt. “The new fund’s focus on AI expands the toolkit for sustainability rather than replacing it.”

Building on More Than a Decade of Experience

Since 2011, BMW i Ventures has invested in more than 90 companies and realized more than 30 exits. This track record includes successes like GaN Systems (acquired by Infineon for $830 million) and 11 portfolio companies that have gone public, such as Kodiak, Chargepoint, and Xometry. Active portfolio highlights include Skylo, a specialist in satellite connectivity; Embotech, a provider of autonomous driving solutions for industrial logistics; Tekion, an AI-native automotive retail platform; Rive, an interactive UI design and animation engine; and Synera, an AI agent platform for engineering.

Long-Term Commitment to Venture Investing

Through BMW i Ventures, the BMW Group gains early access to strategically relevant innovations while building insight into emerging trends and disruptions across global technology ecosystems. This helps strengthen BMW’s long-term competitiveness and supports the integration of new technologies into future vehicles, production systems, and digital services.

BMW i Ventures’ first fund has already returned significant capital, with positive DPI (Distributed to Paid-In capital), and Fund II is nearing the end of its initial investment period with over 30 portfolio companies. Fund III builds on the first two funds and is structured to lead investment rounds while maintaining its footprint in the United States and Europe. The new fund has the capacity to back AI-native companies as early as the seed stage, reflecting how quickly AI-first companies can now be built and scaled. Operating with the independence and speed of a traditional venture firm, BMW i Ventures is structured to identify and back emerging technologies well before they reach the mainstream.

About BMW i Ventures
BMW i Ventures is the independent venture capital fund of the BMW Group, based in Silicon Valley and Munich. BMW i Ventures invests in companies that are shaping the future of the automotive industry, manufacturing, and the supply chain, focusing on physical AI, agentic AI, AI-native enterprise and industrial software. BMW i Ventures invests in startups in all phases across North America and Europe, from seed to growth stage, with an emphasis on Series A and B. Since 2011, BMW i Ventures has invested in more than 90 companies, including GaN Systems, Kodiak, Chargepoint, Xometry, Skylo, Embotech, Tekion, Rive and Synera. The firm's total capital under management is $1.1 billion.

For more information, visit www.bmwiventures.com

BMW Group Corporate Communications

Dr Britta Ullrich, Finance Communications

Telephone: +49 89 382-18364

Email: britta.ullrich@bmwgroup.com

Media Contact BMW i Ventures
PIABO PR GmbH
Janice Sommer
Senior VC Communications Consultant
Telefon: +49 172 417 9441
E-Mail: bmwiventures@piabo.net

Munich. Continuity and experience at the helm of the Group: At the end of today, Oliver Zipse will hand over the position of Chairman of the Board of Management of BMW AG to Dr.-Ing. Milan Nedeljković. Zipse is concluding his tenure on the Board of Management as planned after a total of 35 years with the company.

The entire Supervisory Board of the company expresses its sincere gratitude to Oliver Zipse for his outstanding contributions to the BMW Group. During his tenure, he strategically realigned the company and successfully guided the BMW Group through global crises such as the COVID-19 pandemic.

“Through his strategic leadership and long-standing commitment, Oliver Zipse has shaped the development of the BMW Group. His name will be closely associated with the NEUE KLASSE, as BMW’s central future-oriented project,” says Supervisory Board Chairman Dr. Nicolas Peter. “Oliver Zipse has always taken a clear stance, even in the face of external resistance, thereby keeping the company strategically on course during volatile times.”

“For more than 35 years, the BMW Group has been my professional home. I am leaving with a deep sense of gratitude: for the trust that was placed in me, for the professional challenges that have taken me to various areas in the company; and above all, for an exceptional team that is shaping the mobility of the future with passion and a pioneering spirit. It has been a great honour for me to lead the BMW Group as Chairman of the Board of Management for seven years”, says Oliver Zipse, Chairman of the Board of Management of BMW AG.

His successor, Milan Nedeljković, has been a member of the Board of Management of BMW AG since 2019 and has been responsible for Production. The 57-year-old began his professional career with the company in 1993 as a trainee and has extensive international experience. Nedeljković held various management positions, including at the Oxford, Leipzig and Munich plants, as well as Head of Corporate Quality. His contract as Chairman of the Board of Management runs through 2031.

Dr. Nicolas Peter: “Milan Nedeljković impresses with entrepreneurial thinking and a consistent goal-oriented approach, as well as a clear focus and stringent execution of complex issues. He places great importance on the responsible use of resources, whether economic or ecological.”

Milan Nedeljković says: “With the NEUE KLASSE, we are bringing a generation of vehicles to the road that sets technological and emotional benchmarks. Our product momentum is outstanding. Together with our global footprint, this gives us a tailwind. In a dynamic environment, consistent and entrepreneurial action is required. Profitability and speed are crucial. I look forward to leading this extraordinary company into the future.”

Dr. Raymond Wittmann (47) will succeed him as Board Member for Production effective 14 May. He has been with the BMW Group since 2015 and has been responsible for Corporate Strategy and Development since 2024. Prior to this, he held several management positions in various corporate divisions.

“Raymond Wittmann combines strategic thinking with operational excellence and sound business management,” says Dr. Nicolas Peter. “With his broad, cross-divisional experience and international perspective, he possesses the key qualities required to lead the Production division.”

As part of today’s Annual General Meeting, the Supervisory Board will propose that Dr. Christian Bruch, Chairman of the Executive Board of Siemens Energy AG, be re-elected to the Supervisory Board for a term of four years. The term of office of Mr Heinrich Hiesinger, former Chairman of the Executive Board of ThyssenKrupp AG, will end with the close of today’s Annual General Meeting.

Following the 106th Annual General Meeting of BMW AG, a separate meeting of the preferred shareholders will be held today. It is to decide on the approval of converting all preferred shares into ordinary shares.

If you have any questions, please contact:

BMW Group Corporate Communications

Max-Morten Borgmann, head of Communications BMW Group, Finance, Sales

Telephone: +49 89 382-24118

Email: Max-Morten.Borgmann@bmwgroup.com

Dr. Dominic Stoiber, Communications BMW Group, Finance, Sales

Telephone: +49 151 601-51137

Email: Dominic.Stoiber@bmw.de

Lennart Wermke, Communications BMW Group Financial Services

Telephone: +49 151 601-98096

Email: Lennart.Wermke@bmwgroup.com

Media website: https://newsroom.bmwgroup.com/global/en

Email: presse@bmwgroup.com

The BMW Group

With its four brands, BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2025, the BMW Group sold 2.46 million passenger vehicles and more than 202,500 motorcycles worldwide. The profit before tax in the financial year 2025 was € 10.2 billion on revenues amounting to € 133,5 billion. As of 31 December 2025, the BMW Group had a workforce of 154,540 employees.

The economic success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key element of the BMW Group’s corporate strategy and covers all products – from the supply chain through production to the end of their useful life. 

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

Munich. Driven by very strong customer interest in the first Neue Klasse model, the BMW iX3*, the BMW Group recorded a significant increase in incoming orders for fully-electric vehicles in Europe in the first quarter of 2026. From January to March, new BEV orders rose by around 40% year-on-year. The BMW Group also reported higher orders across all drivetrain technologies in the region compared to the previous year. 

“We are seeing exceptionally strong demand for the new BMW iX3. With well over 50,000 new orders since ordering opened in Europe, customer interest in the BMW iX3 is exceeding our high expectations. More than half of the BMW X3s ordered are already fully electric,” said Jochen Goller, member of the Board of Management of BMW AG responsible for Customer, Brands, Sales. “The strong demand for the BMW iX3 underlines the quantum leap in technology we are making with the Neue Klasse. We are also receiving extremely positive feedback on the recently revealed second model of the Neue Klasse, the BMW i3,” Goller added.

Across all drivetrain technologies, the BMW Group delivered a total of 565,748 BMW, MINI and Rolls-Royce vehicles to customers in the first quarter of this year (-3.5%). Demand for models with internal combustion engines remained slightly above the high level of the previous year. The BMW Group achieved significant sales growth in its domestic market of Germany, with 68,022 units delivered (+10.7%). In China, BMW Group sales outperformed the overall strong market decline.

The first BMW iX3s were delivered to customers in Europe in March. Although the ramp-up of the first Neue Klasse model has only just begun, sales of fully-electric vehicles in Europe in the first quarter of 2026 already exceeded the high level recorded in the same period of last year. In the first quarter, the BMW Group delivered 87,458 fully-electric vehicles to customers worldwide (-20.1%). In the US, the discontinuation of BEV incentives impacted the entire market. At the same time, demand for BMW models with internal combustion engines increased. In an overall challenging market environment, the BMW Group was able to hold its ground well and is confident that the attractive, technology-neutral product portfolio as well as the worldwide availability of the Neue Klasse models will generate an increasingly positive momentum.

The BMW brand delivered a total of 496,050 vehicles to customers worldwide in the first quarter (-4.6%). Following last year’s all-time high, BMW M GmbH sales for the first three months of the year totalled 47,544 units (-5.9%). For the fifth consecutive quarter, MINI increased its global sales year-on-year. With 68,427 units delivered, the brand recorded growth of +5.9%. In the Europe sales region, MINI achieved a significant increase in BEV sales. The Rolls-Royce brand delivered 1,271 vehicles to customers in the first quarter (-8.0%). During the same period, BMW Motorrad sold 42,735 motorcycles and scooters (-4.2%).

BMW Group sales Q1 2026 at a glance

¹BEVs and PHEVs                                                                                   

BMW & MINI sales in the regions/markets

²Provisional registration figures

³Asia-Pacific, Eastern Europe, Middle East, Africa

The delivery figures reported in this press release are provisional and may change up until the BMW Group Report 2026 is published. Notes on how delivery figures are prepared can be found in the BMW Group Report 2025 on p. 429.

BMW Group Corporate Communications

Dr Sina Unger, Communications Sales

Telephone: +49 89 382-47564

Email: sina.unger@bmwgroup.com

Carolin Bachmann, Communications Sales

Telephone: +49 89 382-38801

Email: carolin.bachmann@bmwgroup.com  

Max-Morten Borgmann, head of Communications BMW Group, Finance, Sales

Telephone: +49 89 382-24118

Email: max-morten.borgmann@bmwgroup.com

Media website: https://newsroom.bmwgroup.com/global/en

Email: presse@bmwgroup.com

The BMW Group

With its four brands, BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2025, the BMW Group sold 2.46 million passenger vehicles and more than 202,500 motorcycles worldwide. The profit before tax in the financial year 2025 was € 10.2 billion on revenues amounting to € 133,5 billion. As of 31 December 2025, the BMW Group had a workforce of 154,540 employees.

The economic success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key element of the BMW Group’s corporate strategy and covers all products – from the supply chain through production to the end of their useful life. 

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

Statement 

Walter Mertl

Member of the Board of Management of BMW AG, Finance

Annual Conference 2026

BMW Welt in Munich , 12 March 2026, 08.00 a.m.

Good morning,

Ladies and Gentlemen,

For the BMW Group, 2025 was marked by fully leveraging our operating model to deliver solid results in the face of a challenging environment.

The year was heavily impacted by tariffs, developments on currency markets, especially in the second half of the year, as well as the intense market situation in China.

In the face of these headwinds:

• we executed consistently on our strategy and took advantage of our flexible global structures.
• we balanced sales across our regions and our brands.
• we reduced R&D and capex thanks to early investments in the NEUE KLASSE; and
• we drove further cost reductions across the entire company.

With this, we were able to deliver on major KPIs in our operational business:

• a stable Group-EBT margin of 7.7% – the same as 2024 – with Group earnings of more than 10 billion euros;
• volume growth to 2.46 million Group vehicles;
• the continuation of our electrification story with an increase in BEV share to almost 18% and xEV share to over 26% of total sales;
• an electrified share in Europe of over 40%;
• a CO₂ fleet emissions figure in the European Union of 90.0 grams per kilometre – 2.9 grams below the applicable target;
• an Auto EBIT margin within our guided corridor;
• over 3 billion euros Free Cash Flow;
• and solid capital returns.

As I promised at the Annual Conference one year ago, we have addressed all aspects of cost – R&D, SG&A, manufacturing and material costs – to secure a consistent year-over-year reduction in every quarter. This amounted to an overall Auto EBIT tailwind of approximately 2.5 billion euros for the year.

With our diligent management of the business, we have been able to offset a large share of the challenges we faced. Without the full-year tariff burden of approximately 1.5 percentage points of EBIT margin, both our Group earnings as well as our Auto EBIT would have been above the previous year.

Let me now take you through our financial figures in detail.

For the full year, Group revenues totalled 133 billion euros. Earnings before Tax at Group level amounted to over 10 billion euros, as anticipated at Q3. This represents a single-digit percentage decline of 6.7%. The resulting Group EBT Margin remained stable at 7.7% for the year. Earnings per share even rose slightly year-on-year.

If we look at the breakdown of the Group performance by segment:

The Automotive Segment delivered 6.3 billion euros in earnings with an EBIT margin of 5.3%.

Motorrad EBIT reached 178 million euros with a margin of 5.7%.

Financial Services generated 2.4 billion euros in earnings before tax and a Return on Equity of 14.3%.

All three operational segments were therefore within their respective guidance corridors.

Other Entities improved to just over 1 billion euros in EBT. The positive trend after nine months continued into Q4.

And finally, Eliminations amounted to an EBT of 629 million euros. This reflects the positive development in Q4, as anticipated.

Let’s look at how the Automotive Segment performed across key metrics:

Over the course of 2025, the BMW Group sold over 2.46 million BMW, MINI and Rolls-Royce vehicles to customers worldwide, an increase of 0.5% over 2024.

Looking at the regions, we see our global model at play, as we steer effectively across geographies. As Oliver Zipse highlighted before, sales in Europe and the United States outperformed the market, delivering an increased market share and overcompensating the development in China.

We delivered a stable monthly run-rate for the BMW brand of around 50,000 vehicles throughout the entire year in China – despite the intense market environment. During the course of the year, we have taken actions to consolidate dealer structures and address pricing, which will underpin this stability in the market.

Excluding the Chinese market, global Group sales in 2025 grew by 5.9%.

Electrified vehicles are both a foundational pillar in our strategy, and also a key growth driver – thanks to our expanding portfolio of attractive products.

Oliver Zipse has already taken you through the figures in detail. But the highlights were:

• a total of 642,000 electrified vehicles delivered in 2025;
• representing solid growth of 8.2% and an overall xEV share of over 26%.
• and deliveries of all-electric vehicles of 442,000 units for a share of almost 18%.
•  

Revenues in the Automotive segment came in at nearly 118 billion euros, 5.9% below 2024. Approximately half of this decrease is due to negative currency effects. The remainder results mainly from global pricing pressure.

Let’s look at the year-on-year Automotive EBIT result in detail, coming from our previous year’s earnings.

The net balance of currency and raw material positions resulted in a headwind of 600 million euros. Negative trends in FX outweighed the slight positive effects from raw materials, particularly in the second half of the year. This adverse FX development is expected to carry into the first half of the current year, mainly in Q1.

Compared to 2024, the net effect of volume, model mix and pricing weighed on Automotive EBIT by a total of 1.8 billion euros. The overall mix effect was positive, driven notably by a strong share from the mid-class including 5 Series growth as well as a record M performance. For the full year, pricing was a significant headwind of 2 billion euros.

In line with our planning, we continued to decrease operating costs in 2025. As planned, we reduced R&D expenses following the peak in 2024 – with a nearly 800-million-euro reduction year-on-year. SG&A savings represented 900 million euros, continuing the trend from the first nine months.

Other Cost Changes amounted to a headwind of 800 million euros. This development resulted from a few areas:

On the one hand, tariffs had a negative impact of approximately 1.5 percentage points on the Auto EBIT margin. In addition, a softening market on residual values weighed on earnings. They remained positive, but lower than the previous year.

On the other hand, warranty expenses were significantly lower year-on-year, as outlined at Q3. An additional positive effect came from a high three-digit million saving in manufacturing and material costs.

Overall, we reduced costs by 2.5 billion euros for the full year through our active steering of R&D, SG&A and manufacturing and material costs. Through this, we were able to offset all headwinds except a portion of the approximately 1.5 percentage point tariff burden, resulting in a net year-on-year decrease of 1 percentage point in EBIT.

In total, segment earnings in 2025 reached 6.3 billion euros.

The reported Automotive EBIT margin came in at 5.3%. Excluding the 1.3 billion euros depreciation resulting from the PPA of BMW Brilliance Automotive, the EBIT margin reached 6.4% for the year. And that still includes the headwind of approximately
1.5 percentage points from tariffs.

As you know, our focus is consistently on our reported figures. Due to different approaches in the industry, however, consideration of PPA and Tariff burden ensures better comparability of operational performance.

Looking at R&D and Capital Expenditure in detail:

We made early investments to implement our strategy, which we see as we look at R&D and CapEx development in 2025.

Group expenditure for research and development according to the German Commercial Code for the year amounted to 8.3 billion euros. This is a decrease of nearly 800 million euros, or 8% below the peak of 9.1 billion euros in 2024. This translates to an R&D ratio of 6.2%. Given the lower revenue, the ratio only declined slightly year-on-year.

Group capital expenditure totalled 7.2 billion euros, a year-on-year decrease of over 1.8 billion euros from the peak of 9.1 billion in 2024 – or a 20% reduction. This resulted in a ratio of 5.4%. The capex ratio excluding right-of-use assets came in at 4.9%.

As promised, R&D and capital expenditure have already significantly decreased from their peak in financial year 2024. Despite the rollout of models of the NEUE KLASSE, we will maintain this trend going forward. This means in both absolute and relative terms, we’re heading back towards our strategic corridors, which are 4 to 5% for R&D and less than 5% for Capex – by 2027.

Moving to free cash flow:

Total segment earnings before tax amounted to 5.9 billion euros for the year.

Working Capital contributed positively with 900 million euros, mainly due to strict management of inventories.   

The net effect from capital expenditure and depreciation reduced free cash flow by 2.3 billion euros.

Changes to provisions had a negative impact of 1.3 billion euros, mainly due to the utilization of warranty provisions.

Following the 2.7-billion-euro figure communicated at Q3, free cash flow developed positively in Q4 and reached 3.2 billion euros at year-end. This was in line with our expectations of above 2.5 billion euros for the year.

Our financial strength is further underscored by our Automotive net financial assets. At year end, this came in at over 44 billion euros.

Let’s now turn to our Financial Services segment.

As a key component of our BMW ecosystem, the segment consistently contributes to Group profitability.

In 2025, new business developed positively throughout the year with nearly 1.73 million new financing and leasing contracts concluded. This represents growth of almost 2% year on year.

The increase is due in particular to the positive business development in Europe as well as the changed competitive environment in China in the second half of the year. Since the end of June, the market situation has been influenced by the significant reduction in commissions from local Chinese banks in connection with the brokering of financial and insurance products for end customers.

Penetration rates for lease and loan offerings increased by 4.0 percentage points to 46.6%.

Overall, new business volume at Financial Services reached an all-time high, growing by 2% to 65.8 billion euros, despite negative currency effects.

Segment earnings before tax reached 2.4 billion euros. The moderate decrease compared to 2024 is due to lower income from the resale of end-of-lease vehicles, as well as a tax payment related to changed assessments of operating taxes from previous years. Residual values remain positive, but lower than the previous year.

The credit loss ratio of 0.28% was within our expectations.

Return on Equity for the full year reached 14.3% and therefore within the guided target corridor of 13 to 16%.

Ladies and Gentlemen,

In 2025, the BMW Group achieved Group earnings before tax of 10.24 billion euros. Thanks to a stable year-on-year profit attributable to shareholders of BMW AG amounting to 7.29 billion euros, the Board of Management and the Supervisory Board will propose to the Annual General Meeting a total dividend payment of 2.67 billion euros.

