GM earnings expected to show higher profit despite flat revenue

General Motors is scheduled to report second-quarter results before U.S. markets open Tuesday, with Wall Street expecting higher adjusted profit on nearly flat revenue. Average estimates compiled by LSEG call for adjusted earnings of $3.20 a share and revenue of $47.01 billion.

If met, those figures would represent an increase of more than 26% in adjusted earnings per share from the year-earlier period, while revenue would be down 0.2%. The report will give investors a fresh reading on demand, margins and cost pressure at one of the largest U.S. automakers.

GM executives are due to discuss the results on a conference call at 8:30 a.m. ET. Investors are expected to focus on any update to the company’s 2026 outlook, as well as management’s comments on tariffs, vehicle pricing and commodity costs.

What analysts expect

• Adjusted earnings per share: $3.20, according to LSEG average estimates
• Revenue: $47.01 billion, according to LSEG average estimates
• Scheduled earnings call: 8:30 a.m. ET

The comparison base is GM’s second quarter of 2025, when the company reported revenue of $47.12 billion, net income attributable to shareholders of $1.9 billion and adjusted earnings before interest and taxes of $3.04 billion. Adjusted EBIT is a profitability measure that excludes interest, taxes and certain other items, and is commonly used by automakers to show operating performance before financing and tax effects.

Tariffs remain a central issue for the company’s earnings outlook. Duties can raise the cost of imported vehicles, parts or materials, while rebates or policy adjustments can offset part of that burden. In April, GM lifted its 2026 adjusted earnings guidance after reflecting a $500 million tariff rebate.

The company’s revised guidance called for adjusted earnings of $13.5 billion to $15.5 billion, or $11.50 to $13.50 a share. That was $500 million, or 50 cents a share, above its prior forecast, according to the company’s earlier update.

Pricing will also be under scrutiny. Automakers’ earnings are sensitive to the average price they receive per vehicle, the mix of higher-margin trucks and sport utility vehicles, and incentives used to support sales. Commodity costs matter as well, including dynamic random access memory chips, or DRAM, which are used in vehicle electronics.

Barclays analyst Dan Levy said in a July 8 investor note that he expected GM and Ford Motor, which reports next week, to exceed second-quarter earnings expectations and deliver at least a modest increase to guidance. Levy attributed that view to stronger U.S. industry demand in the first half of the year, steady pricing and conservative assumptions in both companies’ forecasts.

GM shares were quoted at a slight gain in after-hours trading, according to market data cited for the stock. The earnings release will test whether the company can sustain profit growth while revenue remains broadly unchanged and cost variables continue to affect the sector.

This story draws on original reporting from CNBC.