MUNICH (dpa-AFX) - Bayerische Motoren Werke Aktiengesellschaft (BMW.DE) Wednesday said at its Capital Market Day 2026 that it aims to strengthen resilience and competitiveness through measures focused on efficiency, portfolio optimization, technology and regional market adaptation.
The automaker aims to return its Automotive Segment EBIT margin to its long-term target range of 8% to 10% by the start of the next decade and increase Automotive free cash flow to at least €7 billion. As an interim target, the Automotive EBIT margin is expected to reach 3% to 5% in 2028.
BMW said it is evaluating additional measures, with decisions expected by spring 2027. The company also plans to reduce the number of divisions and associated management roles by 20% by mid-2027, with a comparable reduction at lower organizational levels.
The group will align its model lineup with regional demand and reduce variants to improve profitability, including ending the BMW 2 Series Active Tourer without a successor. It will also launch the first BMW ALPINA model next year and is considering launching an additional flagship Sports Activity Vehicle positioned above the X7 specifically for the U.S.
In China, BMW plans to expand local production in high-volume segments with the launch of the Neue Klasse while limiting imports to higher-margin models. It aims to increase the share of locally manufactured vehicles developed specifically for Chinese customer preferences to at least 95% by 2030.
BMW also plans to strengthen its European entry segment with another fully electric Neue Klasse model in 2028, while expanding the use of artificial intelligence across development, purchasing, sales, marketing and aftersales.
BMW Group will begin rolling out the genuine agency sales model for its core BMW brand in mid-2027, following its successful adoption by MINI across 24 European markets.
The company expects to launch navigation-guided driver assistance in Germany next year through its cooperation with Qualcomm, with other markets to follow. By year-end, BMW plans to offer its Highway Assistant with hands-free assisted driving in 21 countries.
On Xetra, BMW shares were more than 2% at €55.82.
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