The proposed dividend represents a payout ratio of 36.6%, which is consistent year-over-year and in the upper half of our strategic target range of 30 to 40%. This amounts to a dividend of 4.40 euros per share of ordinary stock and 4.42 euros per share of preferred stock.

Additionally, we completed the second share buyback program in early 2025 before starting the third program after the AGM in May. The total from both programs amounted to a payout of 1.25 billion euros in 2025. Our third share buyback program will run until April 2027. We are currently running the second tranche of this program – with a volume of 625 million euros for ordinary shares – that will be completed by August 31, 2026, at the latest. The third tranche is earmarked for after that.

For the financial year 2025, the total shareholder return of close to 4 billion euros – comprising the proposed dividend and share buyback – exceeds free cashflow in the Automotive segment. This further underscores our commitment to capital returns.

That brings me to our outlook for the current financial year.

What are our expectations for 2026?

In Europe and the USA, we see some growth potential.

In China, we have responded to the market environment by taking a number of steps to stabilise transaction prices. Average sales figures over the past few months indicate that sales in China could reach last year's level.  

Consequently, we forecast global deliveries of BMW, MINI and Rolls-Royce vehicles to be at previous year’s level. Due to model cycle effects as well as shifting regulatory and market dynamics, we also expect the share of fully electric vehicles to be at the same level as previous year.  

Turning to Auto EBIT development: we continue to work diligently on reducing costs and will see tailwinds from reduced investments, lower manufacturing and material costs, declining R&D expenditure as well as reduced SG&A in the 2026 financial year. We anticipate a negative impact of approximately 1.25 percentage points from tariffs on the Auto EBIT margin – compared to the 1.5 in 2025.

Given the significant investments made into NEUE KLASSE in preceding years, we will see a material increase in depreciation and amortization from both capex and capitalized R&D. While we will continue to make significant reductions in R&D expenditure, the additional depreciation and a lower R&D capitalization ratio, which is expected in the 30% area, will result in a significant P&L burden. Other headwinds in 2026 include FX and raw materials; the measures taken in China to stabilize transaction prices; and, finally, lower income from used car remarketing.

The reductions we will achieve on the cost side will not fully offset these headwinds. We therefore expect an Auto EBIT margin in the corridor of 4 to 6% in 2026. The corresponding RoCE in the Automotive segment is forecast to be between 6 and 10%. 

In the Financial Services segment, we again anticipate a Return on Equity of 13 to 16%.

Putting this all together, we expect Group Earnings before tax to be moderately lower than the strong result in 2025.

The full 2026 outlook for all key performance indicators is available in the BMW Group Report.

In addition, we expect a Free Cash Flow in the Automotive Segment at year-end of over 4.5 billion euros.

Ladies and Gentlemen,

For 2026, we will continue to systematically implement our strategic course, particularly with the launch of NEUE KLASSE product offensive and the rollout of its technologies across the portfolio. We will leverage flexibility in our global business model to tackle the challenging and dynamic operating environment.

At the same time, we will manage our operational business with continued focus on cost discipline. This will enable us to deliver financial results in line with our guidance and generate strong returns to shareholders.

Ladies and Gentlemen,

Let me pick back up on Oliver Zipse’s comments on sustainability and CO₂ emission reporting, before I hand back over to him.

For the BMW Group, we view sustainability holistically and as a competitive advantage. That is why we in our Annual Reporting disclose our sustainability performance fully to our investors and customers.

In line with our strategy and our commitment to the Paris Climate Agreement, the BMW Group considers the CO₂ emissions of vehicles – both for the new and existing fleet –over their entire life cycle: from raw material extraction and parts production to the manufacture of vehicles and across the use phase to end of life. We address all stages of the value chain with ambitious targets.

However, European CO₂ fleet emission regulations focus only on the use phase and do not recognize the full reduction potential along the entire value chain.

When it comes to reporting, emissions shown in sustainability statements do not always correlate to the actual generation of emissions of all vehicles on roads. For the 2025 financial year, the BMW Group reporting includes all vehicles sold in the year across their life cycle, including the CO₂ emissions from the supply chain for vehicles produced in the reporting year; from BMW Group production; from the assumed use phase of 200,000 kilometres for vehicles delivered in the reporting year based on the consumption mix of the reporting year; and from end-of-life disposal for vehicles produced in the reporting year.

However, the use phase emissions reported in line with European reporting frameworks do not consider all existing BMW Group vehicles still in use, but rather only those vehicles sold in the reported year.  

This means that the European reporting framework neglects the reduction potential of the existing vehicle fleet. Here, there is significant leverage to quickly contribute to CO₂ reductions through use of eFuels and carbon neutral fuels such as HVO100. Immediate credit should be given – starting, for example, in 2027 – for the CO₂ reductions achieved using sustainable fuels, which should not be subject to limitations, such as caps on specific gram per kilometre values.

The European regulatory frameworks should reflect this holistic approach towards reducing overall emissions in the here and now – in both the new and existing vehicle fleet.

Because ultimately, every gram of CO₂ saved counts. That is what we at the BMW Group believe and what makes a true societal impact.

I’ll now hand back over to Oliver Zipse to provide additional strategic insights for 2026 and beyond.

Statement 

Oliver Zipse

Chairman of the Board of Management of BMW AG

Annual Conference 2026

BMW Welt in Munich , 12 March 2026, 08.00 a.m.

Part I

Good morning, Ladies and Gentlemen,

2025 was, in many ways, a remarkable year for the BMW Group – above all, one that set our course for the future.

First:

We achieved a solid financial result, with Group earnings of more than 10 billion euros. Walter Mertl will provide more detail in just a moment.

Second:

We grew in 2025 – selling more vehicles than the previous year and expanding our leadership of the global premium segment.

Third:

Our technology-open strategy continued to demonstrate its strength. Demand for cars with combustion engines remained stable, while sales of our all-electric and electrified vehicles continued to grow.

Fourth:

Once again, through our own efforts, we significantly outperformed the EU’s CO₂ fleet targets for 2025.

And finally:

We successfully began the rollout of our NEUE KLASSE with the BMW iX3* – giving the BMW brand and the entire company crucial momentum for the future.

All of this shows: We deliver. Consistently. And continuously.

We have set the right course in recent years and do not need to change our strategic direction. In this way, we can keep the company on track for long-term success.

Standing here beside me is the new BMW iX3. This vehicle marks a pivotal moment in the BMW Group’s recent history: the series launch of our NEUE KLASSE.

Production of the iX3 has successfully ramped up at our new plant in Debrecen, Hungary. First customers have already received their vehicles. Since last week, the iX3 has been in European showrooms.

Demand for the iX3 is significantly exceeding our expectations, with strong orders from both private and fleet customers. We are also attracting many new customers who have never driven a BMW before.

Our order books for the iX3 are full and reach well into this year. We are exploiting the flexibility of our production and supplier network and increasing capacity in line with demand.

The NEUE KLASSE is a huge investment. Only a company that enjoys long-term economic success, like the BMW Group, can invest in its future on such a massive scale.

This success is built on three important parameters.

I like to call this the BMW Group’s strategic triangle.

First: Our balanced global positioning in sales and production.

Second: Our attractive product line-up across all brands, serving the entire premium segment.

And third: Our consistent strategic focus on technology openness.

I’ll talk about the last two points in the second part of my remarks, after Walter Mertl has spoken.

In 2025, we delivered around 2.46 million vehicles to customers worldwide – representing sales growth of 0.5 percent compared to the previous year.

This shows that our business model is robust and resilient.

In Europe, we increased our sales by more than seven percent – delivering more than one million vehicles to customers in Europe for the first time since before COVID.

We also made significant gains in the United States, with growth of five percent – even in a saturated market.

In our markets outside the main sales regions of Europe, the U.S. and China, we also posted growth despite the overall downward trend – with an increase of 3.4 percent over the previous year.

China remains our largest single market. However, due to the intense competitive market environment, our sales development fell short of our expectations for the year. Thanks to the strong overall performance in three of our four sales regions, we nevertheless achieved growth worldwide. This confirms the strength of our global footprint.

Our worldwide presence is a decisive competitive advantage.

All BMW Group brands contributed to our 2025 result.

Electrified models across all brands as well as the models from BMW M were the main growth drivers.

The BMW brand once again maintained its position as the global number one in its segment. Demand was particularly strong for core models like the X1, X3 and X5, as well as our 3 Series and 5 Series models.

BMW M continued its success story in impressive style in 2025 – increasing its sales for the 14th consecutive year.

With more than 213,000 vehicles delivered to customers, M reached a historic all-time high. The BMW M5* and M5 Touring* and the X3 M50* were the main drivers of this success.

This provides compelling proof of the enduring appeal and growing demand for top-level performance in the premium segment.

MINI achieved significant growth thanks to its new model family. Sales increased by nearly 18 percent compared to the previous year.

The main growth driver was the most versatile model in the line-up, the MINI Countryman+ – accounting for over 32 percent of the brand’s total volume.

MINI and electromobility are a perfect fit – and our customers clearly agree.

This is underscored by an impressive achievement in 2025: For the first time, the brand delivered more than 100,000 all-electric models to customers in a single year.

That’s more than one in every three MINIs delivered. In this way, MINI is making a major contribution to the electrification of the BMW Group.

At our ultra-luxury Rolls-Royce brand, the number of hand-built motor cars delivered to clients remained on the high level of the previous year.

The value and number of requests for highly individualised Bespoke continued to increase. The Home of Rolls-Royce at Goodwood is currently being modernised and expanded, to provide more space for both Bespoke and the marque’s pinnacle Coachbuild products.

BMW Motorrad confirmed its strong market position in the premium segment in the financial year 2025.

Despite a global decline in the total market for motorcycles above 500 cc, the brand delivered more than 200,000 vehicles for the fourth year in a row.

Most notably, the R 1300 GS and F 900 GS played a key role in BMW Motorrad’s market success in 2025.

Ladies and Gentlemen,

All of this shows that our multi-brand premium approach enables stability and growth.

Another major strength of our business model is our ability to meet diverse customer preferences, different regional requirements and technological developments in parallel.

Our electrified vehicles provide the clearest proof of this:

In 2025, we delivered more than 640,000 electrified vehicles to customers worldwide. That means they accounted for about 26 percent of our total sales – with all-electric vehicles making up around 18 percent.

Europe stands out, in particular, with electrified vehicles representing over 40 percent of sales. Plug-in hybrids were also in strong demand in 2025.

All of these factors make the BMW Group one of the leading providers of electromobility in the premium segment.

Thanks to our balanced mix of efficient drive technologies and growth in electrified vehicles, we once again outperformed the legal CO₂ requirements in the European Union.

Based on our preliminary internal calculations, we achieved fleet emissions of 90 grams of CO₂ per kilometre in Europe in 2025.

That once again places us well below the legal target – entirely through our own efforts. We do not need to rely on pooling with other manufacturers or averaging over several years.

This provides clear evidence that technology openness and effective climate protection are not mutually exclusive – but go hand in hand.

The BMW Group remains fully committed to the goals of the Paris Climate Agreement – while setting our own ambitious targets.

For example, by 2035, we aim to reduce our CO₂ emissions by at least 60 million tonnes compared to 2019 levels – and we intend to hold ourselves accountable to this target.

We are charting our own course – something that is more important now than ever before.

On the one hand, we see that regulatory frameworks in individual markets can be extremely volatile.

On the other, we are convinced that the EU experiment of mandating electrification will not deliver the desired results – to the contrary.

For this reason, we continue to pursue a long-term, holistic decarbonisation strategy.

We are committed to providing solutions not only for new vehicles, but also for the existing fleet on the roads – based on technology openness across the entire lifecycle of our vehicles.

And for this reason, we also integrate fuels such as HVO100 and advocate for 100 percent credit in CO₂ calculations. In addition, recognising and crediting green steel would strengthen the European steel industry and safeguard jobs in Europe. Using more recycled materials in new cars reduces our climate footprint – as demonstrated by our NEUE KLASSE.

A holistic approach strengthens European value chains, secures jobs and keeps the industry competitive. At the same time, it enables effective climate protection and real CO₂ reductions.

Companies should be free to provide solutions geared towards customer needs, while also investing in appropriate new technologies to meet the European Union’s climate goals.

As a global player, we stand for free trade and collaboration. We do not believe in protectionism, but rather in the power of innovation to compete on the global stage.

However, with the Industrial Accelerator Act, the EU Commission is continuing its protectionist course while not addressing home-made challenges like high energy prices.

One thing is clear: without international value chains, the ramp-up of electromobility and the development of powerful battery technologies are not feasible.

Labels such as “Made in the EU” or “Union origin” disadvantage European companies with global value chains if they do not recognize that each Euro spent in Europe counts the same for prosperity and jobs. No matter if the car stays in Europe or is exported.

Instead, the development of expertise and production for battery cell technologies in the EU should be promoted and effectively incentivized as fast as possible.

This year, together with policymakers, we must find realistic solutions that allow us to achieve our climate goals and to strengthen our economy and competitiveness.

Ladies and Gentlemen,

2025 was shaped by very different developments:
strong growth in Europe and the US, a much more challenging situation in China, rising competitive pressure and additional headwinds from tariffs.

Nevertheless, the BMW Group continues to deliver a stable performance.

Because we acted early. We adjusted our internal cost structures and maintained our strategic direction.

This combination of strong operating performance today and a clear long-term perspective is a crucial success factor for our company.

And that brings me back to the vehicle standing next to me.

The iX3 and the technologies of the NEUE KLASSE testify to our innovation and performance.

It underlines that we are “already ahead”.

Walter Mertl will explain in more detail how our strong operating performance is reflected in our financial figures.

We will then take a look at 2026, with more new products on the way.

Part II

Ladies and Gentlemen,

Looking ahead to this year and beyond, three key factors will be decisive:

First:
For our 2026 targets: the product line-up currently available, which we have built up gradually over the past few years.

Second:
For this year and the years to come: the rollout of additional NEUE KLASSE models and integration of its technologies across the entire product range.

And third:
The tech clusters of the NEUE KLASSE, which enable rapid advances and collaboration with leading tech players worldwide.

Let’s start with the first item:

The company’s current product portfolio across our BMW, MINI, Rolls-Royce and BMW Motorrad brands offers a range of premium options in all key segments.

From MINI, in the urban compact-car segment, to Rolls-Royce, in the ultra-luxury class.

At the beginning of this year, we added another highly exclusive dimension to our brand portfolio: BMW ALPINA.

The long-established BMW ALPINA brand embodies maximum performance and exceptional driving comfort, combined with unique options for individualisation.

This makes it an ideal addition to our existing product range in the segment for individual, highly customised vehicles.

In this way, we are tapping into a highly profitable segment with great growth potential, positioned above the BMW brand’s top models and below our Rolls-Royce luxury brand.

Overall, the BMW Group offers one of the industry’s most comprehensive and diverse premium portfolios.

A core strength of this line-up is our consistent focus on technology openness. We committed early to a market-driven mix of different drive technologies.

With this approach, the BMW Group continues to chart its own course – enabling us to systematically respond to the diverse requirements of markets and customers well into the future.

Because we chose this path early, making the necessary investments at the right time, we can now fully realise the market potential of our products.

Today, we offer battery-electric vehicles in all relevant segments. By the end of the year, we will have a total of 20 BEVs across all brands. This will further strengthen our competitive position.

At the same time, plug-in hybrids also remain important.

This is not just a “bridging technology” – for many people, in all regions of the world, they are the only way to integrate electric, locally emission-free mobility into their everyday lives.

Together with our range of highly efficient combustion engines, this approach provides maximum flexibility – ensuring that regional market opportunities can be consistently exploited.

This strong line-up lays the core foundation for the company’s business success in 2026 – and beyond.

At the same time – and that brings me to my second point – we are systematically building on our current advantage with the NEUE KLASSE.

With the release of the BMW iX3, the market launch of the NEUE KLASSE has just begun.

But this is only the start.

Additional all-electric models with the new design and innovations of the NEUE KLASSE will follow.

Another notable highlight will be unveiled next week, when we present the BMW i3, the first variant of the next generation of the BMW 3 Series.

The new i3 brings our NEUE KLASSE right into the heart of the BMW brand.

Prepare to be amazed by what the technologies of the NEUE KLASSE can do in a vehicle like the 3 Series. It is fair to say that they take “Sheer Driving Pleasure” to a whole new level.

Here’s a sneak preview of what we will be unveiling
next week.

Ladies and Gentlemen,

I’m looking forward to presenting this incredible car to our BMW fans worldwide next week.

After that, we will meet again at Auto China in Beijing, to introduce the Chinese version of the iX3 as the next NEUE KLASSE model.

We developed this vehicle exclusively for China, together with our local R&D team in the market.

By doing so we ensured that the product meets the specific wishes and needs of our Chinese customers.

The result: The most Chinese car we have ever built.

Initial feedback from the local media has been overwhelmingly positive – with praise, in particular, for its driving characteristics. The China-specific digital features have also been very well received.

In 2027, BMW M will usher in a new era in the high‑performance segment – with the first all-electric M vehicle with racetrack capabilities, based on the NEUE KLASSE.

Alongside development of the NEUE KLASSE, we have also created the essential conditions for a rapid ramp-up within our supplier and production network.

Production of the iX3 has successfully begun at our new plant in Debrecen.

We will start production of the new BMW i3 at our main plant here in Munich in the second half of the year. To do so, we have completely modernised the plant during ongoing operations.

From late 2027, we will build only electric vehicles in Munich.

Production of high-voltage batteries will also begin at our new plant in Irlbach-Straßkirchen in the second half of the year. This facility will supply our plants in Germany with our sixth-generation high-voltage batteries.

Our plant cluster in Shenyang, China, is also ready to build the NEUE KLASSE in China, for China.

At our largest plant, in Spartanburg in the U.S., we are systematically modernising the production system for the technologies of the NEUE KLASSE. This also includes the new high-voltage battery assembly facility in nearby Woodruff.

Across all plants in our production network, we are creating the necessary conditions to implement the technologies of the NEUE KLASSE as quickly as possible in all BMW models.

Between now and 2027 alone, we will bring more than 40 new or updated models to market.

Each of them will benefit from the technologies of the NEUE KLASSE – always tailored to concept requirements and independent of the drive technology.

The best example of this is the next generation of our BMW X5. This summer, we will officially unveil the successor to our current model.

The X5 will be the first BMW model to be offered with five different drivetrain variants: with highly efficient conventional drives, as a plug-in hybrid, battery-electric and – from 2028 – also powered by hydrogen.

In this way, we are laying the foundation to successfully meet the diverse requirements and customer needs around the world, both today and in the future.

Shortly before that, at the Beijing show, we will be showcasing the first model update to feature technologies from the NEUE KLASSE: the BMW 7 Series.

The result is an almost completely new vehicle. We are taking full advantage of the new possibilities from NEUE KLASSE technologies and raising our luxury sedan to a whole new level in terms of both appearance and technology.

That brings me to my third point:
the technology clusters of the NEUE KLASSE and their potential.

With the technology clusters developed specifically for the NEUE KLASSE and our modular approach to technology, we can integrate market-specific functionalities and content into our vehicles.

At the same time, we are strengthening our R&D capabilities to enable us to respond more quickly and flexibly to local customer needs and provide appropriate solutions.

In our key sales regions, we have already implemented numerous features in collaboration with leading local partners.

For example, in the Chinese market, we are working with Alibaba Banma to establish the next generation of intuitive in-car voice control.

In China, the BMW Intelligent Personal Assistant is also being expanded to include DeepSeek functionality.

In most markets, including Europe, we will be integrating Alexa+ as the centrepiece of our BMW Intelligent Personal Assistant.

Thanks to the advanced Large Language Model technology of Amazon Alexa+, our customers now benefit from an even smarter, more connected and highly personalised voice assistant.

With our driver assistance systems, we continue delivering the best-possible customer experience in each region – tailored to local requirements.

To achieve this, we work closely with selected partners.
Our guiding principle remains the same: We always strive for smart, symbiotic and safe solutions.

