Overview

• Operating profit for the 19 largest automakers fell 49.2% to €42.8 billion in H1 2025, with a steeper 55% drop in Q2 and essentially flat aggregate revenue.
• EY cites weaker-than-expected EV sales, brutal price competition, high transition and restructuring costs, recalls, supply-chain disruptions, tariffs and geopolitical strains as key pressures on earnings.
• Several major Western groups slipped into losses in the first half, including Renault, Nissan, Stellantis and Mazda, as German makers’ profits fell about 38% and U.S. manufacturers declined roughly 43%.
• Chinese manufacturers outperformed as BYD, Geely and Great Wall Motor posted a combined profit increase of about 1% and roughly 20% revenue growth, albeit from smaller overall volumes.
• Profitability eroded broadly, with seven companies under a 3% operating margin in Q2 and four negative; the most profitable in H1 were Suzuki (10.4%), Kia (10.1%) and Toyota (9.3%), with BMW at 8.6%.