Business · Companies · 3 hrs ago
BMW profit falls 15% as China sales decline
BMW, the German carmaker that also owns Mini and Rolls-Royce, reported third-quarter profit fell nearly 15% to 1.45 billion euros.
Its sales in China, a key market, dropped 24.8%, as Chinese rivals put pressure on German carmakers.
The fall in China helped pull BMW's global vehicle deliveries down 6.3%, despite higher sales in the United States and Europe.
BMW has issued a second profit warning this year and now expects its car business's 2026 operating margin to be between minus 0.5% and plus 0.5%, down from an earlier forecast of 1% to 3%.
Job cuts and model changes will add costs as BMW moves faster to reduce spending and phase out some older models sooner.
The company says it will also speed up the shift to its new electric-car range, called Neue Klasse.
BMW plans to intensify its restructuring, but has not confirmed a total number of jobs to be cut; it says more details on dividends and possible share buybacks will come next year.
BMW reported third-quarter net profit of 1.45 billion euros, down nearly 15 percent from a year earlier.
Revenue fell nearly 6 percent to 30.45 billion euros.
BMW vehicle deliveries in China dropped 24.8 percent, contributing to a 6.3 percent fall in global deliveries.
The company lowered its 2026 outlook for its car business and said restructuring measures would be intensified and accelerated.
BMW cited restructuring costs, including severance payments, and the faster transition to its Neue Klasse electric-car models.
- Who
- BMW, the German carmaker.
- What
- It reported lower third-quarter profit and revenue, as sales in China slumped, and lowered its 2026 outlook.
- When
- Results were reported on November 4, 2026, following a profit warning on November 3.
- Where
- BMW is based in Germany; the reported sales decline was particularly sharp in China.
- Why
- BMW cited weak business in China amid competition, as well as costs from restructuring and changes to its model range.
This story does not have two clearly opposing sides.
BMW announced a cost-saving program.
The job-cut program began and closed less than three weeks later after strong employee interest.
BMW issued its second profit warning of the year and lowered its outlook.
BMW reported third-quarter net profit of 1.45 billion euros and sales of 30.45 billion euros.
- Third-quarter net profit
- 1.45 billion euros, down nearly 15 percent
- Third-quarter sales
- 30.45 billion euros, down nearly 6 percent
- China vehicle deliveries
- Down 24.8 percent
- Global vehicle deliveries
- Down 6.3 percent
- 2026 car-business EBIT margin outlook
- Minus 0.5 to plus 0.5 percent
- BMW job cuts
- Up to 8,000 by the end of 2027
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What people are saying
Current developments in our industry call for decisiveness,
We will therefore specifically intensify and accelerate structural measures.