Last summer, we launched a new cooperation in China with Momenta. A leading local provider of ADAS technology. Outside China, we are collaborating with the American company Qualcomm.

Both collaborations focus on the co-development and integration of software that adapts to different road conditions, traffic scenarios and user needs – relying on state-of-the-art AI algorithms and data-driven methods.

These examples highlight the extraordinary flexibility and scalability of our tech clusters.

With the software-defined NEUE KLASSE, we maintain control over all systems and can deploy them simultaneously worldwide.

We are also able to rapidly integrate local technology stacks, giving our customers access to their preferred innovations and features.

Continuous over-the-air updates ensure that our vehicle software is always up to date. All functionalities are improved on an ongoing basis to permanently enhance the customer experience.

Ladies and Gentlemen,

As you can see, the BMW Group remains successful and highly innovative. Our current product range is one of the broadest and most attractive line-ups in the premium segment worldwide.

With the NEUE KLASSE and its technologies, we have secured a significant competitive advantage. We will leverage these strengths to drive our economic success.

However, it is also clear that our world remains unstable, and numerous risks will persist in the current financial year.

We meet these challenges with strategic consistency and with market- and opportunity-driven vision.

Our global footprint – in sales, research and development, and production – provides us with the foundation to mitigate uncertainties and respond flexibly to unforeseen events.

We will continue to build on these strengths in 2026 and in the years to come.

Thank you very much.

Attached please find the BMW Group Report 2025.

The BMW Group Annual Conference will be held on 12 March 2026 at 08:00 am (CET).
The event will be broadcast on our website https://www.bmwgroup.com/en/investor-relations/company-reports.html.

The online version of the BMW Group Report 2025 can be explored here: https://www.bmwgroup.com/en/report/2025/index.html

Munich. Consistency and resilience: The BMW Group maintained its course in 2025, despite substantial headwinds. Thanks to its attractive model line-up across all drive technologies, its growing and globally balanced business model and disciplined cost management, the BMW Group once again achieved Group earnings before tax of over € 10 billion. Despite significant additional tariff headwinds, the company reported a stable Group EBT margin of 7.7%
(2024: 7.7%). As in the previous year, Group net profit totalled more than € 7 billion, laying the foundation for a proposed dividend payment in line with the 2024 figure.

“Strategic vision, strong operating performance and high reliability have always been hallmarks of the BMW Group. We set our course for the company’s future success early on, relying on three strong pillars: our technology-neutral approach, our extensive global footprint and our inspiring brands and products,” said Oliver Zipse, Chairman of the Board of Management of BMW AG. “Over the past years, we have adopted the right strategic positioning. We are benefiting from that today: In a challenging environment, we do not need to change direction but can maintain our course and continue implementing our strategy systematically.”

Technology-neutral approach as key success factor in global competition

The diversity of its product range remains a key success factor for the BMW Group: With a broad drive train portfolio spanning internal combustion engines, plug-in hybrids, battery-electric drive trains and, from 2028, hydrogen fuel cells, the company is laying the foundation to meet globally diverse requirements and customer needs, both today and in the future.

At the same time, this approach is also key to effective CO₂ reduction: In 2025, the company slightly overfulfilled the ambitious targets of the European Union (EU 27+2), with fleet emissions of 90 grams per kilometre – without relying on instruments such as pooling or temporal staggering. This underlines once again how a technology-neutral approach and climate protection go hand in hand at the BMW Group.

Battery-electric vehicles (BEVs) remain growth driver for BMW Group

In financial year 2025, the BMW Group increased its BEV sales worldwide to 442,056 units (+3.6%), representing 17.9% of its total sales. This means that one in six BMW Group vehicles sold was fully electric. At MINI, the percentage was even higher, with one in three vehicles already fully electric.

Plug-in hybrids (PHEVs) also remain an essential component of the technology-neutral approach and the electrification of the model range: In total, the BMW Group delivered 642,071 electrified vehicles, including plug-in hybrids (PHEVs and BEVs) in 2025, meaning that one in four vehicles was electrified. In Europe, the proportion was even higher, where 40 percent of BMW Group vehicles were either fully electric or plug-in hybrids.

2026 electrification milestone: Two million BEVs delivered to customers

In 2025, the BMW Group reached two major electrification milestones since the debut of the BMW i3 and BMW i8 in 2013: In June, the 1.5-millionth fully-electric vehicle was handed over to its new owner. This was followed in August by the three-millionth electrified vehicle. The next milestone will come this year, with the two-millionth fully-electric vehicle.

“With our wide range of electrified vehicles, we have secured ourselves a strong competitive position. We remain true to our role as pioneers and continue to expand our BEV line-up: By the end of this year, we will offer our customers 20 fully-electric cars,” said Zipse.

Strong brands and attractive product line-up with diverse drive train portfolio

With 2,463,681 premium vehicles delivered to customers in financial year 2025, BMW Group sales reached the same high level as in 2024 (2024: 2,450,854 units; +0.5%). Thanks to its globally balanced footprint, the company was able to offset its decline in sales in China (-12.5%) with gains in other regions, reporting solid growth in Europe (+7.3%) and the Americas (+5.6%).

The main growth drivers included the BMW 5 Series, with sales up by more than a quarter, and the compact BMW X2, which rose by 33%. For the 14th consecutive year, BMW M GmbH deliveries reached a new all-time sales high of 213,449 units (2024: 206,587 units; +3.3%), with the BMW M2 Coupé* and the M3* family as the best-selling models. For the first time, one in ten BMWs delivered was a BMW M model. On the fully-electric side, the BMW i5*, BMW iX2* and BMW iX1* models all saw significant growth.

In 2025, the top-selling model in the rapidly growing MINI family, with a total of 288,278 deliveries (2024: 244,925 units; +17.7%), was the MINI Countryman*. The MINI Aceman*, the new MINI Convertible* and the fully-electric MINI Cooper* models led the MINI brand to significant growth. With more than 105,000 BEVs delivered to customers, fully-electric vehicles accounted for over 36% of sales.

The Rolls-Royce luxury brand matched the level of the previous year, with 5,664 deliveries (2024: 5,712 units; -0.8%). The Rolls-Royce Cullinan and fully-electric Spectre models were the most in demand.

BMW Group meets 2025 targets

As projected, the BMW Group achieved its business objectives for 2025. Thanks to its attractive line-up, the BMW Group reported revenues of € 133,453 million for the full year (2024: € 142,380 million; -6.3%; adjusted for currency translation
effects: -3.9%). This reflects the intense competition in the automotive sector, particularly in China. Furthermore, negative currency translation effects, primarily from the US dollar, Korean won and Chinese renminbi, also had an impact.

Lower R&D spending and capital expenditure as planned

As previously announced, the BMW Group’s investments in the future have declined from their peak: Research and development spending totalled € 8,319 million in 2025 – a moderate decrease from the previous year (2024: €9,078 million; -8.4%). Expenditure for research and development is largely focused on digitalisation and electrification of the vehicle fleet across all model series. It also includes spending for the development of NEUE KLASSE models, such as the BMW iX3* and the successor models to the BMW X5 and BMW 7 Series. The R&D ratio for the full year decreased to 6.2% (2024: 6.4%). As planned, capital expenditure for the full year also declined significantly to € 7,237 million (2024: € 9,056 million; -20.1%), with a capex ratio of 5.4%.

The BMW Group was also able to reduce sales and administrative expenses in line with forecasts, lowering costs by 6.1% to € 10,606 million (2024: € 11,296 million).

“Our disciplined active cost management strengthened our performance in 2025: Compared with the previous year, as promised, we were able to streamline our cost structures in line with planning, by reducing R&D expenditure, sales and administrative expenses as well as manufacturing and material costs. A total reduction in expenses of € 2.5 billion has benefited our profitability. We will continue systematically lowering costs this year, in line with our planning," said Walter Mertl, member of the Board of Management responsible for Finance.

Group EBT margin in line with previous year

In 2025, despite significant tariff headwinds, the BMW Group once again achieved Group earnings before tax (EBT) of more than € 10 billion (€ 10,236 million; 2024: € 10,971 million; -6.7%). The Group EBT margin of 7.7% (2024: 7.7%) was on a par with the previous year. Group net profit once again exceeded € 7 billion, at € 7,451 million (2024: € 7,678 million; -3.0%).

Automotive EBIT margin within target range of 5 to 7%

Automotive Segment earnings before financial result (EBIT) totalled € 6,259 million (2024: € 7,893 million; -20.7%). The EBIT margin of 5.3% (2024: 6.3%) was within the target range of 5 to 7%, as forecast in March 2025. Excluding depreciation and amortisation for BBA assets from the purchase price allocation, the EBIT margin was 6.4%. As forecast, the additional impact of tariffs in 2025 lowered the margin by approx. 1.5 percentage points. 

The Automotive Segment’s free cash flow for the full year totalled € 3,240 million (2024: € 4,852 million). Cash inflows from operating activities decreased year-on-year, partially offsetting the lower investment activity. Due to the reduction in inventories, working capital also had a positive effect on the segment’s cash inflows. The segment’s free cash flow is projected to exceed € 4.5 billion in 2026.

The Financial Services Segment reported a slight increase in the number of new credit financing and leasing contracts in 2025. This was primarily driven by positive business development in Europe and an improvement in the Chinese competitive environment in the second half of the year, after local banks substantially reduced their commission rates for brokering of financial and insurance products to retail customers.

As a consequence, the segment’s volume of new business also increased slightly, despite negative currency translation effects, reaching € 65,818 million for the full year (2024: € 64,519 million/+2.0%). The penetration rate, the percentage of new BMW Group vehicles leased or financed by the Financial Services Segment, climbed to 46.6% duringthe reporting year (2024: 42.6%/+4.0 percentage points).

Segment profit before tax (PBT) for the full year 2025 amounted to
€ 2,401 million (2024: € 2,538 million/-5.4%). The decrease was primarily due to lower income from the sale of lease returns and a tax arrears payment required as a result of a revised operational tax assessment relating to previous years.

Dividend payout and payout ratio in line with previous year

The BMW Group ensures that its shareholders consistently benefit from the company’s success. Its sustainable dividend policy offers shareholders a reliable return on investment.

“In 2025, the BMW Group achieved a stable EBT margin of 7.7%, with pre-tax earnings once again exceeding € 10 billion. Thanks to a stable year-on-year profit attributable to shareholders of BMW AG, we are proposing a total dividend payment of € 2,672 billion, comparable to the previous year, with a stable payout ratio of 36.6%,” said Mertl.

The payout ratio is thus at the high end of the target range of 30-40% of net profit attributable to the shareholders of BMW AG.

The Annual General Meeting in May 2025 authorised the Board of Management to buy back up to 10% of BMW AG’s share capital over the next five years. Based on this new authorisation, the Board of Management approved a third share repurchase programme with a volume of up to € 2 billion,to be completed no later than 30 April 2027. By December 2025, the first tranche of shares, with a value of € 750 million, had been repurchased.

As of 31 December 2025, BMW AG held 8,682,146 shares, with a nominal value of
€ 8,682,146. This is equivalent to 1.41% of the share capital as of 31 December 2025.

At this year’s Annual General Meeting on 13 May 2026, the Board of Management and Supervisory Board will propose a dividend of € 4. 40 per share of common stock (2024: € 4.30) and € 4.42 per share of preferred stock (2024: € 4.32). Furthermore, at a separate meeting of preferred shareholders held on same day, the Board of Management and Supervisory Board will propose the 1:1 conversion of all shares of preferred stock into common stock with voting rights, without any additional payment obligation.

NEUE KLASSE ramp-up begins in 2026

During the current financial year, the ramp-up of the NEUE KLASSE will gain speed, starting out with two models at the heart of the BMW brand: Since its world premiere at the International Motor Show (IAA) in September 2025, the fully-electric BMW iX3 has seen extremely strong demand – among pre-ordered fully-electric BMW vehicles in Europe, one in three orders is for a BMW iX3. Due to the high demand, the plant in Debrecen, Hungary, is already operating in two shifts. The second NEUE KLASSE model – the fully-electric BMW i3– will celebrate its design premiere next week in Munich.

“With the successful launch of the NEUE KLASSE, we demonstrated in 2025 that we are leading the BMW brand into the future, with new technology clusters and a fresh design language. The extraordinarily high demand for the first model, the BMW iX3, proves that pioneering spirit, innovation and courage deliver results,” said Zipse. “We will maintain the high pace of our innovation rollout as we introduce the technologies of the NEUE KLASSE across our entire portfolio: Between now and 2027, we will present more than 40 new or updated models. These will also include the BMW 3 Series and BMW X5: two all-new models in two of our key segments, offered with all drive train variants. In this way, we are ushering in a new era of technology neutrality at the BMW Group.”

Forecast for financial year 2026

The BMW Group anticipates the following developments during financial year 2026: Given the current economic outlook for 2026, the global automotive markets are expected to develop in a stable manner. The company anticipates growth potential overall for Europe and the USA. Based on the average sales volume of recent months, sales in China are expected to remain approximately at the previous year's level.
Globally, the company forecasts that deliveries will be on a par with the previous year and that fully-electric vehicles will account for the same share of sales as last year.

For financial year 2026, the BMW Group assumes that headwinds from higher tariffs will further impact the EBIT margin in the Automotive Segment by about 1.25 percentage points. Mitigation measures have already been considered.

Regarding forecast values: In addition to the aforementioned tariff-related burdens, the EBIT of the Automotive Segment will be impacted year‑on‑year by higher negative effects from currencies and raw materials, by rising depreciation and a significantly lower capitalization rate, as well as by overall lower revenues resulting from the declining used‑car market. In China, the price and product measures adopted to stabilize transaction prices will have a negative year‑on‑year effect, particularly in the first half of the year.
The planned cost reductions in capital expenditure, material and manufacturing costs, in research and development activities, as well as in selling and administrative expenses will partially offset these burdens.

The EBIT margin for the Automotive Segment is therefore forecast to be within the range of 4 to 6%. RoCE should be between 6 to 10%.

In the Financial Services Segment, RoE is projected to be between 13 to 16%. A further decline in the used car markets and lower income from the resale of end-of-lease vehicles compared to 2025 are anticipated.

In the Motorcycles Segment, deliveries are forecast to be on a par with the previous year, with an EBIT margin within the range of 4.0 to 6.0% and a RoCE of 10 to 14%.

In light of the forecast developments, a moderate decline in Group earnings before tax is expected for 2026.

The BMW Group’s actual business performance may deviate from these expectations – for example, due to changes in political and macroeconomic conditions.

Proposal for the election of a Supervisory Board member

The Supervisory Board will propose to the Annual General Meeting that Dr Christian Bruch, Chief Executive Officer of Siemens Energy AG, be newly elected to the Supervisory Board for a term of four years.

* * *

The BMW Group Report 2025 will be published on 12 March 2026 at 7:30 a.m. (CET) at https://www.bmwgroup.com/de/investor-relations/unternehmensberichte.html. The BMW Group Annual Conference taking place on 12 March 2026 as virtual event can be watched live in the internet from 8:00 a.m. (CET) at: https://www.live.bmwgroup.com/en/live-streaming/, followed by the livestream of the journalist Q+A at the Annual Conference from 9:00-10:00 a.m. From 11:00 a.m.-12:00 p.m. will follow the livestream of the Investor Relations Q+A with analysts at https://www.bmwgroup.com/en/investor-relations/annual-conferences.html.

GLOSSARY – explanatory comments on key performance indicators

Deliveries to customers

A new or used vehicle is recorded as a delivery once it is handed over to the end user (which also includes leaseholders under lease contracts with BMW Financial Services). In the US and Canada, end users also include (1) dealers when they designate a vehicle as a service loaner or demonstrator vehicle and (2) dealers and other third parties when they purchase a company vehicle at auction and dealers when they purchase company vehicles directly from the BMW Group. Deliveries may be made by BMW AG, one of its international subsidiaries, a BMW Group retail outlet, or independent third-party dealers. The vast majority of deliveries – and hence the reporting of deliveries to the BMW Group – is made by independent third-party dealers. Retail vehicle deliveries during a given reporting period do not correlate directly to the revenues that the BMW Group recognises in respect of that particular reporting period.

Payout ratio

The payout ratio is preliminary. Although the Board of Management and the Supervisory Board will propose a fixed dividend per share at the Annual General Meeting, the number of shares entitled to a dividend is expected to fall by the Annual General Meeting due to the ongoing share buy-back programme. Accordingly, the total amount to be distributed to shareholders is also still expected to change by 13 May.

EBIT

Profit before financial result. Profit before financial result comprises revenues less cost of sales, less selling and administrative expenses and plus/minus net other operating income and expenses.

EBIT margin

Profit/loss before financial result as a percentage of revenues.

EBT

EBIT plus financial result.

PHEV

Plug-in-hybrid electric vehicle - hybrid vehicle with petrol engine and electric drive.

If you have any questions, please contact:

BMW Group Corporate Communications

Dr Britta Ullrich, Finance Communications

Telephone: +49 89 382-18364

Email: britta.ullrich@bmwgroup.com

Sebastian Keßler, Communications BMW Group, Strategy

Telephone: +49 89 382-21616

Email: Sebastian.KE.Kessler@bmwgroup.com

Max-Morten Borgmann, head of Communications BMW Group, Finance, Sales

Telephone: +49 89 382-24118

Email: Max-Morten.Borgmann@bmwgroup.com

Media website: https://newsroom.bmwgroup.com/global/en

Email: presse@bmwgroup.com

The BMW Group

With its four brands, BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2025, the BMW Group sold 2.46 million passenger vehicles and more than 202,500 motorcycles worldwide. The profit before tax in the financial year 2025 was € 10.2 billion on revenues amounting to € 133,5 billion. As of 31 December 2025, the BMW Group had a workforce of 154,540 employees.

The economic success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key element of the BMW Group’s corporate strategy and covers all products – from the supply chain through production to the end of their useful life. 

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

Munich. BMW Welt has firmly established itself as an integral part of Munich’s cityscape, as well as the cultural and events scene in the Bavarian capital and beyond. 25 years ago, planning began for what would become one of Bavaria’s most-visited attractions. BMW Welt is not only known for its award-winning, futuristic architecture, but above all, for the opportunity to experience the BMW Group brands up close.

Planning got underway in 2001, expecting 850,000 visitors per year. Today, BMW Welt welcomes more than 2.2 visitors annually. This number includes customers from all over Germany who come to collect their vehicles – more than 280,000 to date.

BMW Welt offers a one-of-a-kind experience worldwide: In addition to vehicle collection, visitors can explore the latest models from BMW, BMW M, MINI, BMW Motorrad and Rolls-Royce Motor Cars through a range of displays, with the option of individual product consultations, as well as guided tours for car and architecture enthusiasts – complemented by the culinary diversity of its four restaurants and bistros, including the new fine-dining restaurant THE CLOUD by Käfer.

The architect behind BMW Welt, Prof Wolf D. Prix, was a student of Karl Schwanzer, the man who designed the BMW Four-Cylinder building. Prix and his team from Coop Himmelb(l)au, comprising a total of 120 architects, concealed 1,200 rooms within BMW Welt. BMW Welt’s spectacular event spaces are also available for reservation. The BMW Welt Auditorium is home to Munich's second-largest stage after the opera house. Each year, BMW Welt hosts 400 events, including the Bavarian Sports Award and the Blauer Panther TV & Streaming Award. More interesting facts and figures can be found in the press information sheet available for download.

If you have any questions, please contact:

BMW Group Corporate Communications

Lisa Meindl, Spokesperson BMW Museum and BMW Welt
Telephone: +49-89-382-31668
Email: lisa.meindl@bmw.de

Simone Bauer-Linster, Communications BMW Welt

Telephone: +49 151 601 414 52

Email: Simone.Bauer-Linster@bmw.de

Internet: https://newsroom.bmwgroup.com/global/en

E-Mail: presse@bmwgroup.com

The BMW Group

With its four brands BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2024, the BMW Group sold over 2.45 million passenger vehicles and more than 210,000 motorcycles worldwide. The profit before tax in the financial year 2023 was € 17.1 billion on revenues amounting to € 155.5 billion. As of 31 December 2023, the BMW Group had a workforce of 154,950 employees.

