General Motors (NYSE: GM) raised its full-year pre-tax profit guidance on Tuesday, July 21, 2026, supported by strong pricing power and record sales of full-sized pickup trucks in North America. The upgraded outlook comes despite heavy restructuring charges tied to a strategic retreat from electric vehicles (EVs) and ongoing trade policy shifts.
Q2 2026 Financial Highlights
| Metric | Q2 2026 Performance | YoY Change / Details |
| Total Revenue | $48.0 Billion | +1.9% YoY (beat expectations) |
| Adjusted EBIT | $3.9 Billion | +29.8% YoY (8.2% margin) |
| Adjusted EPS | $3.57 | +41.3% YoY (vs. $3.18 expected) |
| Net Income | $1.3 Billion | -31.1% YoY (impacted by EV charges) |
| Free Cash Flow | $5.0 Billion | +78.0% YoY |
2026 Guidance & Strategic Shift
Key Drivers Behind the Numbers
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Trucks & SUVs Power Margins: North American operations achieved an 8.6% EBIT-adjusted margin, powered by strong pricing discipline and record demand for models like the GMC Sierra, Chevrolet Trailblazer, and Traverse.
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EV Restructuring Costs: GM recorded $2.3 billion in Q2 charges as it dials back production targets for all-electric vehicles following changes in US environmental policies. Total EV-related write-downs now stand at roughly $11 billion.
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Tariff & Supply Chain Management: Managing an estimated $2.5 billion to $3.5 billion hit from US tariffs, CEO Mary Barra noted that GM is actively onshoring more vehicle production to the United States to reduce trade exposure and protect future margins.
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Resilient Consumer Base: CFO Paul Jacobson noted that rising gasoline prices—driven by Middle East tensions—have not yet triggered a shift in customer buying preferences away from gas-powered trucks and SUVs.
“We expect these trends will continue to strengthen our performance into 2027 and beyond because we have multiple engines of margin expansion and growth while maintaining our capital discipline.”
— Mary Barra, Chair & CEO, General Motors
