Bayerische Motoren Werke Ag · XETR:BMW
Bayerische Motoren Werke — BMW Group — Investor Day (September 2026)
44 slides from Bayerische Motoren Werke's investor day presentation, September 2026
Slide 1: Strategic & Financial Update
STRATEGIC & FINANCIAL UPDATE. DR. MILAN NEDELJKOVIĆ / WALTER MERTL. SEPTEMBER 2026. AK-13, AK-22 BMW Group Capital Market Day 2026 | 29 & 30 September | Strategic & Financial Update -1-
Slide 2: Entrepreneurship means seizing opportunities, getting things done fast & profitably
ENTREPRENEURSHIP means seizing opportunities, getting things done - fast & profitably - with a clear focus on the value of money. BMW Group Capital Market Day 2026 | 29 & 30 September | Strategic & Financial Update -2-
Slide 3: Following years of increasing Auto EBIT, pressure has mounted since 2024
FOLLOWING YEARS OF INCREASING BMW GROUP AUTO EBIT AND SOLID MARGINS, PRESSURE HAS MOUNTED SINCE 2024, CULMINATING IN THE CURRENT SITUATION. 2010 and 2021 recovery effects are not to be expected, the need for action is clear. Auto EBIT % 11,8 10,8 10,3 9,4 9,6 9,8 9,0 8,8 9,2 8,9 9,2 8,1 8,6 7,9 7,8
Slide 4: We have reviewed the entire value chain since May and taken swift action
WE HAVE REVIEWED THE ENTIRE VALUE CHAIN SINCE MAY AND TAKEN SWIFT ACTION – THE PROCESS WILL CONTINUE TO UNLOCK VALUE. Our journey has just begun with an intense initial phase. 13/05 Today AGM CMD 2026 16/06 Ad Hoc & Guidance Adjustment Q2/26 Q3/26 Annual AGM 30/07 Conference 2027 May Jun Jul Aug Sep
Slide 5: Committed to the long-term EBIT margin target of 8–10%
BUILDING ON KEY STRATEGIC PARAMETERS, THE BMW GROUP REMAINS COMMITTED TO ITS LONG-TERM EBIT MARGIN TARGET OF 8–10%. Individual premium mobility remains the core of our business. Strong brands, attractive products and a global presence secure reach, aspiration and balance. NEUE KLASSE delivers a majo
Slide 6: Restoring core performance while exploring new business areas and partnerships
ALONGSIDE RESTORING THE PERFORMANCE IN THE CORE BUSINESS, WE WILL EXPLORE NEW BUSINESS AREAS AND STRONG PARTNERSHIPS. FINANCIAL COOPERATION & NEW BUSINESS AUTOMOBILE MOTORCYCLE SERVICES PARTNERSHIPS FIELDS Premium vehicles Premium motorcycles An integrated Strategic Assessment of from the BMW, MINI,
Slide 7: Reviewing potential incremental business fields
WE ARE REVIEWING POTENTIAL INCREMENTAL BUSINESS FIELDS AND WILL PROVIDE ADDITIONAL UPDATES GOING FORWARD. Core Business Support Core Business Extend Core Business Customer Physical AI / & Retail Humanoid Solutions Robots Energy Ecosystem Digital Airspace Commerce Recycling Ecosystem (Satellites / Te
Slide 8: It's all about the brain: leveraging data utilisation for industrial application
ITS ALL ABOUT THE BRAIN … LEVERAGING DATA UTILISATION IN NETWORK THINKING FOR INDUSTRIAL APPLICATION. PHYSICAL DATA KNOW-HOW OF AGENTIC BASIS AI SPECIALISTS STREAMING SERVICE DATA LAKE VIRTUAL BMW iFactory INDUSTRIAL AI-MODELS BMW Group Capital Market Day 2026 | 29 & 30 September | Strategic & Finan
Slide 9: Outlining the path back to our strategic Auto EBIT margin corridor