The economic success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key element of the BMW Group’s corporate strategy and covers all products from the supply chain and production to the end of their useful life.

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

X: https://www.x.com/bmwgroup

Richmond Hill, ON.  BMW Motorrad Canada is pleased to announce the addition of Apex Cycle Sports as an authorized retailer serving the Kitchener‑Waterloo‑Cambridge region. This development represents a significant enhancement of BMW Motorrad Canada’s presence in Southwestern Ontario and underscores the company’s commitment to expanding accessibility for customers in one of the province’s most dynamic markets.

Apex Cycle Sports, located in Cambridge, Ontario, has more than fifteen years of established experience in the powersports industry and has cultivated a strong reputation across the region. A 30,000‑square‑foot showroom and service facility provide a premium environment and an extensive product portfolio.

“The integration of Apex Cycle Sports into the BMW Motorrad Canada network reflects a shared dedication to our fantastic portfolio of motorcycles,” said Greg Edwards, director of BMW Motorrad Canada. “Apex’s proven expertise in representing premium brands, combined with BMW’s high standards of quality, will ensure that customers in the region benefit from an elevated experience.”

Colin Lobsinger, General Manager of Apex Cycle Sports, added, “We are thrilled to become an authorized retailer for BMW Motorrad and to offer these exceptional motorcycles and products to our growing customer base in the region. We look forward to providing our local riders with unparalleled motorcycles and service.”

This partnership supports BMW Motorrad Canada’s objective of expanding regional representation through collaboration with local partners. The Kitchener‑Waterloo‑Cambridge area has experienced steady economic and demographic growth, and the establishment of an authorized retailer in Cambridge will provide riders across Southwestern Ontario with improved access to BMW Motorrad products.

BMW Motorrad Canada and Apex Cycle Sports share a commitment to excellence, engineering precision, and an unwavering focus on customer satisfaction. BMW Motorrad Canada is pleased to welcome Apex Cycle Sports into the BMW family and looks forward to the success this partnership will bring for both riders and the BMW community.

-30-

BMW Group in Canada

BMW Group Canada, based in Richmond Hill, Ontario, is a wholly-owned subsidiary of BMW AG and is responsible for the distribution of BMW luxury performance automobiles, Sports Activity Vehicles, Motorcycles, and MINI.  BMW Group Financial Services Canada is a division of BMW Group Canada and offers retail financing and leasing programs and protection products on new and pre-owned BMW and MINI automobiles, as well as retail financing for new and pre-owned BMW Motorcycles. A total network of 51 BMW automobile retail centres, 26 BMW motorcycle retailers, and 31 MINI retailers represents the BMW Group across the country.

For more information, please contact:

Marc Belcourt

Director, Corporate Communications

BMW Group Canada

marc.belcourt@bmwgroup.ca                                     

Jean-Francois Taylor

Product and Technology Manager, Corporate Communications

BMW Group Canada

jean-francois.taylor@bmwgroup.ca

Munich. The MINI brand looks back on an extremely successful 2025. With a total volume of 288,290 vehicles, MINI achieved a significant sales increase of 17,7% compared to 2024 figures. Particularly impressive is the high demand for battery electric vehicles (BEVs): with 105,535 fully electric MINIs delivered in 2025 (+87,9%), the brand achieved a new record in electromobility, resulting in more than every third MINI sold worldwide being electric. In many markets, the share is significantly above 50%, such as Netherlands, Turkey, Sweden and China.

Jean-Philippe Parain, Head of the MINI brand, emphasizes: “MINI continuously increases the share of fully electric vehicles, thereby demonstrating its innovative strength and future orientation. Our strong volume growth across all regions in 2025 clearly reflects the exceptional appeal of the MINI model family. The updated iconic design, the sportiness, individuality and expanded electric offerings of the MINI brand have met customer expectations all around the globe.

A growth driver was the largest MINI model in the product portfolio, the MINI Countryman: with a 32,4 % share of the total MINI volume, it underlines the brand’s SUV expertise. The Countryman combines typical MINI driving pleasure with innovative design and high versatility – ideal for any outdoor challenge. In 2025, 93,305 units were sold worldwide (+15.2%); the fully electric Countryman achieved a sales growth of 81.8% compared to 2024.

Sub-brand John Cooper Works reaches record numbers

The sporty John Cooper Works (JCW) sub-brand also set new standards in 2025: with 25,630 units sold, MINI JCW increased the sales volume by 59.5% and achieved a new sales record. The share of JCW vehicles reached 8.9% of the total MINI volume. In some markets, such as UK, Italy, Japan and Australia, the performance-enhanced MINI models reached their highest sales figures to date.

The MINI Cooper family

The traditional MINI Cooper family, consisting of the MINI Cooper 3-Door, the MINI Cooper 5-Door and the MINI Convertible, recorded with 162,789 a sales increase of 10.3% compared to the previous year. The new generation of the MINI Cooper Convertible, only introduced in 2025, rounded off the model family with unique features. With 22,491 units sold, a sales growth of 18.4% was achieved. The MINI Cooper 5-Door impresses with typical brand-specific driving fun, increased space, and high functionality and recorded with 47,850 units a significant growth of 26.5% compared to 2024.

2026 starts with the new MINI Paul Smith Edition

Starting in 2026, the MINI Cooper 3-Door, MINI Cooper 5-Door, and MINI Cooper Convertible – both electric and combustion engine versions – will be available in the new MINI Paul Smith Edition. This edition combines the unmistakable style of the British designer Paul Smith with the playful, optimistic and independent spirit of the MINI brand. Following the successful collaborations “MINI STRIP” (2021) and “MINI Recharged by Paul Smith” (2022), Paul Smith now brings his world-famous design language “Classic with a twist” into the MINI family once again.

In case of queries, please contact:
Corporate Communications

Julian Kisch, Press Spokesperson, Product Communications MINI
Phone: +49-151-601-38072
E-mail: julian.kisch@mini.com

Micaela Sandstede, Head of Communications MINI
Phone: +49-176-601-61611
E-mail: micaela.sandstede@bmw.de

Munich. The BMW Group maintained its growth trajectory in the third quarter, with customer deliveries rising by +8.8%. This also reflects the positive impact of the base effect from a weaker prior-year quarter. From January to September 2025, the BMW Group delivered a total of around 1.8 million BMW, MINI and Rolls-Royce vehicles to customers, achieving slight sales growth of +2.4%. During the same period, the company increased sales of fully-electric vehicles by +10.0% to 323,447 units. Between January and September, the BMW Group delivered a total of 470,313 electrified vehicles (BEV and PHEV) to customers (+15.0%). 

“The BMW Group reported a slight sales increase for the year to the end of September. The strong sales performance in Europe and the Americas, as well as for the MINI brand, is particularly encouraging. Demand for our wide range of electrified vehicles also remains strong,” said Jochen Goller, member of the Board of Management of BMW AG responsible for Customer, Brands, Sales.

The BMW brand sold 514,620 vehicles in the third quarter (+ 5.7%). In the year to the end of September, sales were in line with the previous year (+0.1%), with a total of 1,585,580 units delivered to customers, including 395,998 electrified vehicles (+4.5%). The brand continued to increase sales across all regions outside of China, achieving particularly strong growth in the Europe and Americas regions, while the targeted sales increase in the Chinese market did not materialize as expected. BMW plug-in hybrids are in high demand. As a result, the brand increased its global deliveries of vehicles with this drive technology by +30.2% compared to the previous year.

Between January and September, BMW M GmbH delivered 158.182 units to customers, up +7.9% year-on-year. Following its most successful half-year ever, BMW M GmbH reported another strong third quarter, with sales rising 11,0% to 52,220 units.

The MINI brand remained on track for growth with the New MINI Family: In the third quarter, the brand delivered 72,376 units – an increase of +37.5%. From January to September, 206,214 vehicles were sold worldwide (+23.7%). During this period, MINI reported growth across all sales regions.

In the YTD September, the Rolls-Royce brand delivered 4,100 motor cars to customers – +3.3% more than during the same period of last year. In the first nine months of the year, BMW Motorrad delivered a total of 159,156 motorcycles and scooters to customers (-2.6%). In the third quarter, BMW Motorrad increased its deliveries to 53,247 units, a rise of +5.7%.

BMW Group sales in Q3/YTD September 2025 at a glance

¹BEVs and PHEVs                                                                                 

BMW & MINI sales in the regions/markets

²Provisional registration figures

The delivery figures reported in this press release are provisional and may change up until the BMW Group Report 2025 is published. Notes on how delivery figures are prepared can be found in the BMW Group Report 2024 on p. 427.

BMW Group Corporate Communications

Dr Sina Unger, Communications Sales

Telephone: +49 151 601 47564

Email: sina.unger@bmwgroup.com

Carolin Bachmann, Communications Sales

Telephone: +49 151 601 38801

Email: carolin.bachmann@bmwgroup.com  

Max-Morten Borgmann, head of Communications BMW Group, Finance, Sales

Telephone: +49 151 601-24118

Email: max-morten.borgmann@bmwgroup.com

Media website: https://newsroom.bmwgroup.com/global/en

Email: presse@bmwgroup.com

The BMW Group

With its four brands, BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2024, the BMW Group sold 2.45 million passenger vehicles and more than 210,000 motorcycles worldwide. The profit before tax in the financial year 2024 was € 11.0 billion on revenues amounting to € 142.4 billion. As of 31 December 2024, the BMW Group had a workforce of 159,104 employees.

The success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key component of the BMW Group’s corporate strategy – from the supply chain through production to the end of the use phase of all products. 

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

X: https://www.x.com/bmwgroup

Munich. The BMW Group showed strong resilience in the first half of the year – building on a solid foundation of consistent strategy, robust customer demand, sustained cost discipline and high flexibility. With sales volumes stable at over 1.2 million premium vehicles, and with potential for further growth, the company reported Group earnings before tax of more than € 5.7 billion and an EBT margin of 8.5% in the first six months of 2025.

The Automotive Segment EBIT margin came in at 6.2%, placing it in the upper half of the 5.0-7.0% annual target range, published in March. The segment's free cash flow for the first half-year was € 2.345 billion. At the six-month mark, the BMW Group is therefore on track to meet its targets for the year.
"Our performance in the first half of 2025 once again underscores the robustness of our business model. Our success today, as well as in the future, is based on three strong pillars: our global footprint, our strength in innovation, and our technology-neutral approach with highly attractive products," said Oliver Zipse, Chairman of the Board of BMW AG. "In September, we will begin a new era for BMW when the first vehicle of the NEUE KLASSE makes its debut at the IAA Mobility. With the BMW iX3*, we are kicking off an unprecedented product ramp-up: by 2027, we will launch more than 40 new and revised models across all segments and drive types. Each vehicle will embody the innovative technology clusters and the new design language. This way, we connect technological advancement and exciting products with strategic foresight and economic efficiency."

By offering different drive technologies and a comprehensive range of models, the premium manufacturer from Munich is able to meet diverse customer preferences, reporting growth across numerous markets: Outside of China, BMW deliveries rose across all sales regions, with the brand recording slight growth of +4.7%.

Benefiting from full availability of the New MINI Family, the British cult brand reported significant growth of 17.4% in the first half of the year, with a total of 133,838 vehicles sold. MINI deliveries increased in all regions of the world.

In Europe, the BMW Group posted solid sales growth of +8.2%, with 498,670 units sold (Q2 deliveries: 256,487 units; +10.2%).
In the Americas region, deliveries increased by +3.4% to 237,972 vehicles (Q2: 123,254 units; +1.7%).

Deliveries in the US market rose by +2.7% year-on-year, with a total of 193,826 vehicles delivered to customers (Q2: 98,856 units; +1.4%).

Electrified models and BMW M vehicles with increased sales volumes

With a 26.4% share (Q2: 26.0%) of total sales in the first six months, more than one in four BMW Group vehicles delivered – precisely 319,031 units – was electrified. Europe recorded the highest growth rates for BEVs and PHEVs, at 34,8%.

Alongside electrified vehicles (+6.5%), the high-performance models of the BMW M brand were the main growth drivers for the BMW brand: With nearly 106,000 vehicles sold (+6.5% compared to HY1 2024), BMW M GmbH reported the highest first-half-year sales in its history. The BMW M3* and BMW M3 Touring*, together with the BMW M5* and BMW M5 Touring* introduced at the start of the year, made a significant contribution to this result.

MINI grows with BEV models

MINI’s sales growth also stemmed mainly from MINI BEVs: the MINI Cooper Electric*, the MINI Aceman Electric* and the MINI Countryman Electric*. With a 34.3% share in the first half-year, more than one in three MINIs delivered to customers worldwide was battery-electric.

In the first half of 2025, the Rolls-Royce brand built on the previous year’s strong sales performance, delivering 2,796 handcrafted luxury motor cars to customers (-0.8%). In the second quarter, it increased its sales by +9.4% year-on-year to 1,415 units.

The growing percentage of electrified vehicles confirms the BMW Group's successful approach of offering its customers a broad range of models, all available with different drive technologies. More than 15 fully-electric vehicles and 12 PHEVs are currently available. In the second quarter of 2025, the BMW Group reached a major milestone in its drive train strategy, with the delivery of its 1.5-millionth BEV since the launch of the first BMW i3 in 2013.

Group EBT margin of 8.5% in first half-year

Group revenues for the first half-year totalled € 67,685 million(2024: € 73,558 million/-8.0%; adjusted for currency translation effects: -7.1%; Q2: € 33,927 million; Q2 2024: € 36,944 million; -8.2%; adjusted for currency translation effects: -5.5%).

Compared with the previous year, revenues were pressured by currency translation headwinds and the expected subdued demand in China. The positive impact of strong growth in new leasing business at BMW Group Financial Services resulted in higher revenue eliminations between segments, which dampened Group revenues.

Following a peak in R&D spending and capital expenditure in 2024, this trend was reversed, as expected, in the first half of the year – without compromising the premium manufacturer's commitment to innovation leadership.

Driven by a strong operating performance, the BMW Group’s expenditure for research and development totalled € 4,020 million  in the first six months of the year (2024: € 4,169 million/-3.6%). This figure was down slightly on the previous year, despite intensive preparations for the upcoming models of the NEUE KLASSE, including the BMW iX3 and other successor models. R&D spending focused on digitalisation of the vehicle fleet and electrification across all model series. As planned, administrative and sales expenses were reduced, and capital expenditure for property, plant and equipment also declined.

Between January and June, the BMW Group reported pre-tax earnings (EBT) of € 5,727 million (2024: € 8,023 million/-28.6%; Q2: € 2,614 million; Q2 2024: € 3,861 million; -32.3%).

The EBT margin for the first half year was 8.5% (2024: 10.9%; in Q2: 7.7%; Q2 2024: 10.5%). Group net profit for the first half of the year totalled €  4,015 million (2024: € 5,656 million/-29.0%; Q2: € 1,842 million/-31.9%).

Automotive Segment EBIT margin within annual target range

In the first half of the year, the Automotive Segment generated revenues of € 58,654 million (2024: € 63,009 million/-6.9%; adjusted for currency translation effects: -5.9%; Q2: € 29,443 million; -8.2%; adjusted for currency translation effects: -5.3%). This year-on-year decrease was mainly due to currency translation headwinds and due to the expected decline in sales revenues in China. 

Segment earnings before financial result (EBIT) for the first half-year amounted to € 3,626 million (2024: € 5,394 million/-32.8%; Q2: € 1,602 million; -40.3%). The EBIT margin came in at 6.2% (2024: 8.6%; Q2: 5.4%). Excluding depreciation and amortisation from the BBA purchase price allocation, the EBIT margin for the first half-year was 7.3%. The impact of tariff increases – particularly the European Commission’s anti-subsidy measures on Chinese BEVs and the sharp rise in US tariff duties – created headwinds in the automotive segment corresponding to the amount of around 1.5%-points of its EBIT margin in the first half-year. 

“Even despite higher tariffs, the BMW Group’s business model remains intact – our popular premium vehicles, global competitive strength and high level of resilience provide us with a strong and sustainable foundation. Our footprint in the US is helping us limit the impact of tariffs,” said Walter Mertl, member of the Board of Management responsible for Finance, during the quarterly conference call in Munich. “Thanks to precise financial control, based on calculated forecasts, we are firmly on track to achieve our targets for the year at the six-month mark. Higher efficiency and optimised cost structures also contribute to achieving our financial goals.”

Free cash flow of € 2,345 million in Automotive Segment in YTD June

After six months, free cash flow in the Automotive Segment totalled € 2,345 million (2024: € 2,289 million) and was thus on track for the annual guidance. 

The BMW Group is still targeting a free cash flow of > € 5 billion in the Automotive Segment for the full year.

From January to June, capital expenditure for property, plant and equipment and intangible assets amounted to € 2,736 million (2024: € 3,456 million/-20,8%). The capex ratio came in at 4.0% (Q2: 4.5%; HY1 2024: 4.7%; Q2 2024: 5.8%).

Dynamic performance continues in Financial Services Segment

In the Financial Services Segment, dynamic growth in new leasing business continued in the first six months of the year: The volume of new leasing business rose significantly (+9.5%), with the leasing share of total new business increasing to 40.0% (2024: 35.5%/+4.5% percentage points). The segment concluded a total of 824,672 new financing and leasing contracts worldwide in the first half of the year (2024: 849,908 contracts/-3.0%). This represents a slight year-on-year decrease, owing to the lower number of new contracts concluded in China.

The percentage of new BMW Group vehicles leased or financed by the Financial Services Segment reached 43.7% by the end of the reporting period (2024: 41.2%/+2.5 percentage points).
Thanks to a higher financed amount per vehicle, the volume of new business remained stable at € 31,893 million in the first half of 2025 (2024: € 31,677 million/+0.7%).

In the six-month period, the Financial Services Segment achieved earnings before tax of € 1,192 million (2024: € 1,481 million/-19.5%). In addition to allocations to provisions, the decline in earnings was primarily driven by lower income from the resale of end-of-lease vehicles in the year-on-year comparison, with the number of such vehicles remaining below the previous year's level.

During the reporting period, the credit loss ratio stood at 0.27% across the entire loan portfolio (2024: 0.25%).

BMW Motorrad half-year EBIT margin reported at 12.0%

In the year to the end of June, BMW Motorrad delivered 105,909 motorcycles and scooters to customers (2024: 113,072 units; -6.3%). The segment EBIT margin came in at 12.0% (2024: 11.6%) 

BMW AG continues share repurchase programme

The Annual General Meeting in May 2025 authorised the Board of Management to buy back up to 10% of BMW AG's share capital over the next five years. Based on this new authorisation, the Board of Management has approved a third share repurchase programme with a volume of up to € 2 billion, to be completed no later than 30 April 2027. Acquisition of the first tranche of € 750 million began in May 2025 and will be completed no later than December 2025. This underlines the consistent execution of the company’s shareholder return strategy.

BMW Group on course to meet guidance

The latest forecasts of IMF expect a global economic growth of 3.0% this year – eventually impacted by current trade disputes, the potential for higher inflation and ongoing uncertainties among companies and consumers.

The BMW Group expects increasing demand in many markets in 2025, driven by a stabilizing inflation rate and further moderate interest rate cuts. In China, high competition alongside with significant growth are further forecasted, particularly within the lower price segments.

In the USA, permanent tariffs could manifest in rising inflation. US trade policy and potential countermeasures from other countries may lead to slower global economic development.

