- General Motors reported Q2 earnings of $3.57 per share, exceeding estimates and reflecting a 41.3% increase from the same period a year earlier.
- GM's Q2 revenue reached $48.03 billion, surpassing the consensus estimate of $46.56 billion by around 3.15%.
- For the second time this year, GM raised its full-year guidance, now expecting adjusted EBIT of $14.0 billion-$16.0 billion.
- GM stock climbed over 3% in midday trade following the positive earnings report.
- Morgan Stanley boosted its outlook on GM's North American operations, highlighting strong financial performance despite industry challenges.
General Motors reported a strong Q2, with adjusted earnings per share (EPS) of $3.57, surpassing estimates and reflecting a 41.3% increase year-over-year. The company raised its full-year guidance for adjusted EBIT to $14.0-$16.0 billion, up from a previous range of $13.5-$15.5 billion.1
Quarterly revenue reached $48.03 billion, exceeding the consensus estimate of $46.56 billion by approximately 3.15%. GM's adjusted EBIT rose to $3.94 billion, with an EBIT margin of 8.2%, up from 6.4% a year ago, driven by improved profitability and disciplined pricing.2
CEO Mary Barra noted, "Customer demand in North America remains strong, driven by our very attractive lineup of pickups and SUVs." The company sold approximately 715,000 vehicles in the US, maintaining its position as the top-selling automaker despite a 4.2% decline from the previous year. GM's North American profits surged 43% to $3.45 billion, with revenue from the region increasing 1.1% year-over-year to $39.91 billion.
Morgan Stanley's positive assessment of GM's performance highlights the automaker's resilience amid industry challenges, with the stock climbing over 3% following the earnings report, indicating renewed buyer confidence.
“GM held its position as the top-selling US automaker despite a 4.2% sales decline, with average transaction prices topping $52,400. The automaker also held the No. 2 EV market share at an estimated 13.5% to 14%, as it expects EV losses to improve by $1 billion to $1.5 billion this year.”
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