OUTLINING THE PATH BACK TO OUR STRATEGIC AUTO EBIT MARGIN CORRIDOR … BRAND & VALUE PRODUCT TECHNOLOGY STRUCTURES CUSTOMER CREATION PATH TO 8-10%. BMW Group Capital Market Day 2026 | 29 & 30 September | Strategic & Financial Update -9-
Slide 10: Premium-only, multi-brand offering to address customer needs
BRAND & CUSTOMER OUR BRAND STRATEGY REMAINS FOCUSED ON A PREMIUM-ONLY, MULTI-BRAND OFFERING TO ADDRESS CUSTOMER NEEDS ACROSS SEGMENTS AND REGIONS. The emotional premium car The most loved The pinnacle The premium motorcycle brand ensuring driving urban car brand. of luxury. experience brand. pleasur
Slide 11: Neue Klasse represents the future of the BMW brand
BRAND & CUSTOMER NEUE KLASSE REPRESENTS THE FUTURE OF THE BMW BRAND. WE ARE AT THE START OF THE JOURNEY AND THERE IS MUCH MORE TO COME. Competitive tech across the entire portfolio & all powertrains. We strengthen our brand position, improve our margin structure and build resilience. 2025 2026 2027
Slide 12: Strengthen brand positioning in the high-value segment
BRAND & CUSTOMER WE WILL STRENGTHEN OUR BRAND POSITIONING IN THE HIGH-VALUE SEGMENT TO CAPTURE INCREMENTAL MARGIN. Access new price segment. M expansion. Offer new product. The levers create value beyond the sum of their parts: Strengthening premium positioning, amplifying the portfolio’s halo effec
Slide 13: BMW M will grow profitably
BRAND & CUSTOMER BMW M WILL GROW PROFITABLY WITH THE ADDITION OF ELECTRIFICATION, ACCESS TO NEW CUSTOMER GROUPS AND A LOYAL COMMUNITY OF FANS. Emotionally compelling products, an iconic brand with a passionate community, and a rich motorsport heritage at its core. Retail Volume Development. M share
Slide 14: BMW Alpina complements the portfolio in the high-value segment
BRAND & CUSTOMER BMW ALPINA COMPLEMENTS THE BMW PORTFOLIO IN THE HIGH-VALUE SEGMENT, BRIDGING THE GAP BETWEEN BMW AND ROLLS-ROYCE. Continued growth of (U)HNWIs BMW Group today without offering as a fundamental driver. between BMW and Rolls-Royce. Global growth of UHNWI 2023 - 2030 1,405 1,060 942 75
Slide 15: Enhancing our ecosystem leveraging data across the business
BRAND & CUSTOMER WE FURTHER ENHANCE OUR ECOSYSTEM THAT LEVERAGES DATA ACROSS THE BUSINESS TO BETTER SERVE OUR CUSTOMERS & TO UNLOCK ADDITIONAL VALUE. BMW Group Capital Market Day 2026 | 29 & 30 September | Strategic & Financial Update - 15 -
Slide 16: Expansion of Financial Services supports Auto segment and adds profit and cash
BRAND & CUSTOMER THE EXPANSION OF FINANCIAL SERVICES WILL SUPPORT THE AUTO SEGMENT AND ALSO GENERATE ADDITIONAL PROFIT AND CASH. Supporting sales. Delivering premium Driving loyalty. today more than every 2nd customer experience. Core enabler for retention, vehicle is financed / or leased Seamless p
Slide 17: Sales & marketing expertise and partnerships deliver leading customer experience
BRAND & CUSTOMER EXPERTISE IN MULTIPLE ASPECTS OF SALES & MARKETING COMBINED WITH STRONG PARTNERSHIPS DELIVERS LEADING CUSTOMER EXPERIENCE OVER YEARS. Premium Only Strong Brands Resilient Partnerships NEUE KLASSE Integrated Offer Momentum Strong Foundation BMW Group Capital Market Day 2026 | 29 & 30
Slide 18: Regionalization and decoupling demand a shift in strategic focus