The forecast published in the BMW Group Report 2024** in March 2025 took into account all tariff increases that had come into effect by March 12, 2025. Following the announcements on July 27, 2025, an agreement between the USA and the EU regarding the customs situation has been reached. Based on this, the BMW Group expects a partial reduction of the currently applicable mutual tariffs for automobiles and production parts from 1 August 2025. Due to the dynamic developments and ongoing negotiations, the expected tariff effects for the current fiscal year can still only be represented through assumptions regarding continuing negotiations. The forecast also includes mitigating measures to dampen the impact of the increased tariffs. In the fiscal year 2025, the BMW Group expects a tariff-related impact of approximately to 1.25 percentage points on the EBIT margin in the Automotive segment.

Given the sustained demand for its attractive premium vehicles, the BMW Group is able to confirm its guidance for the year.

The company expects slight growth in sales, with the share of fully electric vehicles in deliveries rising slightly.

Due to the factors mentioned above, Group earnings before tax are expected to be on a par with the previous year.***The EBIT margin for the Automotive Segment is forecast to be within the range of 5.0-7.0%. RoCE should be between 9-13%.

In the Financial Services Segment, RoE is projected to be between 13-16%.

In the Motorcycles Segment, a slight increase in sales and an EBIT margin within the range of 5.5-7.5%are forecast, with a RoCE of 13-17%.

The above targets will be achieved with the current number of employees.

The BMW Group’s actual business performance may deviate from the expectations described above – for example, due to changes in political and macroeconomic conditions. Earnings risks could arise, among other things, from changes in customs policy, while opportunities lie in a reduction of existing tariffs or their validity period. The company continues to monitor macroeconomic developments very closely.

**see BMW Group Report 2024, p.261.

***As of 1 January 2025, the forecast range for Group EBT has been adjusted. For details, please refer to the glossary in the BMW Group Report 2024.

GLOSSARY – explanatory comments on key performance indicators

BEV

Battery Electric Vehicle.

Deliveries to customers

A new or used vehicle is recorded as a delivery once it is handed over to the end user (which also includes leaseholders under lease contracts with BMW Financial Services). In the US and Canada, end users also include (1) dealers when they designate a vehicle as a service loaner or demonstrator vehicle and (2) dealers and other third parties when they purchase a company vehicle at auction and dealers when they purchase company vehicles directly from the BMW Group. Deliveries may be made by BMW AG, one of its international subsidiaries, a BMW Group retail outlet, or independent third-party dealers. The vast majority of deliveries – and hence the reporting of deliveries to the BMW Group – is made by independent third-party dealers. Retail vehicle deliveries during a given reporting period do not correlate directly to the revenues that the BMW Group recognises in respect of that particular reporting period.

EBIT

Profit before financial result. Profit before financial result comprises revenues less cost of sales, less selling and administrative expenses and plus/minus net other operating income and expenses.

EBIT margin

Profit/loss before financial result as a percentage of revenues.

EBT

EBIT plus financial result.

EBT Margin

Profit/loss as a percentage of revenues.

PHEV

Plug-in-hybrid electric vehicle.

RoCE

Return on capital employed (RoCE). RoCE in the Automotive and Motorcycles segments is measured on the basis of relevant segment profit before financial result and the average amount of capital employed – at the end of the last five quarters – in the segment concerned. Capital employed corresponds to the sum of all current and non-current operational assets, less liabilities that generally do not incur interest.

RoE

Return on equity (RoE). RoE in the Financial Services segment is calculated as segment profit before taxes, divided by the average amount of equity capital – at the end of the last five quarters – attributable to the Financial Services segment.

If you have any questions, please contact:

BMW Group Corporate Communications

Dr Britta Ullrich, Finance Communications

Telephone: +49 151 601 18364

Email: britta.ullrich@bmwgroup.com

Sebastian Keßler, Communications BMW Group, Strategy

Telephone: +49 89 382-21616

Email: Sebastian.KE.Kessler@bmwgroup.com

Max-Morten Borgmann, head of Communications BMW Group, Finance, Sales

Telephone: +49 89 382-24118

Email: Max-Morten.Borgmann@bmwgroup.com

Media website: https://newsroom.bmwgroup.com/global/en

Email: presse@bmwgroup.com

The BMW Group

With its four brands, BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2024, the BMW Group sold 2.45 million passenger vehicles and more than 210,000 motorcycles worldwide. The profit before tax in the financial year 2024 was € 11.0 billion on revenues amounting to € 142.4 billion. As of 31 December 2024, the BMW Group had a workforce of 159,104 employees.

The success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key component of the BMW Group’s corporate strategy – from the supply chain through production to the end of the use phase of all products. 

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

X: https://www.x.com/bmwgroup

Munich. The BMW Group reported higher sales year-on-year in the second quarter: Between April and June, deliveries of BMW, MINI and Rolls-Royce vehicles increased by +0.4% to 621,271 units. In the first half of the year, the company delivered a total of 1,207,388 vehicles (-0.5%). Electrified vehicles saw significant sales growth compared to the previous year. With 318,949 fully-electric and plug-in hybrid vehicles delivered to customers, the BMW Group grew its sales by +18.5% in the first half of 2025. New orders across all drive technologies developed positively in the first six months, showing significant year-on-year growth. 

“Thanks to our attractive product line-up, we were able to close the second quarter successfully. Between April and June, the BMW Group reported sales growth of +0.4% compared to the same period last year,” said Jochen Goller, member of the Board of Management of BMW AG responsible for Customer, Brands, Sales. “In the second quarter, we also achieved an important milestone, with the delivery of our 1.5-millionth fully-electric vehicle. This success underlines once again how the BMW Group has evolved from an electric pioneer to one of the leading players in the BEV market – now offering more than 15 fully-electric models,” added Goller.

The BMW brand delivered 1,070,814 vehicles to customers in the first half of the year. During the same period, the brand increased its deliveries in all regions outside of China. The BMW brand posted strong growth in the Europe and Middle East regions.

Electrified vehicle sales also increased compared to the same period last year. With 272,402 electrified units delivered in the first half-year, the BMW brand achieved growth of +6.5%. Its plug-in hybrids (PHEVs), in particular, are seeing a surge in demand. In the first half of the year, the BMW brand delivered 98,339 PHEVs to customers – an increase of +28.9% year-on-year. BMW M GmbH sales were up +6.5%, with over 100,000 vehicles sold in the half-year period from January to June for the first time, marking BMW M GmbH's most successful half-year ever. The BMW M5* and BMW M5 Touring*, released in late 2024, continue to enjoy strong popularity, making significant contributions to sales growth.

The full availability of the New MINI Family showed results in the first half of the year: With a total of 133,778 vehicles sold, the MINI brand reported strong year-on-year growth of +17.3%. The brand grew in all regions worldwide. MINI also posted growth in the Chinese market in the first half-year. MINI’s fully-electric models experienced strong global demand and were the brand's main growth driver. In the first half of the year, more than one in three MINIs sold worldwide was a BEV.

The Rolls-Royce brand increased its sales by +9.4% year-on-year in the second quarter. In the first half of the year, the brand delivered 2,796 vehicles (-0.8%). In the first six months of 2025, BMW Motorrad sold 105,909 motorcycles and scooters to customers (-6.3%).

BMW Group sales in Q2/YTD June 2025 at a glance

¹BEVs and PHEVs                                                                                   

BMW & MINI sales in the regions/markets

²Provisional registration figures

The delivery figures reported in this press release are provisional and may change up until the BMW Group Report 2025 is published. Notes on how delivery figures are prepared can be found in the BMW Group Report 2024 on p. 427.

BMW Group Corporate Communications

Dr Sina Unger, Communications Sales
Telephone: +49 151 601 47564
Email: sina.unger@bmwgroup.com

Carolin Bachmann, Communications Sales
Telephone: +49 151 601 38801
Email: carolin.bachmann@bmwgroup.com  

Max-Morten Borgmann, head of Communications BMW Group, Finance, Sales
Telephone: +49 89 382-24118
Email: max-morten.borgmann@bmwgroup.com

Munich. Tomorrow, the new fine-dining restaurant at BMW Welt will welcome its first customers. Since the start of the year, head chef Jens Madsen – who follows in the footsteps of Bobby Bräuer in the exclusive surroundings of BMW Welt – has been working together with BMW Group Designworks, the BMW Group's innovation studio, on a unique new concept: THE CLOUD by Käfer. Here, Madsen, restaurant manager Mona Röthig, sommelier Luigi Pecchia and their team will introduce guests to the “CULINARY NOMADISM” vision successfully trialled at a pop-up event in April.

The restaurant’s opening season will explore the theme “NOMADIC EARTH”, as Madsen escorts his guests on a culinary voyage.

“With Nomadic Earth, we are writing the first chapter in our new travelogue. We want to offer our guests a special experience of elite-level cuisine that expands their horizons and blends aromas and textures from around the world with the finest produce from our local region – with surprising yet cohesive results. In Jens Madsen, Mona Röthig and Luigi Pecchia, we have assembled a team who are turning this ambitious vision into masterful reality with exceptional skill and passion,” explains Michael Käfer.

“To bring Käfer’s vision to life, Designworks developed the spatial concept and storytelling for THE CLOUD. Materials, forms, and details come together to create an atmosphere that is sensual, full of contrast, and emotionally engaging. In this way, the design becomes an integral part of the overall culinary experience,” says Anders Warming, Head of BMW Group Designworks.

“With THE CLOUD by Käfer, we are adding a new dimension to the BMW Welt experience. In addition to vehicle handovers, we can now also offer our guests an inspirational culinary journey in a unique setting created by BMW Group Designworks Munich. Here, in the upper reaches of BMW Welt on its third level, guests enjoy an impressive view over the inside of the building, while immersed in a fine-dining experience,” adds Sandra Wittemer, Head of BMW Welt.

The experts at BMW Group Designworks and Käfer have worked together closely since 2023 to create a space for all the senses and make a visit to THE CLOUD by Käfer truly unforgettable. Light, music, visual and haptic features flow into one another; every light and every piece of furniture contributes to the experience as a whole. For the execution of the project, BMW Group Designworks collaborated with renowned partners including architectural and design studio hildmannwilke, German lighting design brand Occhio, the artist Oscar Zabala – known for his generative audio-visual performances and installations – and innovative Swiss fabric manufacturer Jakob Schlaepfer, supplier to haute couture fashion houses around the world.

The eight-course menu with complementary side dishes brings regional produce – such as goat’s milk from Lenggries, char from Kinsau and venison from the Poltinger Forest – together with dukkah, black pepper soup and pearl emmer pilaf. And the milk-fed veal brochette is inspired by snacks typically served with a beer in African bars. Jens Madsen takes prime cut of veal, skewered on a spike, and serves it with tiger nut, chapati and habanero pepper.

The philosophy behind Madsen’s cuisine is very much his own and is rooted in movement, memory and origin. This new concept new brings together culinary traditions, skills and spices from around the world with top-quality local produce to create highly distinctive cuisine. In Season 1 at THE CLOUD by Käfer, this features aromas and ingredients from eastern and southern Africa, combined with the delicacies and rhythm of Bavaria. Each course reflects a particular stop on a culinary journey, in some cases inspired by faraway shores, at other times recalling pastures closer to home. It all goes into making cuisine that exudes a curiosity for global influences yet embraces its local roots, appealing to the senses, sparking wonder and surprise, and staying open to new perspectives.

Elegant and inviting, with a technically refined aesthetic, the restaurant displays clear references to the design language of BMW. After ascending to the third level of the “floating” structure conceived by COOP Himmelb(l)au, the guests embark on their journey after leaving the elevator. Arriving on Moon Island, they can take a moment to tune into the feel of the evening. They are greeted in understated style by a digital artwork featuring a quarter moon, which gradually morphs from the golden hour through soft twilight to the deep blue tones of the night.

At the Biophilic Bar, made from Perlino marble, artistically presented ingredients from the menu arouse the guests’ curiosity about the dining to come as they enjoy an aperitif. They then move on to the Slim Bar, where a personalised cocktail will be served – and where they can also round off their journey later on with a concluding drink. Here, the golden hour transitions into the blue hour. The guests then move on through the Chef’s Atelier, decorated with travel photos and exotic examples of kitchenware, until they finally reach the Dining Cloud, taking their seats at tables with panoramic views over BMW Welt. Floating over the centre of this space is the amorphous cloud-like installation from which it takes its name. Made from a transparent, featherweight fabric material, and brought to weightless, constantly changing life by a projection, it reprises both the golden colour of sunset and the deep blue of midnight.

Between the kitchen and the Dining Cloud stands a five-ton monolith made of titanium stone. On this impressive stage, the kitchen team put the finishing touches to the plates, before the servers take them to their recipients. The guests are given another hint of what is happening in the kitchen by a one-way mirror with 15 per cent transparency, which provides glimpses without revealing the whole picture.

BMW Group Corporate Communications

Lisa Meindl, Spokesperson BMW Museum and BMW Welt

Telephone: +49-89-382-31668

E-mail: lisa.meindl@bmw.de

Simone Bauer, Communications BMW Welt

Telephone: +49 151 601 414 52

E-mail: simone.bauer@bmw.de

Internet: https://newsroom.bmwgroup.com/global/en

E-mail: presse@bmwgroup.com

About BMW Group Designworks

Designworks is the BMW Group's innovation studio and a global creative consultancy at the intersection of design, technology and innovation. The "Architects of Future" focus on mobility, product and digital life design as well as strategic design consulting.

The creative studio was acquired by the BMW Group in 1995. Designworks acts as a driving force for all brands of the parent company and as an innovation driver for a large number of clients in a wide range of industries, such as IT and consumer electronics, aviation technology, the medical and environmental sectors, and the lifestyle and sports industries.  The studio was founded in 1972 in Malibu, California by Chuck Pelly. Holger Hampf has been at the helm of the consulting agency since 2017.

About Käfer at BMW Welt

Käfer arrived at BMW Welt in October 2012,  and now operates the Cooper's Garden bistro, Biker’s Lodge café, Bavarie restaurant and THE CLOUD by Käfer fine-dining restaurant. A bespoke culinary concept was developed by Käfer for the new partnership that takes into account the wide variety of guests visiting Bavaria’s most popular attraction. From the people who work at BMW Welt and customers collecting their new cars, to families from the Munich area, tourists from around the world and discerning aficionados of gourmet cuisine – the various eateries offer a broad spread of options for every taste. Particular emphasis has been placed on bringing together regionality and internationality – reflecting the Munich-based heritage of BMW and Käfer – with sustainability front and centre.

The BMW Group

With its four brands BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2024, the BMW Group sold 2.45 million passenger vehicles and more than 210,000 motorcycles worldwide. The profit before tax in the financial year 2024 was € 11.0 billion on revenues amounting to € 142.4 billion. As of 31 December 2024, the BMW Group had a workforce of 159,104 employees.

The economic success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key element of the BMW Group’s corporate strategy and covers all products from the supply chain and production to the end of their useful life. 

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

X: https://www.x.com/bmwgroup

Robust. Dependable. With a clear focus on the future.

The BMW way – for the success of your company.

Dear Shareholders!

Our lives are increasingly digital – and, in global business, virtual formats offer many advantages. But, let's not forget – people are not digital. We all still value meeting face to face. We want to look each other in the eye.

That is why it is great to see so many of you here today, in the Olympiahalle. And to everyone joining us remotely: A very warm welcome to you as well!

This is your company’s 105th Annual General Meeting!

The heart of BMW beats all over the world. BMW is a global team, united by a strong sense of community. 159,000 people: highly motivated. High-performing. Innovative. Together, we are the BMW Group.

Of course, one could also say: BMW, that's just a DAX-listed company. A reliable employer; at its core, it remains an abstract construct.

But everyone at the company knows that BMW is so much more than that! That is why we stand together. Time and again, we have proven that we seize opportunities, act swiftly and adapt with remarkable flexibility. We learn from the unexpected – which is what truly matters. We then emerge stronger than before – just as we did after the global financial crisis and the Covid pandemic.

We make decisions with a long-term perspective.

This mindset goes back to entrepreneur Herbert Quandt, whose family continues his legacy – much like we do here at BMW.

You, our shareholders, remain by our side in this. You give us entrepreneurial freedom – and that is a privilege we value, especially in turbulent times.

Today, our environment is more dynamic than ever.

We face highly complex challenges, shaped by conflicting priorities and paradoxes. Above all, we are confronted with new geopolitical realities that directly affect our business.

At the same time, our industry is undergoing significant change. The shift towards e-mobility is just one facet of a broader, all-encompassing process – a technology race that culminates in elimination of some players.

When things are uncertain, many stay stuck in “neutral”, waiting. Not your company! We are now shifting into “sport mode” –hands on the wheel, eyes on the road. Standing here on stage is the BMW Vision Neue Klasse you are already familiar with. Later on, I’ll even show you the first two production models of the NEUE KLASSE. Our vision is becoming reality, as we reach the next milestones for BMW and the entire company.

By anticipating trends in the marketplace early, we consistently manage to make major technological leaps at exactly the right time. We invest proactively in electrification, digitalisation, our production network, our products and the NEUE KLASSE. By 2024, we will have reached the peak of our investment and R&D activities, with expenditure in each area exceeding nine billion euros. This is a peak, not a plateau.

We have invested a considerable amount of money.

In the years ahead, the full impact of these upfront investments will become clear – just as I promised. We are realising our plans for the future with your best interests in mind. You, our shareholders, should benefit from the continuing success of your company, alongside our employees.

That is why we remain firmly committed to our shareholder return strategy: We are proposing a dividend payout of 36.7 percent of our unappropriated profit – which would amount to a total of 2.6 billion euros. If you approve our proposed dividend, this will be our highest-ever payout ratio.

Your company is in a strong position, focused on the future:

We are digitalising our vehicles and leveraging tech clusters and architectures with massive scaling potential. We are utilising artificial intelligence throughout our value chain. Very soon, nearly every process at the company will be supported by AI, making us even faster and more precise – and not just in production and logistics. At your company, efficient cost structures are the standard – you can always count on that.

The automotive industry has been through many upheavals –in response to the rise of industrialisation, technological progress, new processes and evolving markets, as well as changing regulations and societal expectations.

The BMW way is shaped by confidence – because we provide meaningful answers. I would like to show you today how we do that through:

1.     Our strategy: which is market-driven and technology-open.

2.     Our goals: We met our adjusted targets for 2024 and are targeting growth this year.

3.     Our global footprint: a differentiating factor and competitive advantage in a fragmented world.

4.     Our future-focused project for tech leadership: BMW is the NEUE KLASSE – and the NEUE KLASSE is BMW.

Let me begin with my first point: our strategy.

Technology openness means following the markets – because markets evolve, but not all at the same pace. We took a clear stand on this, even in the face of strong headwinds. Now, the wind has shifted in our direction:

•      “BMW late winner of the drivetrain transition”.

•      “How BMW went from laggard to magician”.

•      “Germany’s true electric-car champion”.

These headlines were taken from trade journal “Auto, Motor und Sport”; weekly magazine “Wirtschaftswoche”; and newspaper “Die Welt”.

Our models and diverse drivetrain portfolio are also winning awards, including the “Goldene Lenkrad” (Golden Steering Wheel). I accepted three trophies in Berlin – a very special moment.

Our brands and products are being extremely well received. The German Car of the Year award, presented to the 5 Series and i5*, is the first-ever win for a technology-open model series.

While other manufacturers are reversing course or adjusting their strategy, we are on exactly the right track. Even policymakers are starting to come around: The new German federal government supports a broad approach to technology, while the European Commission seeks to make Europe more competitive. The “Green Industrial Deal” finally considers climate protection and the economy “in tandem”. That is a good thing.

From e-drives and plug-in hybrids to highly efficient conventional drive technologies: No one masters this level of variety better than your company. As previously announced, we will be adding a production model with a hydrogen drivetrain in 2028. All of this benefits our customers, while, at the same time, making a measurable contribution to climate protection. And, yes, we have the facts and figures to back this up:

In 2024, the BMW Group significantly outperformed its European CO2 fleet target by more than 30 grammes. That is a huge leap forward, which cannot just be taken for granted. Based on internal calculations, our numbers came in at under 100 grams for the first time – at 99.5 grammes per kilometre. The official data will be published by the European Commission at year-end. We are also gearing up to meet the much stricter targets for this year, as you would expect from us.

