BMW Announces Workforce Restructuring Amid Declining Profits
BMW Group has announced an extensive workforce restructuring program amid declining profits and challenging market conditions, particularly in China. The company's second-quarter net profit fell by 34.9% to €1.20 billion, while group revenue for the first half of the year dropped 8% to €62.26 billion compared to H1 2025. The automotive segment saw a significant decline in EBIT margin during Q2, falling from 5.4% to 2.3%. Deliveries across BMW, MINI, and Rolls-Royce brands totaled 1.15 million vehicles for the first half of 2026, down by 4.2%, with China experiencing a sharp decline in sales. Despite these challenges, BMW reaffirmed its outlook for the year, expecting slightly lower automotive segment deliveries but aiming to maintain an EBIT margin between 1% and 3%. The company also anticipates full-year free cash flow exceeding €2.5 billion.