GENERAL MOTORS CO (NYSE:GM) Reports Mixed Q2 2025 Earnings Amid Tariff Headwinds and Pre-Market Decline

GENERAL MOTORS CO (NYSE:GM) reported its second-quarter 2025 earnings, delivering mixed results as revenue slightly missed expectations while earnings per share (EPS) edged past analyst estimates. The market reaction has been negative in pre-market trading, with shares down nearly 3.8% at the time of writing.

Key Earnings Highlights

• Revenue: $47.1 billion, down nearly 2% year-over-year and below the consensus estimate of $47.46 billion.
• EPS (Adjusted): $2.53, beating the expected $2.48 but down from $3.06 in Q2 2024.
• Net Income: $1.9 billion attributable to stockholders.
• EBIT-Adjusted: $3.0 billion, a 32% decline from the prior year, impacted by $1.1 billion in tariff-related costs.

Market Reaction & Performance

The muted revenue and declining profitability appear to be weighing on investor sentiment. Despite the EPS beat, the broader financial picture—including tariff headwinds and a year-over-year earnings contraction—has led to pre-market declines. Over the past month, GM shares had gained about 10%, suggesting some optimism ahead of earnings, but the post-report reaction indicates disappointment.

Press Release Takeaways

• Unchanged Full-Year Guidance: GM maintained its financial outlook, signaling confidence in hitting annual targets despite tariff pressures.
• Tariff Impact: The company cited $1.1 billion in costs tied to trade policies, a recurring theme in recent quarters.
• Segment Performance: No major surprises were highlighted in GM’s core segments (GMNA, GMI, Cruise, GM Financial), though the earnings drop suggests ongoing challenges in profitability.

Looking Ahead

Analysts expect Q3 2025 revenue of $45.73 billion and full-year sales of $184.41 billion. GM’s ability to navigate tariff pressures while executing on its EV and autonomous vehicle investments will be critical in meeting these projections.

For more detailed earnings estimates and historical performance, see GM’s earnings and estimates page.

Disclaimer: This article is not investment advice. Investors should conduct their own research or consult a financial advisor before making decisions.