We take ambitious political goals seriously – but we don’t believe in technically one-sided regulations that limit supply. The same principle applies to the circular economy. Here, too, only a comprehensive approach can enable and stimulate investment. Because, as a standalone technology, e-mobility leads down a dead-end street – that much is now clear. The differences are simply too great, even just within Europe.

Belgium, for example, offers incentives: Electric and hybrid models quickly became the most popular new cars, reaching a market share of over 60 percent in 2024. Contrast that with Italy, where electric cars made up only about four percent of total sales last year.

Is that the fault of the products? Certainly not. Is it because of the customers? Definitely not. The all-important question is rather:

How do we effectively cut CO2? Certainly not by thinking in black and white. Supporting one solution does not necessarily mean opposing another. Our approach proves this time and again – and remains effective. We all need to be much more opportunity-driven, guided by entry – not exit – strategies.

Political goals must reflect market realities – and also be viable for businesses. Global investment is already looking ahead to 2030, and especially 2035. That is why the upcoming review of EU targets will be so decisive. It is our chance to improve the system. Europe needs a top-performing automotive and supplier industry. We are fighting for this and pushing back against negative developments.

For our customers, we will remain broadly diversified – and, for you, our shareholders, we are securing the success of your company. We don’t want to miss out on any market potential. We will continue to stand firm – but always open to dialogue with decision-makers around the world. We explain the complex mechanisms of our industry, asking: What will the proposed legislation mean in practice? The Board of Management and I are personally engaged in this work.

At your company, we mostly let our actions speak for themselves: Just as I promised you last year – we already have more than 15 all-electric models on the market. Our BMW iX* has been recently updated, so that it now boasts an electric range of up to 701 kilometres in the WLTP cycle. In 2024, battery-electric vehicles – BEVs, for short – were once again key growth drivers for us. By year-end, more than 17 percent of our total sales were fully electric. This is significantly higher than at many other manufacturers. You’ll also be pleased to hear that this positive trend accelerated into 2025. In the first quarter, our global BEV sales increased over 30 percent. Europe led the way, with growth of more than 60 percent.

The US market was also up by over 20 percent.

If you include both BEVs and plug-in hybrids, more than one in four of our vehicles is now electrified, while nearly one in five is already fully-electric. We are making good progress. We are delivering – and maintaining our credibility.

My second topic for today is our goals.

As always, they are ambitious. Even in difficult conditions, not every market contracts. There are always regions where growth is possible – and your company exploited this potential to the full in 2024: In three of our four main sales regions, we increased deliveries and often gained market share.

Joy is at the heart of our BMW brand, sparking positive emotions all around.ach of our company’s four brands – BMW, MINI, Rolls-Royce and BMW Motorrad – has its own unique character and strengths. BMW remains number one in the premium segment. BMW M also reported dynamic growth, achieving record sales for the 13th consecutive year. Nearly one in ten BMWs sold last year was a profitable M model. The new MINI family is now complete: With five models, three of which are fully electric. The MINI brand not only has a positive impact on our carbon footprint, it also has a strong fan base. In the luxury segment, Rolls-Royce continues to set the benchmark. With the Black Badge Spectre*, a second fully electric Rolls-Royce is now available. The Phantom is the brand's most iconic vehicle. And it is celebrating its 100th birthday this year. All good reasons to expand the Goodwood factory. At over 300 million pounds, this will be our biggest investment in the plant since it opened in 2003. BMW Motorrad impressed once again. Our two-wheeler brand remains the undisputed global number one in the premium motorcycle segment – again reaching a new all-time high, with 210,000 motorcycles and scooters sold. The GS accounts for nearly a third of those sales. It will be joined later this year by the new 1300 Series model family. I like to ride a motorbike myself, so I can assure you that our line-up is our strongest ever.

We accomplished all this in 2024 – despite the fact that many things unfolded differently than expected, as the year progressed. The delivery stops and recalls associated with an Integrated Brake System IBS component from one of our suppliers had a financial impact – but we responded quickly, keeping our communications transparent.

At the same time, the Chinese market remained weak and demand for electric vehicles declined in several markets. In light of this, in September 2024, we adjusted our guidance. From that point on, we pushed even harder to keep your company on track. That is another thing that sets us apart. We met our updated targets, with more than 2.45 million vehicles delivered to customers and a Group EBT margin of 7.7 percent.

You already know that we sold fewer vehicles in China, where competition is intense and prices are increasingly under pressure. It should come as no surprise that domestic manufacturers are expanding their market share. However, BMW remains number one in its segment. China is still our largest single market for electric vehicles, with over 100,000 BEVs delivered to customers there in 2024. Let us not forget that we have enjoyed above-average success in the Chinese market for many years.

What is also important: Your company has earned an excellent reputation in China, built on years of market presence and sustained investment. Since 2010, we have invested around 116 billion renminbi in our production base in Shenyang alone. We also have a strong R&D network in China, second only to Germany. I’ve visited China several times over the past few months, including attending the “China Development Forum”, where BMW was the exclusive mobility partner, providing 30 fully-electric BMW i7s* and i5s* for the event. All of us on the Board of Management are regularly on the ground to talk directly with our “BMW Team China”. Our China strategy is based on the principle “in China for China”. The same applies to the NEUE KLASSE. The first models produced for the NEUE KLASSE in China will come off the Shenyang assembly line from 2026. Our design team in Shanghai led development of all China-specific models of the NEUE KLASSE. As a result, our local BMW iX3* will be tailored to the needs of Chinese customers – in other words, “from China for China”.

Our market-specific approach has proved effective over many years. The technology race in our industry will be decided in China – where else? – where AI is widely adopted. That is why we are establishing AI partnerships with leading Chinese tech companies, to integrate these innovations directly into our vehicles in China. For example, we are collaborating with Alibaba to develop the next stage in voice interaction between humans and vehicles. DeepSeek will also be a part of this.

We will begin integrating DeepSeek’s AI capabilities into our newest models in China by the end of this year. These examples show that, even when it comes to digital applications, we operate “in China, for China” – and at “China speed”. As our largest single market, getting back on track for growth in China is clearly a priority. That is why we are currently consolidating our retail network.

What matters most to you, as shareholders, is:

What are our plans for 2025?

In a word: growth. Our sales are forecast to increase slightly. What makes us so confident? Our products. Between now and 2027, BMW will bring more than 40 new or updated vehicles to market across all drive train variants. This year, one of our most successful models will celebrate its 50th anniversary: the BMW 3 Series. The latest version of our extremely popular BMW X3 is fresh on the market. We manufacture the X3 worldwide – in Spartanburg, South Carolina, in the USA; Shenyang, China; and Rosslyn, South Africa. This is a clear example of how we are responding flexibly in an increasingly protectionist environment.

We are also realigning our sales and marketing to meet the demands of the future. In some markets, an agency model enables customers to move seamlessly between online and offline channels. MINI has already transitioned 15 markets in Europe. The process for our core BMW brand will be significantly more comprehensive, learning from our experience with MINI. We are using this year and next to prepare for the launch of the BMW brand. I’m sure many of you are wondering: What about our retailers? They remain close by our side, of course. The entire transition is taking place in collaboration with them. Anything else would not be the BMW way. Retailers and our BMW branches remain important to our sales success – and, above all, to our customers’ brand experience.

In uncertain times, making reliable forecasts is not easy. In our guidance for financial year 2025, we responded quickly to current developments, already factoring in the known tariff impacts, as of 12 March 2025. These effects account for approximately one percentage point on the EBIT margin in the Automotive Segment, which we now expect to be within the range of five to seven percent.

Global conditions remain dynamic and uncertain. That’s why many OEMs – not only in our industry – are not issuing forecasts at this time. Not us. After the first quarter, we confirmed our guidance.

Our assumptions are based on fundamental premises. We expect developments in the tariff debate by the summer. We are confident that a good compromise can be reached in the negotiations with the US this year. We are closely monitoring developments and actively preparing for a range of scenarios. In the long term, we remain committed to achieving an Automotive EBIT margin with our target range of eight to ten percent.

A key lever for this is lowering operating costs, which we expect to decline in nominal terms over the course of the year.

For my third point, I’d like to talk about our global footprint.

The global economy is deeply interconnected, with tightly interwoven supply chains. Can this be undone? We don’t believe so. What we do know is that protectionism leads down a dead-end street. Take modern semiconductors, for instance – which use 60 elements from the periodic table. No single country has all of these. In the end, everyone loses:

Products become more expensive and less innovative. And who ends up “footing the bill”? The customer, of course.

Punitive tariffs, rising regional isolation, technological decoupling:

How can we continue to succeed and stay out of geopolitics in such an environment? These are also your top issues as shareholders, which you have shared with us. Today, global reach and appeal are no longer enough. Only companies that are firmly established locally in the regions will remain “in the game”. This is becoming a condition for economic success.

Your company has built this presence in major regions of the world over decades – with production, R&D, sales and marketing and suppliers. We generate added value locally. As a result, we are one of the few truly global players in our industry today – and that gives us a real competitive advantage. Your company has already evolved to the next level, balancing sales and production within our network of global value creation. In other words: In Europe, the US and China, we sold roughly the same number of vehicles, in absolute terms, in 2024, as we produced in each of these regions: about a million cars in Europe, just under 400,000 in the US and around 700,000 in China. No one will be able to replicate this anytime soon.

Another important asset is our “local-for-local” approach, which we are systematically expanding as local supply chains and collaborations become more important. Take our assembly plants for high-voltage batteries: Five new facilities are currently under construction – all of them close to our production in Europe, the Americas and China. Here, we will manufacture the next generation of high-voltage batteries for our electric vehicles.

One of these new facilities is being built right around the corner from here, in Irlbach-Straßkirchen. Trade journal “Auto Motor and Sport” reported on this under the headline: "BMW builds faster than BYD”. You can’t put it more succinctly! In other words, “China speed” – also in Lower Bavaria.

Despite our balanced distribution of sales and production, we will continue to be a major exporter – especially from our domestic market of Germany and our “second home”, the US. 

Our roots lie in Munich and Bavaria – and origins come with a responsibility. In 2024, we produced over one million vehicles at our German plants. That’s about a quarter of the country’s total car production. More than half of these vehicles were sold outside the European Union. We are making an important contribution – in Germany and for Germany as a manufacturing location. As I said: Origins come with a responsibility.

We are carrying this principle forward with the next generation. Right now, on the plant grounds in Munich, we are building a Talent Campus. That name is a promise: a new hub for skills development, serving all 40,000 employees at the Munich location. Talents with various perspectives make us stronger and more innovative. That is, and always will be, our culture at BMW.

This year, we are celebrating “50 years of BMW North America”. I was in Spartanburg in January to receive an award from Republican Governor Henry McMaster, honouring BMW's 30-year commitment to South Carolina. Its political representatives recognise and appreciate that, without BMW, the region and the state would have taken a very different path.

The numbers speak for themselves: We provide 43,000 jobs in South Carolina – both directly and indirectly. Every second vehicle built at our Spartanburg plant is exported, generating an export value of over ten billion US dollars in 2024 alone. Once again, this made your company the largest automotive exporter in the United States by value. Over the past ten years, our total export value has exceeded 100 billion US dollars. Now, we are investing over 1.7 billion US dollars to bring Spartanburg up to speed for e-mobility. The first e-model from Spartanburg will already roll off the assembly line next year.

All these figures underline BMW’s economic impact in the United States. We are the only ones with such a extensive production in the US. Our value creation is comprehensive. These are strong arguments that will play a key role in the ongoing tariff negotiations.

Looking at the global picture: With tariffs, it’s currently everyone against everyone else. We advocate for eliminating tariffs altogether: for our industry, based on fair negotiations. That is why we had submitted a widely respected proposal some time ago, calling for a uniform tariff rate of 2.5 percent between Europe and the US. All of this clearly underlines that your company is in a very strong negotiating position – not only in the US, but across all regions. This sets BMW apart from other OEMs. We are in continuous dialogue with decision-makers everywhere: in Brussels, Berlin, Washington, D.C. and Beijing.

In the European Union, we are taking a firm stance. This includes the EU’s additional tariffs on BEV imports from China. Since October 2024, this has also impacted our electric BMW and MINI models produced in China. We are defending our position and have filed a lawsuit against the European Union, seeking a judicial review of this anti-subsidy measure.

Your company benefits from an integrated global economy. That much is certain. Our position remains unchanged: We stand for open markets and free trade. Growth thrives on openness – not isolation! Period.

My fourth point is about our future-focused project for tech leadership:

BMW is the NEUE KLASSE – and the NEUE KLASSE is BMW.

The 1960s were a long time ago. That was when the original Neue Klasse first entered the market, generating strong momentum for BMW's long-term growth. Today, once again, we are setting the course for your company’s success in the decade ahead, guided by the principle:

BMW is the NEUE KLASSE – and the NEUE KLASSE is BMW.

We do not draw a line between “old” and “new” technology worlds. Every future BMW model will benefit from our technology clusters. The new design language will also be implemented across the entire product range.

The NEUE KLASSE is a huge technology kit that enables everything else.

We are targeting economic advantages through high levels of commonality and economies of scale. Our customers get the latest technology in their vehicles – regardless of which drive train they choose. Now, bear with me, it's about to get a little bit technical: In the NEUE KLASSE, Sheer Driving Pleasure is also about software, such as our BMW Panoramic iDrive. This includes a completely new display system that projects content across the full width of the windscreen. Four high-performance computers control the most important in-car functionalities. These “super brains” deliver up to 20 times more in-vehicle computing power. We have also simplified the new electrical system, with 600 metres less wiring, reduced weight and higher energy efficiency. That’s how we do it in the NEUE KLASSE.

One of the four high-performance computers is our “Heart of Joy”. All drivetrain and driving dynamics functions are integrated into this electronic control unit. International journalists tested it on the track with our factory driver, Jens Klingmann – in our BMW Vision Driving Experience or VDX for short. This is how is went:

Movie

You can't fake that kind of emotion. That is Sheer Driving Pleasure in its purest form – taken to a whole new dimension in our BMW Vision Driving Experience. The VDX is the most powerful prototype we have ever built. Its key data are quite remarkable: 18,000 Newton meter of torque, a downforce of up to 1.2 tonnes and lateral forces of up to 3 G. That is, three times the acceleration due to gravity. These are the kinds of figures typically only seen in top-tier racing cars. We are testing the physical limits of driving. Why are we doing this? The answer is simple: A system that is capable of managing forces like these can – without question – handle everyday driving with ease.

At the Auto Shanghai in April, we took things a step further, building our own test track to showcase the VDX, complete with a massive ramp.

Movie

It was spectacular! Our VDX was a hit – and the social media reach was tremendous. Many of the technologies featured in the VDX will also be used in the NEUE KLASSE.

We are entering the home straight – and we intend to prove that to you, right here, today. For those of you here in the Olympiahalle, please remain in your seats when the vehicles make their entrance in a moment.

Driving scene

Ladies and Gentlemen, the first two production models of the NEUE KLASSE!

As you can see, they are still camouflaged – to maintain the suspense just a little bit longer. You are all “practised” BMW shareholders, so I’m sure you’ll recognise the proportions right away: This model is a sporty sedan in the current BMW 3 Series segment. The other is a typical member of the X family, our BMW iX3* – which will be the first representative of the NEUE KLASSE. You could even say it is getting its own plant, since we are producing the iX3 at our new plant in Hungary. We will be opening the Debrecen location this autumn. The sporty sedan for the NEUE KLASSE won't just simply roll off the production line either. Just a short distance from the Olympiahalle is our more than 100-year-old Munich main plant. We are completely refurbishing it for modern industrial production in the heart of the city.

The second model will ramp up there in 2026. After that, the NEUE KLASSE will be rolled out worldwide across our production network. I would like to invite you all to the IAA MOBILITY here in Munich in September for the world premiere of the BMW iX3 – without camouflage, of course, exactly as it will be available to our customers.

Dear Shareholders!

At BMW, the proverbial glass is never half-empty – it is always at least half-full. We focus on opportunities and pursue them systematically – even in an uncertain environment. BMW will turn 110 next year.

The NEUE KLASSE is just one example of how we continue to take bold, forward-looking action. The BMW way is shaped by confidence.

That’s what our “Team BMW Group” stands for at all our locations worldwide. We never rest on our laurels. Together, we will ensure that your investment remains worthwhile.

All of us at the company truly appreciate your continued support.

Thank you!

Munich. Attractive products, strong order volumes and strict cost discipline have ensured for the BMW Group a start to the year according to plan. The premium manufacturer from Munich continued its dynamic BEV ramp-up in a volatile and competitive environment, while delivering profitability at the upper end of its 2025 target range in the Automotive Segment. The BMW Group has thus once again confirmed the long-term viability of its strategy of technology openness.

In the first quarter of the year, the BMW Group delivered 586,117 premium vehicles to customers (-1.4%). More than a quarter of these were electrified (26.9%), with fully-electric vehicles once again showing significant sales growth of +32.4%. The EBIT margin in the Automotive Segment – one of the company’s key profit indicators – stood at 6.9%, placing it at the upper end of the targeted range of 5-7% for the year.

“The more challenging the environment, the more crucial it is to have compelling products, a consistent strategy and a high degree of flexibility. Our technology-open approach remains a key success factor: with our young, highly attractive models and our broad range of drives, we are able to meet the various needs of customers worldwide. This enables us to achieve robust results and stay on course to meet our ambitious full-year targets,” said Oliver Zipse, Chairman of the Board of Management of BMW AG. “With the NEUE KLASSE, we are putting our biggest future project on the road: we are expanding our fully-electric offering, and rolling out future technology clusters and the new design language across our entire model portfolio. This will raise the level of innovation in our vehicles across all drive types to a whole new level – while also setting the course for profitable growth and sustainable success.”

Significant increase in fully-electric vehicle deliveries

Despite persistently strong competition in China, the company's global deliveries remained largely in line with the previous year (-1.4%). In the first three months, the BMW Group achieved growth in key markets Europe (+6.2%) and the US (+4.0%).

In the first quarter of 2025, the BMW brand delivered a total of 520,121 vehicles to customers worldwide, surpassing the previous year’s volume in all regions except China. The strongest growth was recorded by the new BMW 5 Series models (+35.8%), as well as the BMW X1 and X2 variants (+31.8%).

The BMW M brand achieved solid sales growth of +5.0% in the first quarter, delivering a total of 50,500 vehicles to customers. The main growth drivers were the high-performance models BMW M3* and M3 Touring* as well as BMW M5* and BMW M5 touring*, which were in high demand across all regions.

The MINI brand, which updated its entire product range over the course of last year, sold 64,615 units worldwide – an increase of 4.1%. The Rolls-Royce brand delivered 1,381 units to customers between January and March (-9.4%).

Fully-electric vehicles from the BMW, MINI and Rolls-Royce brands reported significant growth, with 109,513 deliveries worldwide (+32.4%). The BMW iX1* was the brand’s most successful BEV model, while the BMW i4* accounted for half of all BMW 4 Series delivered.

Sales of fully-electric vehicles saw the strongest growth in Europe (+64.2%). New models from the MINI brand were major contributors to this: The urban premium brand delivered a total of 22,794 fully-electric vehicles, achieving a BEV share of 35.3%.

The BMW Group currently offers at least one model with an electrified drive train in every vehicle class. Total deliveries of electrified vehicles (BEVs and PHEVs) also rose significantly in the first three months of the year, reaching 157,487 vehicles (2024: 122,582 vehicles/+28.5%).

The BMW Group is successfully implementing its strategic plan to further expand e-mobility. Additionally, it will reach two significant sales milestones: first, the delivery of 1.5 million fully-electric premium vehicles since the market launch of the BMW i3 in 2013; and second, a total of three million electrified cars since then.