MARKET AN ACCELERATION IN REGIONALIZATION AND DECOUPLING DEMANDS A SHIFT IN STRATEGIC FOCUS TO ADDRESS THE DIVERGING NEEDS OF KEY GEOGRAPHIES. Europe USA APAC & Rest of World China Maintain stable, strong Maintain robust position Introduce solutions to Leverage competitive tech in performanc
Slide 19: Structural measures initiated to adapt to the new environment
MARKET A VARIETY OF STRUCTURAL MEASURES HAVE BEEN INITIATED TO STRATEGICALLY ADAPT TO THE NEW ENVIRONMENT. Customer R&D / Purchasing Local for local Sales Further strengthen local Funnel Management Organization development & decision power Social Livestreaming as a key Dealer Network rightsizing Exp
Slide 20: China market is shifting to NEV
MARKET THE TOTAL MARKET IN CHINA IS SHIFTING TO NEV. THE ROLL-OUT OF NEUE KLASSE ENSURES BMW’S PARTICIPATION IN THIS GROWING SEGMENT. 2024: ~ 23,5 Mio. 2026: ~ 20 Mio. 2030 NEV ICE Total market 19% >150k 24% 19% RMB 14% < 150k 62% 62% RMB 695.000 BEV non-BEV 14% 4% Neue Klasse enables to BMW 86% par
Slide 21: Local footprint and partnerships with local players in China
MARKET WE LEVERAGE OUR LOCAL FOOTPRINT AND STRONG PARTNERSHIPS WITH LOCAL PLAYERS TO DELIVER LONG-TERM SUCCESS IN CHINA. LOCAL FOOTPRINT & PARTNERSHIPS WITH TECH PLAYERS. Reduce costs & shorten development cycles Partnerships with technology players will be by focusing on China-specific requirements
Slide 22: Value-oriented portfolio management: streamline portfolio, reduce complexity
PRODUCT VALUE-ORIENTED PORTFOLIO MANAGEMENT: WE WILL STREAMLINE THE PRODUCT PORTFOLIO, REDUCE COMPLEXITY AND FOCUS ON VALUE GENERATION. 0 Portfolio > 2030+ < 2030 Detailed and comprehensive ICE / PHEV / review of product portfolio I Portfolio & Derivates BEV Wide range of configuration, Complexi
Slide 23: Simplifying the development process and accelerating execution
PRODUCT TO STRENGTHEN OUR COMPETITIVE POSITION, WE ARE SIMPLIFYING OUR DEVELOPMENT PROCESS SIGNIFICANTLY AND ACCELERATING EXECUTION. New ways of working. Roll out of the Neue Klasse i3. Small, cross-functional teams Green - Common Part Yellow - Synergy Component Software-first, AI-driven and ear
Slide 24: Purchasing strategy shifts toward value optimization and Industry Best Offer
VALUE CREATION OUR PURCHASING STRATEGY IS SHIFTING ITS FOCUS TOWARD VALUE OPTIMIZATION, INDUSTRY BEST OFFER AND STRATEGIC PARTNERSHIPS. Spezifische Lösungen Customized Solutions PROFITABILITY Through value Purchase Industry Best Offer - IBO creation & Volume Purchase digitalization. 80 bn € Partner
Slide 25: Efficiency in the production network by rebalancing allocation
VALUE CREATION WE HAVE MAINTAINED A FOCUS ON EFFICIENCY IN THE PRODUCTION NETWORK BY REBALANCING ALLOCATION AND MANAGING CAPACITY. Nedcar partnership Magna Steyr Austria Shenyang Plant capacity terminated in 2024. partnership terminated in 2026. adjustment & management. REBALANCE Our machines. Our p
Slide 26: Power of choice through flexibility within and across plants
VALUE CREATION WE DELIVER THE POWER OF CHOICE THROUGH FOCUS ON FLEXIBILITY WITHIN AND ACROSS PLANTS WITHIN THE BMW GROUP PRODUCTION NETWORK. ICE, PHEV, BEV Cycle Time Flexibility (and future technologies) Shortened Cycle Time for on one assembly line higher production rate (e.g. plant Spartanburg) B
