BMW Cuts Auto Profitability Guidance Again on Portfolio Changes
By Adria Calatayud
BMW again cut its annual profitability outlook for its closely watched automotive segment, citing the phase-out of older vehicle generations and a faster implementation of its restructuring program.
The German luxury-auto maker said late Tuesday that it expected an earnings before interest and taxes margin at its core auto business to range from minus 0.5%--indicating losses--to positive 0.5% for the full year. In June, the company lowered its guidance for the metric to between 1% and 3%.
BMW also projected auto deliveries to fall moderately this year relative to 2025, having previously expected them to decline slightly.
The company said the guidance changes stemmed from a nonoperating hit to results that it expects to book alongside fourth-quarter earnings, as it decided to expand and intensify portfolio and structural measures.
High demand for BMW's Neue Klasse models, a new generation of cars, led the company to introduce additional production shifts and to begin phasing out previous vehicle and technology generations earlier, it said. The company also plans to implement a restructuring program faster than it previously anticipated.
BMW said in September that it would cut the number of divisions and management roles by a fifth.
Write to Adria Calatayud at adria.calatayud@wsj.com
(END) Dow Jones Newswires
November 04, 2026 01:43 ET (06:43 GMT)
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