Group EBT margin at 9.2%  

First-quarter Group revenues totalled € 33,758 million (2024: € 36,614 million/-7.8%; currency-adjusted: -8,7%). As previously announced, the BMW Group benefited from a moderate reduction in administrative and sales expenses. Compared with the previous year, sales revenues declined particularly in the highly competitive Chinese market, as expected.

Between January and March, the BMW Group reported pre-tax earnings (EBT) of € 3,113 million (2024: € 4,162 million/-25.2%). 

The EBT margin for this period was 9.2% (2024: 11.4%). Group net profit for the first quarter totalled €  2,173 million (2024: € 2,951 million/-26.4%).

Automotive EBIT margin at upper end of full-year guidance

The Automotive Segment earned revenues of € 29,211 million (2024: € 30,939 million/-5.6%%).

The anti-subsidy tariffs on BEVs produced in China, introduced by the European Commission in October, increased the cost of sales, creating a headwind in the low three-digit million euro range, as forecast.

Earnings before financial result (EBIT) for the first quarter totalled € 2,024 million (2024: € 2,710 million/-25.3%). The EBIT margin came in at 6.9% (2024: 8.8%) and was thus at the high end of the target range of 5-7% for the year. Excluding depreciation and amortisation from the BBA purchase price allocation,the EBIT margin for the first quarter was 8.1%.

The BMW Group is systematically leveraging innovations, focusing on efficient and low-emission technologies, as well as further electrification and digitalisation of both its product line-up and the company.

Based on the strength of its current operating performance, the BMW Group allocated € 1,984  million (2024: € 1,974 million/+0.5%) to research and development in the first quarter which was concentrated on electrification and digitalisation of the vehicle fleet across all model series.

The company also incurred R&D expenditure primarily for the future models of the NEUE KLASSE, such as the BMW iX3, and the successor models to the BMW X5 and BMW X7.

“The BMW Group stands for long-term growth, sustainable value creation and continued dependability for its stakeholders. Stable financial performance and effective cost management characterised the first quarter despite the challenging environment. We remain focused on improving our efficiency and optimising our cost structures,” said Walter Mertl, Member of the Board of Management of BMW AG, Finance, at the quarterly conference call in Munich.

“Digitalisation and AI are contributing to this. Innovation and business benefits go hand in hand for us. We are also leveraging the proven flexibility of our network to address the current geopolitical challenges.”

Automotive Segment free cash flow at € 413 million

The free cash flow of the Automotive segment amounted to €413 million in the first quarter of 2025 (2024: €1,283 million). The decline compared to the previous year is primarily due to lower earnings before taxes, an expected higher consumption of provisions, and increased cash outflows from capital expenditures related to 31 December 2024 in the amount of €964 million.

Conversely, the seasonally typical but significantly lower increase in stock compared to the previous year led to the change in working capital of €65 million (2024: -€1,189 million).

From January to March, capital expenditure totaled €1,202 million (2024: €1,323 million/-9.1%). The capex ratio came in at 3.6% (2024: 3.6%).

The BMW Group is still targeting a free cash flow of > € 5 billion in the Automotive Segment for the full year.

Robust performance in Financial Services Segment

BMW Group Financial Services benefited from dynamic new leasing business in the first quarter of the year, with new leasing contracts up 12.7%. Overall, total new retail business was down slightly, compared to the previous year, with 402,811 new contracts concluded (-4.6%). The financing and leasing business for new vehicles remained at the previous year's level. Outside of China, new business was stable at a high level.

The volume of new business increased slightly, driven by higher financing volumes per vehicle across all financing and leasing contracts with retail customers, reaching € 15,988 million (2024: € 15,620 million/+2.4%).

The percentage of BMW Group new vehicles leased or financed by the Financial Services Segment reached 43.0% at the end of the first quarter (2024: 41.8%/+1.2 percentage points). In the three-month period, the segment reported pre-tax earnings of € 650 million (2024: € 730 million/-11.0%). Most notably, lower income from the resale of end-of-lease vehicles led to a year-on-year decrease in earnings, as the number of end-of-lease vehicles was lower than in the previous year. During the reporting period, the credit loss ratio remained at the low rate of 0.23% across the entire loan portfolio (2024: 0.21%).

BMW Motorrad with EBT margin of 9.4%

In the year to the end of March, BMW Motorrad delivered 44,609 motorcycles and scooters to customers (2024: 46,434 units; -3.9%). The segment EBIT margin of 9.4% (2024: 12.2%) was above the targeted range of 5.5-7.5% for the year.

BMW AG continues share repurchase programme

Following the authorisation granted by the Annual General Meeting of BMW AG on 11 May 2022, the company has acquired treasury shares. The shares from the initial repurchase programme have already been retired.

As of 31 March 2025, BMW AG holds 22,317,345 own shares from the second buy-back programme, corresponding to a nominal amount of €22,317,345.

Based on the authorisation granted at the Annual General Meeting of 11 May 2022, as of 31 March 2025, BMW AG had purchased shares equivalent to 7.27% of the share capital.

BMW Group confirms full-year guidance
The International Monetary Fund (IMF) has revised its forecasts for global economic growth downwards to 2.8% in April 2025: Current trade conflicts and the associated potential rise in inflation, as well as uncertainty among businesses and consumers, could weigh on global growth.

According to sector forecasts, the global automotive markets are likely to see slight growth. 

The BMW Group expects demand to rise in many markets in 2025, driven by a stabilizing inflation and further moderate interest rate cuts. In the USA, permanent tariffs could be reflected in rising inflation.

The guidance* published in the BMW Group Report 2024 in March 2025 includes all tariff increases that had taken effect by 12 March 2025. Due to the volatile developments and ongoing negotiations, the potential impact of tariffs in the current financial year can only be estimated, based on assumptions. The BMW Group expects some of the tariff increases to be temporary, with reductions from July 2025. The forecast also includes mitigating measures to offset the impact of higher tariffs.

Given the sustained demand for its attractive premium vehicles, the BMW Group is able to confirm its guidance for the year. The company anticipates slight sales growth, with fully-electric vehicles contributing to a slightly higher share of deliveries. Due to the factors mentioned above, Group earnings before tax are expected to be on a par with the previous year.**The EBIT margin for the Automotive Segment is forecast to be within the range of 5.0-7.0%, with an RoCE of between 9-13%.

In the Financial Services Segment, RoE is projected to be between 13-16%.

In the Motorcycles Segment, a slight increase in sales and an EBIT margin within the range of 5.5-7.5%are forecast, with an RoCE of 13-17%.

The above targets will be achieved with the current number of employees.

The BMW Group’s actual business performance may deviate from these projections – for example, due to changes in political and macroeconomic conditions. Risks to earnings could arise, for instance, from further tariff increases or tariffs remaining in place for longer than planned, potentially extending well into the second half of the year. The company continues to closely monitor macroeconomic developments.

Escalation of trade disputes could also lead to supply bottlenecks – for example, from import or export restrictions on specific parts or raw materials.  

*Fuel consumption/emissions data:

BMW i4 eDrive35: energy consumption combined: 15,4 kWh/100 km (WLTP); CO₂ emissions combined: 0 g/km (WLTP); CO₂ class: A

BMW iX1 eDrive20: energy consumption combined: 15,4 kWh/100 km (WLTP); CO₂ emissions combined: 0 g/km (WLTP); CO₂ class: A

BMW M5 Limousine: energy consumption combined: 26,8 kWh/100 km and 1,9 l/100 km (WLTP); CO₂ emissions weighted combined: 43 g/km (WLTP); CO₂ class: unloaded battery G; weighted combined B

BMW M5 Touring: energy consumption weighted combined: 27,6 kWh/100 km and 2 l/100 km (WLTP); CO₂ emissions weighted combined: 45 g/km (WLTP); CO₂ class: unloaded battery G; weighted combined B

BMW M3 Competition Limousine with M xDrive: energy consumption combined: 10,2–10,1 l/100 km (WLTP); CO₂ emissions combined: 230–228 g/km (WLTP); CO₂ class: G

BMW M3 CS Touring: energy consumption combined: 10,5 l/100 km (WLTP); CO₂ emissions combined: 238 g/km (WLTP); CO₂ class: G

*see BMW Group Report 2024, p.261.

** As of 1 January 2025, the forecast range for Group EBT has been adjusted. For details, please refer to the glossary in the BMW Group Report 2024.

GLOSSARY – explanatory comments on key performance indicators

BEV

Battery Electric Vehicle.

Deliveries to customers

A new or used vehicle is recorded as a delivery once it is handed over to the end user (which also includes leaseholders under lease contracts with BMW Financial Services). In the US and Canada, end users also include (1) dealers when they designate a vehicle as a service loaner or demonstrator vehicle and (2) dealers and other third parties when they purchase a company vehicle at auction and dealers when they purchase company vehicles directly from the BMW Group. Deliveries may be made by BMW AG, one of its international subsidiaries, a BMW Group retail outlet, or independent third-party dealers. The vast majority of deliveries – and hence the reporting of deliveries to the BMW Group – is made by independent third-party dealers. Retail vehicle deliveries during a given reporting period do not correlate directly to the revenues that the BMW Group recognises in respect of that particular reporting period.

EBIT

Profit before financial result. Profit before financial result comprises revenues less cost of sales, less selling and administrative expenses and plus/minus net other operating income and expenses.

EBIT margin

Profit/loss before financial result as a percentage of revenues.

EBT

EBIT plus financial result.

EBT Margin

Profit/loss as a percentage of revenues.

PHEV

Plug-in-hybrid electric vehicle.

RoCE

Return on capital employed (RoCE). RoCE in the Automotive and Motorcycles segments is measured on the basis of relevant segment profit before financial result and the average amount of capital employed – at the end of the last five quarters – in the segment concerned. Capital employed corresponds to the sum of all current and non-current operational assets, less liabilities that generally do not incur interest.

RoE

Return on equity (RoE). RoE in the Financial Services segment is calculated as segment profit before taxes, divided by the average amount of equity capital – at the end of the last five quarters – attributable to the Financial Services segment.

If you have any questions, please contact:

BMW Group Corporate Communications

Dr Britta Ullrich, Finance Communications

Telephone: +49 89 382-18364

Email: britta.ullrich@bmwgroup.com

Sebastian Keßler, Communications BMW Group, Strategy

Telephone: +49 89 382-21616

Email: Sebastian.KE.Kessler@bmwgroup.com

Max-Morten Borgmann, head of Communications BMW Group, Finance, Sales

Telephone: +49 89 382-24118

Email: Max-Morten.Borgmann@bmwgroup.com

Media website: https://newsroom.bmwgroup.com/global/en

Email: presse@bmwgroup.com

The BMW Group

With its four brands, BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2024, the BMW Group sold 2.45 million passenger vehicles and more than 210,000 motorcycles worldwide. The profit before tax in the financial year 2024 was € 11.0 billion on revenues amounting to € 142.4 billion. As of 31 December 2024, the BMW Group had a workforce of 159,104 employees.

The success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key component of the BMW Group’s corporate strategy – from the supply chain through production to the end of the use phase of all products. 

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

X: https://www.x.com/bmwgroup

Munich. The BMW Group is entering the financial year 2025 with a clear commitment to growth – with a planned slight increase in sales volume, a decrease in investments and robust free cash flow.

“What has always set the BMW Group apart is our ability to maintain our course, even in challenging conditions. We remain clearly focused on two things – our near term performance and our long-term perspective,” said Oliver Zipse, Chairman of the Board of Management of BMW AG, on Friday. “With the NEUE KLASSE, we are implementing the biggest future-focused project in the history of our company, while at the same time achieving a robust free cash flow.”

At the end of this year, the first production model of the NEUE KLASSE, the new BMW iX3, will kick off an unprecedented ramp-up of new models: Across all drivetrain variants and all segments, the BMW Group will release more than 40 new and updated vehicles onto the market by 2027. What these new models have in common is that they will be equipped with future technology clusters, which will be rolled out successively across the entire portfolio with the launch of the NEUE KLASSE.
“We are taking a huge leap forward with our new technology clusters – achieving maximum scalability, increasing the level of innovation and enhancing customer benefits. We do not differentiate between segments or drivetrain technologies – we provide every customer with the latest technology,” said Zipse.

Consistent implementation of strategy

The BMW Group made extensive investments in innovative technologies, its model line-up and manufacturing footprint worldwide in 2024. There will be a decrease in expenditure this year, from the planned peak in R&D spending and capital expenditure last year. On this basis, the company is aiming for a profit before taxes at the previous year’s level – despite increased tariffs.

“Never before in the history of BMW have we invested so extensively in our future. Investment reached its highest level in 2024, as planned. This underlines the durability of our strategy – and how consistently we are implementing it,” said Walter Mertl, member of the Board of Management, Finance.

Technology openness as strategic success factor in global competition

The diversity of its product range remains a key success factor for the BMW Group: The company is well positioned to meet globally diverse requirements and customer needs – both today and in the future – with a broad drivetrain portfolio spanning internal combustion engines, plug-in hybrids, battery-electric drive trains and, starting in 2028, also fuel-cell electric vehicles powered by hydrogen.

Highly efficient internal combustion engines, which remain in high demand worldwide, will continue to play a key role. Last year alone, the company released more than 15 new or updated models with internal combustion engines onto the roads. All engines have been approved for higher percentages of renewable fuels for years. Fuels with lower CO₂ content are the most effective way to reduce the carbon footprint of the existing fleet of over 250 million vehicles in Europe alone, making a valuable contribution to the transport sector’s efforts in the fight against climate change.

Battery-electric vehicles (BEVs) remain the BMW Group’s main growth driver. The company’s broad all-electric offer comprises more than 15 models across all brands. This means the BMW Group has a fully-electric offer in all its main segments. In 2024, the BMW Group significantly increased its total BEV sales worldwide to 426,536 units (+13.5%), representing a sales share of more than 17%. At MINI, about one in four vehicles is fully-electric; at Rolls-Royce, it is already one in three.

Plug-in hybrids (PHEVs) also remain an essential element of the BMW Group’s technology-open approach and electrification of its model range: State-of-the-art BMW PHEV models enable an all-electric range of over 100 kilometres, thus making it relevant for a large proportion of typical driving situations and also making a substantial contribution to CO₂ reduction. In total, the BMW Groupdelivered nearly 600,000 electrified vehicles including plug-in hybrids (PHEVs and BEVs) to customers in 2024. This means almost one in four vehicles sold was electrified.

Electrified deliveries reach new all-time high – important milestones in 2025

The company will reach two major milestones in 2025: first, three million electrified vehicles on the roads since the launch of the BMW i3 and BMW i8 and, second, 1.5 million fully-electric vehicles delivered to customers.

The decrease in the CO₂ emissions of the new vehicle fleet also underlines the effectiveness of technology openness: Based on preliminary figures, the BMW Group was able to reduce its EU fleet emissions to below 100 grams of CO₂ per kilometre (WLTP) for the first time in 2024.

First hydrogen production vehicle to be released in 2028

In 2028, the BMW Group will become the first premium manufacturer worldwide to release a series production fuel-cell vehicle, offering its customers another emission-free drivetrain option. To this end, the BMW Group is deepening its cooperation with Toyota Motor Corporation: Both partners will jointly develop the drive system for passenger cars, which will then be used in a brand-specific way in the two manufacturers’ respective models. The planned BMW vehicle will fit seamlessly into the brand’s portfolio, where it will be available alongside other drive train options.

NEUE KLASSE is laying the foundation – BMW iX3 will be first production vehicle

Series production of the NEUE KLASSE will get underway in late 2025. The first production vehicle of this new generation of BMW models will have the model name BMW iX3. Series production of this SAV model, which was foreshadowed by the BMW Vision Neue Klasse X last year, will begin late this year at Plant Debrecen – the first plant in the BMW Group production network to exclusively build fully-electric vehicles. Since late 2024, the plant has been producing pre-series vehicles for testing.

The BMW iX3 kicks off an unprecedented model ramp-up up to 2027: The launches of more than 40 models of all drivetrain variants will follow in quick succession; including a sporty sedan that is core to the BMW brand, which will be launched in 2026.

With the series launch of the BMW iX3, the new technology clusters will also be integrated throughout the entire BMW product line-up based on the established modularity principle. With this development, the BMW Group has achieved a high level of innovation: Numerous patents were successfully registered – for example, for electric motor components, display projection technologies and driving dynamics control functions. This means that all future BMW models will benefit from the innovations of the NEUE KLASSE - as well as from the new design language.

Digital nervous system for “Software-Defined Vehicle”

For the next stage in its customer and driving experience, the BMW Group has completely redesigned the components, functionality and connectivity its “Software-Defined Vehicle”. The result is an entirely restructured digital nervous system – consisting of a new electrical system with zonal architecture, a refined software architecture and four “super-brains”. These high-performance computers cluster the computing power for key customer functionality around infotainment, automated driving, driving dynamics and basic functions, such as vehicle access, air conditioning and comfort. In this way, the BMW Group is centralising and significantly reducing the number of electronic control units, while simultaneously providing well over 20 times more in-car computing power in the vehicle. This already ensures that the electronic control units will also be capable of accommodating future software and function updates, including AI features.

The zonal architecture comprising four zones, will substantially increase the vehicle's efficiency: On the one hand, this radically simplifies the electrical system – 600 metres less wiring also reduces weight by 30%. On the other hand, the use of “smart eFuses” allows unnecessary energy consumption to be deactivated in certain situations, such as when the vehicle is parked or charging. Developers are working on well over 1,000 software modules with more than 500 million lines of code to further enhance the software architecture of the new digital “nervous system”.

Overall, the redesign of the electronics architecture enables a quantum leap in performance, integration capability and efficiency. New innovations can be relayed much faster to the vehicle through over-the-air upgrades, ensuring the car remains up-to-date – even when the next vehicle generation is already on the market. Over the course of the year, the BMW Group targets to increase the number of “over the air update” capable vehicles on the roads to over ten million.

Next-level driving experience

Ten times faster than previous systems, developed entirely in-house and delivering maximum integration – with the “Heart of Joy” and new “BMW Dynamic Performance Control”, the BMW Group is set to achieve a quantum leap in driving experience: For the first time, the new highly integrated control unit – that will be used in every fully-electric BMW in the future – combines drivetrain and driving dynamics functions. Integrated control of the drive train, braking and recuperation takes efficiency to the next level: In 98% of driving situations, the conventional brake does not need to intervene – the recuperation braking power is sufficient. As a result, the “Heart of Joy” increases overall efficiency by up to 25%.

The performance capabilities and potential of the “Heart of Joy” are showcased in the BMW Vision Driving Experience. In this new high-performance test vehicle, the functionality of the electronic control unit is tested under extreme conditions: The Vision Vehicle develops a torque of up to 18,000 Nm. The logic behind this: If the system can handle such a powerful high-performance vehicle, it will also be capable of managing the requirements of future production models. The BMW Vision Driving Experience will showcase the capabilities of the “Heart of Joy” in April at the Auto Shanghai 2025.

Focus on driver orientation: The new BMW Panoramic iDrive

More than 20 years ago, the BMW Group set the benchmark for driver orientation and intuitive operability with its iDrive system. Starting in the new BMW iX3, the company is taking the next step by launching a completely new display and a new highly intelligent operating system. The clear objective is to reinterpret the brand’s hallmark “hands on the wheel, eyes on the road” approach and develop it into the future.

With “BMW Panoramic iDrive”, the central interface for driver-vehicle interaction is being totally redesigned. At the heart of this new system is BMW Panoramic Vision – a completely newly-developed concept that projects content across the full width of the windscreen. It is rounded off by three other new components: the BMW 3D head-up display, the central display and the multifunction steering wheel. The entire system is operated either by touch or voice control via BMW Intelligent Personal Assistant, which is taken to a new level through a Large Language Model (LLM).

