BMW's M Division shifted 207,600 performance cars in 2024, marking the eighth consecutive year of growth and cementing its position as the most commercially successful premium performance brand globally. The figures, released by BMW in January 2026, represent a 7.2 percent increase over 2023's total of 193,600 units.
The relentless upward trajectory reflects fundamental changes in what M Division sells and who buys it. Twenty years ago, M cars meant hardcore variants of standard BMWs, built in limited numbers for enthusiasts who wanted track capability with everyday usability. Today's range spans from the £40,000 M135i hot hatch to the £160,000 XM Label Red hybrid SUV, covering segments unimaginable when the E39 M5 ruled the roads.
Frank van Meel, CEO of BMW M, attributed the growth to product diversification and expanding markets. "Our strategy of offering M Performance models alongside pure M cars has opened the brand to customers who want enhanced dynamics without compromising daily usability," he said in a statement accompanying the figures. "Markets like China, where we've seen 45 percent growth, show enormous appetite for premium performance."
That Chinese expansion proves pivotal. According to BMW's regional breakdown, China accounted for 52,000 M car sales in 2024, up from 36,000 the previous year. North America contributed 62,000 units, while Europe delivered 71,000. The remaining 22,600 came from other markets including the Middle East, where oil wealth continues funding M car purchases despite global economic uncertainty.
The product mix reveals where growth concentrates. Full-fat M cars like the M3, M4, and M5 totalled roughly 35,000 sales, BMW confirmed. The remainder comprises M Performance models: M135i, M235i, M340i, M440i, X3 M40i, X5 M50i, and so forth. These warmed-up variants deliver enhanced power, sportier suspension, and aggressive styling without the expense or intensity of true M cars.
Critics argue this dilutes the M badge, turning a specialist performance brand into a trim level. Enthusiast forums rage about whether a turbocharged four-cylinder M135i deserves the same letter as the S58-powered M3 Competition. BMW counters that broader appeal funds development of flagship models, pointing to the new M5's hybrid powertrain and advanced technology as evidence of investment trickling up from volume sales.
The XM, M Division's first standalone model since the M1 supercar of the 1970s, contributed approximately 8,000 sales in its second full year. The plug-in hybrid SUV attracted polarised reactions, with its bold styling and 2.7-tonne kerb weight challenging traditional M car values of lightness and agility. Yet buyers emerged, particularly in America and China, willing to spend six figures on an M car that prioritises presence over precision.
Electric performance looms on the horizon. BMW confirmed the next-generation M3 and M4 will offer fully electric variants alongside combustion engines when they arrive around 2028. The brand's recent Neue Klasse concept promises dedicated EV architecture supporting M applications, suggesting the division's growth trajectory won't stall when petrol engines become politically untenable.
Rivals chase BMW's volume but lag considerably. Mercedes-AMG doesn't publish separate sales figures, burying performance car data within broader model breakdowns, though industry analysts estimate annual sales around 150,000 units. Audi Sport trails further behind, with roughly 90,000 RS and S models delivered globally in 2024 according to parent company Volkswagen Group's annual report.
Porsche presents a different comparison. Its 320,000 total sales dwarf M Division, but Porsche positions itself as an entirely performance-focused brand rather than a division within a mainstream manufacturer. Nevertheless, the comparison illustrates how performance car sales defy predictions of their demise amidst electrification and environmental scrutiny.
The financial impact matters enormously to BMW. M cars command premium pricing and deliver disproportionately high profit margins. An M3 Competition generates far more profit than a 320i despite sharing platform costs. M Performance models, requiring less bespoke engineering than full M cars, offer particularly attractive margins while pulling buyers toward BMW showrooms where they might otherwise consider Audi or Mercedes.
UK sales contributed approximately 9,400 units to the global total, according to data from the Society of Motor Manufacturers and Traders. The M3 Touring, an estate variant unavailable in America, proved particularly popular in Britain and Europe, with BMW allocating additional production capacity after demand exceeded forecasts.
Weather warnings accompany the celebration. Global economic uncertainty, potential tariff changes affecting international trade, and tightening emissions regulations all threaten future growth. The shift toward electrification requires massive investment in new powertrains while maintaining combustion engine development for markets where EVs remain impractical or unpopular.
Van Meel acknowledged challenges ahead while expressing confidence in M Division's adaptability. "Our customers want performance, engagement, and emotion. The powertrain matters less than the experience," he stated. "Whether that comes from a V8, an inline-six, or electric motors, our engineering mission remains unchanged."
Whether 2026 brings a ninth consecutive record depends on factors beyond product excellence. Economic conditions, regulatory environments, and shifting consumer preferences will shape outcomes. But M Division enters its sixth decade having transformed from a skunkworks operation building modified 3 Series into a global performance powerhouse generating hundreds of thousands of sales annually. The purists may grumble about badge dilution, but the accountants in Munich are smiling.