01—Abstract
Summary
Summary of the 10-Q filed May 1, 2025. Cited figures are marked; the original filing is the authoritative source.
General Motors Co. (GM) reported its first-quarter 2025 financial results, demonstrating solid revenue growth and a significant increase in earnings per share compared to the prior year period.
Total net sales and revenue rose to $44.02 billiona, up from $43.01 billion in Q1 2024, driven by increases in both the Automotive and GM Financial segments. Net income attributable to stockholders was $2.78 billion, a slight decrease from $2.98 billion in the prior year, but earnings per share saw a substantial jump to $3.40 on a basic basis, reflecting a lower share count. The company's strategic shift away from funding Cruise's robotaxi development and its focus on personal autonomous vehicles appear to be influencing operational adjustments.
While overall automotive costs increased, driven by manufacturing and warranty expenses, GM Financial demonstrated revenue growth. Investors will be monitoring the company's ability to navigate ongoing tariff impacts and its progress in improving EV profitability as outlined in management's outlook for the full year 2025.
02—Key points
Key Highlights
- Total net sales and revenue increased by 2.3% to $44.02 billion in Q1 2025, driven by growth in both the Automotive and GM Financial segments.
- Net income attributable to stockholders decreased slightly to $2.78 billion from $2.98 billion in Q1 2024, but adjusted for share count, earnings per common share (basic) surged to $3.40 from $2.57.
- GM Financial's revenue grew by 9.3% to $4.16 billion, supported by increased finance charge income and leased vehicle income.
- The company is actively managing its capital through share repurchases, with $2.0 billion completed via an Accelerated Share Repurchase (ASR) program in February 2025, and an increased repurchase authorization.
- GM is continuing to streamline operations, including the wind-down of Cruise's robotaxi segment and refocusing autonomous driving efforts on personal vehicles, which is reflected in reduced selling, general, and administrative expenses.
- Inventories increased to $15.25 billion from $14.56 billion at year-end 2024, with a significant portion related to electric vehicles.
- The company has reaffirmed its full-year 2025 guidance, projecting net income attributable to stockholders between $8.2 billion and $10.1 billion.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ1 FY2025filed May 1, 2025Financial Statements
Q1 FY2025 against Q1 FY2024
| Line item | Q1 FY2025Q1 FY2024 | Change |
|---|---|---|
| Revenue | $44.02B$43.01B | +2.3% |
| Operating Expenses | $40.67B$39.28B | +3.5% |
| Operating Income | $3.35B$3.74B | −10.3% |
| Net Income | $2.78B$2.95B | −5.7% |
| EPS (Basic) | $3.40$2.57 | +32.3% |
| EPS (Diluted) | $3.35$2.56 | +30.9% |
| Shares Outstanding (Basic) | 988.00M1.16B | −14.5% |
| Shares Outstanding (Diluted) | 1.00B1.16B | −13.8% |
05—Questions
Frequently Asked Questions
How did GM's revenue and profitability perform in the first quarter of 2025 compared to the prior year?
GM reported a 2.3% increase in total net sales and revenue to $44.02 billion in the first quarter of 2025. While net income attributable to stockholders saw a slight decrease to $2.78 billion from $2.98 billion in Q1 2024, earnings per common share (basic) improved significantly to $3.40 from $2.57, largely due to a reduction in outstanding shares.
What is the current status and financial impact of the Cruise operations?
General Motors has completed the acquisition of noncontrolling interests in Cruise and is in the process of winding down Cruise's robotaxi operations, refocusing its autonomous driving strategy on personal vehicles. This transition has resulted in ongoing wind-down costs reflected in segment expenses, but the company is also benefiting from reduced overall selling, general, and administrative expenses. The ongoing technical efforts are now integrated into the GMNA Automotive segment.
How is GM Financial contributing to the company's overall performance?
GM Financial continues to be a strong contributor, with revenue increasing by 9.3% to $4.16 billion in Q1 2025. This growth was primarily driven by higher finance charge income due to portfolio growth and increased retail yields, as well as higher leased vehicle income from an increased average leased vehicle portfolio balance. However, GM Financial's earnings before taxes (EBT-adjusted) decreased by 7.1% due to higher interest expenses and an increased provision for loan losses.
What are GM's key financial expectations for the full year 2025?
GM has reaffirmed its full-year 2025 financial outlook. The company expects net income attributable to stockholders to be between $8.2 billion and $10.1 billion, and EBIT-adjusted to be between $10.0 billion and $12.5 billion. Diluted earnings per share (EPS) are projected to be between $8.82 and $10.57, with adjusted diluted EPS expected between $8.25 and $10.00.
06—Continue