BMW cuts automotive outlook for second time as restructuring deepens

By Reuters News

- BMW BMWG.DE on Tuesday cut the outlook for its core automotive division for the second time within five months, citing one offs related to job cuts and restructuring measures outlined earlier this year.

The German premium carmaker has unveiled a plan to restore investor confidence — including around 8,000 job cuts — following a string of profit warnings related to the key Chinese market, which has triggered a major slump in its share price.

Citing a non operating hit to its profit due to its decision to "expand and intensify portfolio and structural measures", BMW said its 2026 automotive EBIT margin was now forecast to be between negative 0.5% and positive 0.5%, down from 1-3%.

Frankfurt-listed shares in the group were 3.4% lower.

It also forecast a moderate decrease in automotive segment deliveries in 2026, which equates to a decline of 5-9.9%.

BMW said it intends to accelerate the implementation of its organizational realignment, and as a result, the reduction in management functions will be implemented faster than announced.

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