Deutsche Motors Posts KRW 10.4 Billion Operating Profit in Q1, Up 32% Year-on-Year
by Choi Youngchan
Published 27 Apr.2026 11:42(KST)
Revenue Reaches KRW 637.4 Billion, Up 10.2% Year-on-Year
Strong Performance Driven by BMW and BYD Sales
One-Off Expenses from Tax Audit Fully Reflected
Deutsche Motors, an integrated automotive service company, announced on April 27 that it achieved significant year-on-year growth in both revenue and operating profit according to its provisional earnings disclosure for the first quarter of 2026.
On a consolidated basis, Deutsche Motors’ revenue for the first quarter of this year reached KRW 637.4 billion, marking a 10.2% increase compared to the same period last year. During the same period, operating profit grew by 32% to KRW 10.4 billion, while net profit turned positive, reaching KRW 200 million.
The company’s growth was driven by stable sales of its main brand, BMW, as well as robust performance from BYD, an electric vehicle brand that represents a new growth engine. Notably, its subsidiary DT Networks emerged as a key contributor to improved consolidated results, having shed the burden of initial investment costs related to the expansion of the BYD business and achieving its first quarterly profit since establishment.
For this first quarter, the company recognized the entire additional tax payment as an expense, reflecting the results of a comprehensive tax audit covering the past five years (2020-2024). In particular, by processing this expense, Deutsche Motors has resolved tax risks related to previous fiscal years, thus eliminating financial uncertainty.
In line with the 'Value-Up Program' announced in March, Deutsche Motors plans to continue its shareholder return policy this year, aiming for a dividend level exceeding that of the previous year.
Hyukmin Kwon, CEO of Deutsche Motors, stated, "2026 will mark the first year in which the performance of BYD, a global leader in the electric vehicle market, will become fully visible, ushering in a company-wide transformation. We will do our utmost to enhance corporate value and maximize shareholder value based on a strong recovery in performance."
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