BMW announced that its pretax profit for 1Q26 fell 24.6% YoY to EUR2.348 billion. The EBIT margin of its automotive manufacturing segment declined to 5% from 6.9% in the same period last year, dragged by intense competition in the China auto market. In 1Q26, the group delivered a total of 565,780 vehicles to customers worldwide, representing a slight YoY decrease of 3.5%. Among them, deliveries in the China market dropped 10%.BMW stated that market demand for its electric vehicles remained strong, with quarterly orders in Europe reaching a record high in 1Q26. The group confirmed its full-year guidance, expecting tariff-related volatility to remain at a relatively high level. It estimated that rising tariffs would have a negative impact of about 1.25 ppts on the EBIT margin of its automotive segment.Related NewsImports YoY for Apr in China is 25.3%, lower than the previous value of 27.8%. The forecast was 15.2%.The group added that it expects the Middle East conflict will not last too long and remains optimistic about the overall growth potential in Europe and the US. Regarding the China market, the group aims to strike a balance among sales volume, pricing and dealer profitability. (mn/w)
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