Slide 27: Technology openness delivers on diverging customer needs
TECHNOLOGY TECHNOLOGY OPENNESS CONTINUES TO DELIVER ON DIVERGING CUSTOMER NEEDS AROUND THE GLOBE – RESILIENCE IN REGIONALIZATION. We maintain flexibility to deliver on wide variety of customer needs globally – individual phasing across models and regions as market dynamics adjust. HIGHLY EFFICIENT I
Slide 28: From SDV competence to AI-defined vehicle solutions
TECHNOLOGY BUILDING ON OUR SDV COMPETENCE WITH NEUE KLASSE, WE WILL TRANSITION TO THE NEXT LEVEL WITH AI-DEFINED VEHICLE SOLUTIONS. Software-defined Vehicle AI-powered Vehicle AI-defined Vehicle CLOUD & BACKEND CLOUD & DATA CLOUD & DATA Data, updates & services Training & models Continuous learning,
Slide 29: AI investment principles deliver solutions across the company
TECHNOLOGY OUR AI INVESTMENT PRINCIPLES DELIVER SOLUTIONS ACROSS THE ENTIRE COMPANY, COMPRISING MEASURABLE BUSINESS VALUE & STRATEGIC LEAPS. We will leverage AI and data across the entire value chain, transforming engineering and operational excellence into business value. INVESTMENT EXAMPLES COST I
Slide 30: Agility ensures leaner HQ structures and reduced costs
STRUCTURES THE PURSUIT OF AGILITY WILL ENSURE LEANER HQ STRUCTURES, ENHANCE PRODUCTIVITY, INCREASE SPEED AND REDUCE COSTS – AI IS A KEY ENABLER. Voluntary redundancy Streamlining of program for indirect leadership structures Moving the organization to a staff in Germany with through 20% 2 year payba
Slide 31: Unternehmertum: a new mindset
UNTERNEHMERTUM: A NEW MINDSET TO ADDRESS THE CURRENT CHALLENGES AND TO IMPROVE OUR PERFORMANCE. Ownership. Pragmatism. Impact. Value of Money. Cohesion. Win for BMW. Decide with courage. Create impact, Cut the unnecessary. Challenge one another. Not for your function. Execute with speed. not activit
Slide 32: We WIN as a TEAM, delivering on our strategic goals
We WIN as a TEAM, delivering on our strategic goals with focus and agility to secure 8-10% in Auto and a strong Group result. BMW Group Capital Market Day 2026 | 29 & 30 September | Strategic & Financial Update - 32 -
Slide 33: Path from today to 8-10% Auto EBIT margin
THE PATH FROM TODAY TO 8-10% AUTO EBIT MARGIN IS PAVED BY STRATEGIC INITIATIVES CLUSTERED IN THREE GROUPS AND FLANKED BY THE END OF PPA. STRATEGIC TARGET 8-10% Auto EBIT Margin Improved commercial performance Reduced variable cost (material / manufacturing) STARTING POINT Reduced fixed costs with pr
Slide 34: Interim step of 3-5% Auto EBIT margin in 2028
WE AIM FOR AN INTERIM STEP OF 3-5% AUTO EBIT MARGIN IN 2028 WITH CLEAR FOCUS ON THE FACTORS WITHIN OUR CONTROL – THIS WILL BRIDGE TO 8-10%. STRATEGIC Auto EBIT Margin development [in %]. TARGET 8-10% Auto EBIT Margin INTERIM STEP 3-5% 0.5% STARTING ~1.5% 0.5% Auto EBIT Margin POINT 1-3% ~0.5% Auto E
Slide 35: BMW Group strategy incorporates a holistic ESG focus
BMW GROUP STRATEGY INCORPORATES A HOLISTIC ESG FOCUS THAT SUPPORTS STRONG RESULTS ACROSS THE BUSINESS WITH RESPONSIBLE STANDARDS. E S G Commitment to the Paris Climate Responsible social standards ESG clearly anchored in our Agreement throughout the entire value chain Corporate Governance Codex 90g