The intelligent backbone of the new Panoramic iDrive is formed by the new BMW Operating System X, which was developed entirely in-house and is based on an Android Open Source Project (AOSP) software stack, delivering significant update and upgrade capabilities. The new operating system enables optimal coordination and distribution of content in the vehicle across Panoramic iDrive’s four elements. At the same time, it offers customers maximum personalisation and customisation, tailored to their individual preferences and needs.

Sixth-generation BMW eDrive technology

The BMW Group is launching the sixth generation of its eDrive technology in the electric models of the NEUE KLASSE. The system comprises three significantly enhanced components: the high-voltage battery, the electric motor and the “BMW Energy Master”: The latter operates as the control unit for the entire electric drive system, has been developed completely in-house and will be manufactured in the BMW Group Plant in Landshut.

In the future, the BMW Group will use round cells and an 800-volt system for its high-voltage battery. This combination heralds a major breakthrough at both cell and vehicle levels: 20% higher energy density, 30% faster charging and at least  30% more range. The round cells are integrated and wired directly into the battery housing. With this new concept, the BMW Group is aiming to reduce costs for the high voltage battery by 40 to 50 percent.**

For its e-drive, the BMW Group relies on a highly flexible and scalable modular system. The basis for this is provided by DC-excited Synchronous Motors (SSMs) that are developed and produced in-house. Vehicles with xDrive come with the option of Asynchronous Motors (ASMs) installed on the front axle, reducing energy loss by 40% and weight by 10%. In the future, customers will be able to choose between models with one, two, three or four electric motors.

Strong brands, diversified product portfolio

The foundation of the BMW Group’s success lies in its fresh and attractive product line-up across all segments. In 2024, with the new BMW X3, the BMW brand unveiled the fourth generation of one of its best-selling models. Within the past two years, the BMW Group has thoroughly updated its product range in two high-volume segments: In the entry-level segment, the new generations of the BMW 1 Series and BMW 2 Series Gran Coupé were released onto the market. In BMW’s core segment, both the BMW 3 Series and BMW 4 Series were further developed. Following the update to the BMW iX*, this model now provides a fully-electric range of over 700 kilometres in the WLTP cycle.

In 2024, M GmbH posted record sales for the 13th consecutive year, building on its broad and diverse model line-up, including the BMW M3 CS Touring*, BMW M5 Sedan* and BMW M5 Touring*, among others. One in ten BMW brand vehicles features M technology.

With the launch of the new MINI Convertible*, the New MINI Family is now complete, comprising five models in total.

Rolls-Royce recently introduced its second fully-electric vehicle, Black Badge Spectre*. The company is also investing 300 million pounds in its Goodwood production site to further expand its Bespoke and Coachbuild offerings.

BMW Motorrad reported its highest-ever sales last year. This success can be attributed to its highly sought-after GS models, the new heritage models of the R12 series and the high-performance long-distance sports models from the four-cylinder series, among others.

As planned, future investments reach new all-time high in 2024 

Systematically and with strong momentum, the BMW Group is working on extensive future model updates and technology innovations including electrification and digitalisation across all model series. To this end, the company invested more than € 18 billion in R&D and capital expenditure linked to new products and facilities in the 2024 financial year. The company will further strengthen its global production network with the construction of the new plant in Debrecen (Hungary) – where series production of the new BMW iX3 will begin at the end of this year – along with the development of five high voltage battery assembly facilities and the extensive refurbishment of the Munich plant.

BMW Group meets adjusted business targets for 2024, as forecast

As projected, the company achieved its adjusted business targets for 2024, which were set in September. The guidance adjustment was triggered by the financial effects of delivery stops and recalls in connection with the supplied Integrated Brake System (IBS) component and continuing subdued demand in the Chinese market. Outside of China, the BMW Group benefited from growing customer demand for its attractive premium vehicles: Excluding China, the BMW brand achieved growth of 4.1% for the full year and was able to expand its position as number one in the segment worldwide. The BMW Group reported revenues for the full year of € 142,380 million (2023: € 155,498 million; -8.4%).

Investment in the future reach a new high with NEUE KLASSE

Expenditure for research and development increased significantly, as planned, to € 9,078 million (2023: € 7,755 million/+17.1%). The R&D ratio for the full year was 6.4% (2023: 5.0%). As planned, the BMW Group’s capital expenditure for the full year climbed to € 9,056 million (2023: € 8,836 million/+2.5%). The capex ratio for the 12-month period rose to 6.4% (2023: 5.7%). The company expects its investments in future projects to decrease, starting in 2025. 

Group earnings (EBT) in line with adjusted guidance

In 2024, the BMW Group reported Group earnings before tax (EBT) of €10,971 million (2023: € 17,096 million/-35.8%). The Group EBT margin came in at 7.7% (2023: 11.0%). In the fourth quarter of 2024, the BMW Group earned a margin of 5.8% (Q4/ 2023: 8.6%). Group net profit amounted to € 7,678 million (2023: € 12,165 million/-36.9%).

Automotive Segment EBIT margin at 6.3%

Automotive Segment earnings before financial result (EBIT) totalled € 7,893 million in 2024 (2023: € 12,981 million/ -39.2%). In the second half of 2024, in particular, the operating result was impacted by the market situation in China and delivery stops linked to Integrated Braking System (IBS). The EBIT margin came in at 6.3% (2023: 9.8%), which was within the adjusted target range of 6-7%. Excluding depreciation and amortisation for BBA assets from the purchase price allocation, the EBIT margin was 7.4%. In the fourth quarter of 2024, the segment earned a margin of 5.5% – excluding the BBA depreciation, EBT totalled approx. € 2.2 billion in the final quarter of the year, with an EBT margin of 6.5%.

The Automotive Segment’s free cash flow for the full year totalled € 4,852 million (2023: € 6,942 million) – despite realized future investments of € 18.2 bn. Largely due to a planned significant reduction in inventories, the BMW Group achieved a free cash flow of € 5,043 million in the fourth quarter (2023: € 1,183 million/+326%). In 2025, the segment’s free cash flow is expected to benefit from lower capital expenditure and land above €5 billion.

In the Financial Services Segment, the BMW Group reported solid growth in the number of new contracts with retail customers for new and used vehicles in 2024, with a significantly higher financing volume per contract. The penetration rate new BMW Group vehicles leased or financed by the Financial Services Segment climbed to 42.6%duringthe reporting year (2023: 38.2%/ +4.4 percentage points).

Earnings before tax (EBT) for the full year 2024 amounted to € 2,538 million (2023: € 2,962 million/-14.3%). Earnings development reflected the expected lowerincome from the resale of end-of-lease vehicles year-on-year, which nevertheless remains positive on average per vehicle. Additionally, earnings were impacted by higher provisions for credit and residual value risks, and additional allocations to provisions.

Higher payout ratio – dividend of € 4.30 proposed

Accounting for the payout ratio target range of 30 40% of net profit attributable to the shareholders of BMW AG and subject to the approval of the Annual General Meeting on 14 May 2025, thecompany’s unappropriated profit (according to the German Commercial Code) of € 2,677 million (2023: € 3,802 million/-29.6%) will be distributed to shareholders from BMW AG’s net profit. This represents the highest ever payout ratio of 36.7% (2023: 33.7%). Accordingly, the Board of Management and Supervisory Board will propose a dividend of € 4.30 per share of common stock (2023: € 6.00) and € 4.32  per share of preferred stock (2023: € 6.02). This makes the dividend for fiscal year 2024 the fourth highest in the company’s history.

In addition, share buybacks remain a solid pillar of the shareholder return strategy. Since authorization by the 2022 Annual General Meeting, the BMW Group has acquired a total of 6.35% of the share capital as of December 31, 2024. By April 2025, the company will have purchased a total of 4 billion euros in shares. At the Annual General Meeting on May 14, BMW AG will request a further authorization to buy back additional shares amounting to 10 percent of the existing share capital within the next five years.

“The BMW Group has consistently implemented its shareholder return strategy, even in the challenging financial year 2024. The highest payout ratio ever agreed in the history of BMW AG results in a dividend of €4.30 . In addition to our reliable annual dividends, our shareholders benefit from our share buyback programmes. Of course, our employees also benefit from the company’s success: They participate in it through our profit-sharing scheme and discounted share purchase options,” said CFO Mertl.

Number of employees higher year-on-year

The BMW Group employed 159,104 employees at the end of 2024 (2023: 154,950/ +2.7%). This slight increase in employee numbers was, as planned, due to the ramp-up of the NEUE KLASSE, primarily in development, IT and the BMW Group’s global production network.

Detailed guidance for financial year 2025

The BMW Group anticipates the following developments during financial year 2025: Inflation continues to stabilize and further moderate interest rate cuts in many countries suggest that demand will rise slightly in 2025. With the full availability of new models — the BMW 5 Series, the BMW X3 and the renewed MINI model range, as well as the new BMW 2 Series Gran Coupé — the company expects slight growth in sales overall. The share of all-electric vehicles in deliveries will increase slightly compared to 2024. 

The electrification and digitization strategy will continue in 2025; however, costs and investments are expected to decline after the 2024 peak. At the same time, the continued challenging situation in China, tariff increases and ongoing support measures for the supply chain are expected to provide headwinds.

This guidance takes into account the effects of the tariff increases that came into force up to March 12. In view of the aforementioned aspects, Group earnings before taxes will beexpected on previous year’s level***. An EBIT margin in the range of 5.0 to 7.0% is expectedin the Automotive segment. The Automotive Segment RoCE should be within a range of 9 to 13%.

RoE in the Financial Services segment is forecast to be in the range of 13 to 16%.

In the Motorcycles Segment, a slight increase in sales and an EBIT margin within the target range of 5.5 to 7.5%are forecast, with an RoCE of 13 to 17%.

The above targets will be achieved with the current number of employees.

The actual business performance of BMW Group may deviate from current expectations, i.e. due to changes in political and macroeconomic conditions. Among other things, the currently anticipated intensification of global trade conflicts, in the form of further tariff increases, could have a negative impact.

* * *

You will receive further information on the Group Financial Statements 2024 and the outlook for the current financial year at the BMW Group Annual Conference on 14 March 2025. You can follow the virtual event live on the internet from 8:00 a.m. (CET) at: https://www.live.bmwgroup.com/de/live-streaming/, with the livestream of the journalist Q+A at the Annual Conference from 9:00 to 9:45 a.m.

This will be followed from 11:00 a.m. to 12:00 p.m. by the livestream of the Investor Relations Q+A with analysts at https://www.bmwgroup.com/en/investor-relations/annual-conferences.html

The BMW Group Report 2024 will be published on 14 March 2025 at 7:30 a.m. (CET) at https://www.bmwgroup.com/de/investor-relations/unternehmensberichte.html.

**The costs for the 6th generation of the high-voltage battery will decrease by 40 to 50% compared to the current Gen5 high-voltage battery. This is based on a comparable e-range.

*** Starting January 1st, 2025, the outlook range for Group EBT was adapted. For details, please refer to the glossary of the BMW Group Report.

GLOSSARY – explanatory comments on key performance indicators

Deliveries to customers

A new or used vehicle is recorded as a delivery once it is handed over to the end user (which also includes leaseholders under lease contracts with BMW Financial Services). In the US and Canada, end users also include (1) dealers when they designate a vehicle as a service loaner or demonstrator vehicle and (2) dealers and other third parties when they purchase a company vehicle at auction and dealers when they purchase company vehicles directly from the BMW Group. Deliveries may be made by BMW AG, one of its international subsidiaries, a BMW Group retail outlet, or independent third-party dealers. The vast majority of deliveries – and hence the reporting of deliveries to the BMW Group – is made by independent third-party dealers. Retail vehicle deliveries during a given reporting period do not correlate directly to the revenues that the BMW Group recognises in respect of that particular reporting period.

Payout ratio

The payout ratio is preliminary. Although the Board of Management and the Supervisory Board will propose a fixed dividend per share at the Annual General Meeting, the number of shares entitled to a dividend is expected to fall by the Annual General Meeting due to the ongoing share buy-back programme. Accordingly, the total amount to be distributed to shareholders by 14 May is also still expected to change.

EBIT

Profit before financial result. Profit before financial result comprises revenues less cost of sales, less selling and administrative expenses and plus/minus net other operating income and expenses.

EBIT margin

Profit/loss before financial result as a percentage of revenues.

EBT

EBIT plus financial result.

PHEV

Plug-in-hybrid electric vehicle - hybrid vehicle with petrol engine and electric drive.

If you have any questions, please contact:

BMW Group Corporate Communications

Dr Britta Ullrich, Finance Communications

Telephone: +49 89 382-18364

Email: britta.ullrich@bmwgroup.com

Sebastian Kessler, Communications Corporate, Strategy

Telephone: +49 89 382-21616

Email: sebastian.ke.kessler@bmwgroup.com

Max-Morten Borgmann, Head of Communications Corporate, Finance, Sales

Telephone: +49 89 382-24118

Email: max-morten.borgmann@bmwgroup.com

Media website: https://newsroom.bmwgroup.com/global/en

Email: presse@bmwgroup.com

The BMW Group

With its four brands BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial services. The BMW Group production network comprises over 30 production sites worldwide; the company has a global sales network in more than 140 countries.

In 2024, the BMW Group sold over 2.45 million passenger vehicles and more than 210,000 motorcycles worldwide. The profit before tax in the financial year 2024 was € 11.0 billion on revenues amounting to € 142.4 billion. As of 31 December 2024, the BMW Group had a workforce of 159,104 employees.

The economic success of the BMW Group has always been based on long-term thinking and responsible action. Sustainability is a key element of the BMW Group’s corporate strategy and covers all products from the supply chain and production to the end of their useful life.

www.bmwgroup.com

LinkedIn: http://www.linkedin.com/company/bmw-group/

YouTube: https://www.youtube.com/bmwgroup

Instagram: https://www.instagram.com/bmwgroup

Facebook: https://www.facebook.com/bmwgroup

X: https://www.x.com/bmwgroup

- Check against delivery –

Statement

Walter Mertl

Member of the Board of Management of BMW AG, Finance

Annual Conference 2025

BMW Welt in Munich, 14 March 2025, 08:00 a.m. CET

Ladies and Gentlemen,

Good morning!

SLIDE: BMW Group in Full-Year 2024

As Oliver emphasized, we continue to follow our course and implement our long-term strategy. At the same time, we are focused on our operational business to consistently deliver on what we say.

The BMW Group proved this once again in Q4 2024:

We successfully reduced inventory impacted by the Integrated Braking System or IBS. And we achieved a sequential improvement in retail sales and profit versus Q3.

For the full year, we achieved our revised guidance in all parameters.

As anticipated, we reached peak levels of R&D and capital expenditure in 2024, particularly to prepare for models of the NEUE KLASSE. Starting this year, both the R&D and capex ratios will decrease meaningfully, as we start production of the NEUE KLASSE and lay the foundation for the long-term success of our company with over 40 new and updated models by 2027.

Through our global positioning and the flexibility of our operations, we can adapt to the geopolitical landscape and short-term market dynamics, proving our resilience.

Let’s take a look at the financial figures for the full year.

2024 was a year of two halves:

While the first half-year was in line with our original planning, sales performance in the second half of the year was impacted by delivery stops in connection with IBS, as well as persistent subdued demand in China. As expected, Q4 marked an improvement on the Q3 result.

SLIDE: BMW Group KPIs in FY24

Group revenues totaled 142.4 billion euros. The moderate decrease compared to 2023 was mainly driven by the decline in sales volume and intense price competition in the Chinese market.

Earnings before Tax at Group level amounted to 11 billion euros – significantly under 2023, but as expected in our adjusted guidance. This resulted in a Group EBT Margin of 7.7% for the year.

SLIDE: BMW Group Segment Performance in FY24

If we look at the key financial results of the individual segments:

Automotive delivered an EBIT of 7.89 billion euros and EBIT margin of 6.3%.

Motorrad had an EBIT of 198 million euros, representing a margin of 6.1%.

Financial Services saw an EBT of 2.54 billion euros and a Return on Equity of 15.1%.

And, finally, Other Entities generated 837 million euros in EBT, while eliminations amounted to a negative 146 million euros.

SLIDE: Automotive Retail Units, BEV Units, Auto Revenue and Auto EBIT in FY24

So, let’s take a look at the Automotive Segment in detail:

For the full year, the BMW Group delivered 2.45 million BMW, MINI and Rolls-Royce vehicles to customers worldwide. This represents a slight decrease of 4% from the previous year, in line with our adjusted guidance.

Market dynamics in China remain weak, which impacted sales performance. However, the BMW brand achieved growth in every other major region.

In Europe, order intake in Q4 improved month by month. In the US, we experienced a strong recovery from IBS in Q4 with growth quarter-over-quarter of just over 50% and year-over-year of 8.9%.

Worldwide BMW Group sales performance in Q4 saw sequential improvement over Q3. Global deliveries grew by nearly a third quarter-on-quarter including double digit growth coming from the mid- and upper-segment together. 

All-electric vehicles remained a key growth driver for us. BEV deliveries totaled over 426,000 units for the year, significantly above 2023 by 13.5%. Overall, BEVs therefore made up 17.4% of total sales.

Our plug-in hybrid vehicles also remained very popular, with over 166,000 units sold in 2024. Electrified vehicles – meaning all-electric vehicles and plug-in hybrids – made up nearly a quarter of total sales.

Revenues in the Automotive segment amounted to nearly 125 billion euros, a decrease of 5.6% from 2023.

Earnings before interest and taxes reached 7.9 billion euros. This resulted in an EBIT margin of 6.3%, which was within our adjusted guidance corridor of 6 to 7 percent for the full year.

Excluding the 1.3 billion euros depreciation resulting from the purchase price allocation of BBA, the Automotive EBIT margin came in at 7.4% for the year.

SLIDE: Automotive EBIT Development in FY24

Looking to the operating result in detail:

Compared to 2023, EBIT for full-year 2024 saw a tailwind of 1 billion euros from the net balance of currency and raw material positions.

Year on year, the net effect of volume, model mix and pricing weighed on Automotive EBIT. The headwind resulted partly from the volume decrease, particularly in China. Pricing headwinds, including the effects of a highly competitive Chinese market and dealer compensation in China, amounted to more than half of the overall decrease of 4.4 billion euros.

The headwind of 1.4 billion euros from Other cost changes was driven by inflation in material costs and supply chain support.

The effect from warranty expenses was a tailwind year-on-year. Overall, lower additions to warranty provisions for specific topics were necessary in every quarter throughout 2024 compared to the previous year. An exception was Q3, due to the impact of IBS. For the full year 2024, the P&L impact of quality issues trended in a positive direction year-on-year, as planned.

SLIDE: R&D Expenditure in FY24

SLIDE: Capital Expenditure in FY24

Our R&D activities and investments focused on our ongoing electrification and digitalization strategy across the entire portfolio. As anticipated, R&D and capital expenditure reached peak levels in 2024 – both in absolute terms and in ratio.

Group expenditure for research and development for the full year reached 9.1 billion euros, compared to 7.8 billion euros in 2023. The R&D ratio according to the German Commercial Code was 6.4%, 1.4 percentage points more than in 2023.

Group capital expenditure totaled 9.1 billion euros, an increase from 8.8 billion euros in 2023. This resulted in a capex ratio of 6.4%, compared to 5.7% in 2023.

As we begin to rollout models of the NEUE KLASSE, we will see a decline in R&D and capex. This means in both absolute and relative terms, back towards our strategic corridors of between 4 to 5% for R&D and less than 5% for Capex by 2027 at the latest.

SLIDE: Automotive Segment Free Cash Flow in FY24

Turning to free cash flow – as you know, we steer this on an annual basis.

Starting with EBT delivering a full year result of 7.5 billion euros, working capital contributed positively with 200 million euros to free cash flow. Whilst inventory levels had risen due to sales stops related to IBS in Q3, we managed to successfully reduce stock by 5 billion euros in Q4. As a result, year-end inventory reached nearly the same level as it was at the beginning of the year.