Bayerische Motoren Werke AG Revenue & Financials

The most revealing number in BMW's financials isn't the $144.1 billion revenue line. It's the gap between that revenue and the $50 billion market cap. The market is saying: we believe you can sell cars, we're not sure you can keep making money doing it. That skepticism has evidence behind it. Revenue peaked at ~$168 billion in 2023 and has declined for two consecutive years. Net income of $7.7 billion in FY2025 sounds healthy until you realize the Automotive EBIT margin was 5.3% — nearly three full points below BMW's own floor target of 8%. Tariffs alone destroyed 1.5 points of margin. China pricing pressure took more. And the billions flowing into Neue Klasse, battery contracts, and software development haven't yet produced offsetting revenue. The decisive metric for BMW is the Automotive EBIT margin trajectory over the next eight quarters. Neue Klasse vehicles start reaching customers in volume through 2026–2027. If those cars can deliver margins closer to 8% — because their production costs are genuinely lower and their software generates recurring revenue — then the current $50 billion valuation looks cheap relative to a $144 billion revenue base. If margins stay compressed, the stock is fairly priced for a company spending its way through an expensive transition with no guarantee of the other side.