Slide 36: Efficiencies in R&D and CAPEX
STRATEGIC MEASURES WILL DELIVER EFFICIENCIES IN R&D AND CAPEX, WHILE ALSO ENSURING INNOVATIVE PACE AT A LOWER COST POINT. R&D expenditure (HGB) and CAPEX development [in bn €]. Back to strategic Significant reduction 2028 vs 2022 corridor from 2027 CapEx 18.1 for CAPEX and R&D 16.6 15.6 R&D ratio. 1
Slide 37: Path to strategic target of >€7bn Auto FCF
IMPROVED OPERATIONAL PERFORMANCE AND A NET TAILWIND FROM INVEST / DEPRECIATION WILL PAVE THE WAY TO OUR STRATEGIC TARGET OF >€7BN FCF. Auto FCF Development [in mn €]. STRATEGIC - Tax on higher TARGET op. income INTERIM >7,000 - Tax on higher STEP op. income >5,000 STARTING POINT + Operating Performa
Slide 38: Shareholder returns yielded TSR of approx. €23bn since 2021
A STRONGER FOCUS ON SHAREHOLDER RETURNS YIELDED TSR OF APPROX. €23BN SINCE 2021 – THE SAME MAGNITUDE AS WITHIN THE 20 YEARS BEFORE. Total Shareholder Return (TSR) [in bn €]. Cumulative Payout: 23.1 bn € 6.7 Total shareholder return of ~ €23bn in 1.3 5.0 Cumulative Payout: 24.1 bn € 2021-2025 on appr
Slide 39: More than 80% of Auto FCF distributed in last three years
MORE THAN 80% OF AUTO FCF WAS DISTRIBUTED IN THE LAST THREE YEARS ON AVERAGE. IN 2025, OUR COMMITMENT RESULTED IN OVER 100%. Total Shareholder Return (TSR) [in bn €]. Auto FCF distributed on average*: 83% Share Buyback 6.7 Dividend to BMW AG Shareholders The average total shareholder return ratio 5.
Slide 40: Step-change in average payout yield
WE ALSO SAW A STEP-CHANGE IN AVERAGE PAYOUT YIELD, WHICH MORE THAN DOUBLED IN 2021-2025 VS. 2015-2020. Total Shareholder Return (TSR) [in bn €]. Avg. Payout Yield*: 8.3% Share Buyback 6.7 Dividend to BMW AG Shareholders Total payout yield Total Payout Yield* increased from 5.0 3.8% in 2015-2020 5.1
Slide 41: Strong balance sheet and net financial asset position
WHILE DELIVERING ON SHAREHOLDER RETURNS, THE BMW GROUP HAS MAINTAINED A STRONG BALANCE SHEET AND NET FINANCIAL ASSET POSITION. Net Financial Assets Automotive development 2017-2025 [in € bn]. NFA Automotive reflects retained earnings 46,2 45,5 45,8 44,4 generated in the core business & remained 39,5
Slide 42: Committed to retaining a single A investment grade credit rating
OUR FUTURE FINANCIAL STRATEGY REMAINS COMMITTED TO RETAINING A “SINGLE A” INVESTMENT GRADE CREDIT RATING. BMW is among best rated OEMs. Our foundation for capital market access & attractive refinancing. Fundamentals for our “Single A” rating: return to strong industrial profitability & cash genera
Slide 43: Capital allocation framework delivering TSR
OPERATING WITHIN THE EXISTING CAPITAL ALLOCATION FRAMEWORK, WE WILL DELIVER TSR BASED ON IMPROVED EARNINGS AND SOLID CASH GENERATION. Under review Capital Allocation Framework Strategic dividend corridor of 30-40% reaffirmed1. Three Share Buyback programs since 2022. Moving towards upper end. Contin
Slide 44: We DELIVER as a TEAM
We DELIVER as a TEAM, in transforming the business to achieve our profitability & cash goals, while maintaining balance sheet strength & honoring returns to investors. BMW Group Capital Market Day 2026 | 29 & 30 September | Strategic & Financial Update - 44 -