BMW Reports A 7.5 Billion Euro Yearly Profit Decline

BMW said today that its operating profit fell 11.5 percent last year to around 10.2 billion euros, while net profit fell 3 percent to around 7.5 billion euros, and the company also presented a cautious forecast for 2026.

The current financial report is also the last one presented by CEO Oliver Zipse, as he will be replaced at the helm of the company as of May 14th by the current production director, an expert of Serbian origin, Milan Nedeljković.

BMW’s revenue fell by 6.3 percent in 2025 to around 133.5 billion euros, while the profit margin in its key car manufacturing segment fell by one percentage point to 5.3 percent, Tagesschau reported. That is the lowest level since 2020, although it is still within the five to seven percent range the company had previously announced.

Despite the drop in profits, BMW performed better than its major German competitors, as the Mercedes-Benz Group previously announced that it had a profit of 5.3 billion euros in 2025, and the Volkswagen Group around 6.9 billion euros, Wirtschaftswoche reports.

BMW has the advantage of having a strong manufacturing base in the United States, which reduces the impact of US tariffs. The Munich-based company produced around 413,000 vehicles in its American factories last year, with more than half sold in that market.

Additional flexibility is provided to the company by a production system that allows electric cars, hybrids and vehicles with internal combustion engines to be produced on the same line, which helps to adapt to the slower market transition to electromobility.

BMW expects that pre-tax profit in 2026 could fall moderately due to pressures such as tariffs, currency movements and rising raw material prices.

• Also See: BMW Is Updating All Of Its Models With A New Logo