01—Abstract
Summary
Summary of the 10-Q filed July 21, 2026. Cited figures are marked; the original filing is the authoritative source.
General Motors Co. (GM) reported its financial results for the quarter and six months ended June 30, 2026.
The company demonstrated resilience with total net sales and revenue increasing to $48.0 billiona for the quarter and $91.7 billion for the first six months, up from $47.1 billion and $91.1 billion respectively in the prior year periods. Net income attributable to stockholders saw a notable decline, with $1.3 billion reported for the quarter and $3.9 billion for the six months, compared to $1.9 billion and $4.7 billion in the same periods of 2025. This decrease is largely influenced by significant charges related to GM's EV strategic realignment, including ongoing commercial negotiations, losses on contractual supply agreements, and compliance-related assets, amounting to $2.3 billion in the quarter and $3.4 billion year-to-date.
Despite these charges, GMNA's EBIT-adjusted saw a substantial increase of 42.7% for the quarter and 24.6% for the six months, indicating strong operational performance from its core automotive business. GM Financial also contributed positively, though its EBT-adjusted saw a decrease of 14.0% for the quarter and 6.9% for the six months. The company's liquidity remains robust, with total available liquidity of $33.6 billionb for Automotive and $32.3 billion for GM Financial as of June 30, 2026.
Management reiterated its full-year 2026 outlook, projecting net income attributable to stockholders between $8.4 billionc and $9.8 billion and adjusted diluted EPS between $12.00 and $14.00. The company continues to prioritize profitable ICE vehicles while managing its EV transition, with a focus on improving EV profitability and cost structures.
02—Key points
Key Highlights
- Total net sales and revenue increased to $48.0 billion for Q2 2026 and $91.7 billion for H1 2026.
- Net income attributable to stockholders decreased to $1.3 billion for Q2 2026 and $3.9 billion for H1 2026, impacted by significant EV strategic realignment charges.
- GMNA's EBIT-adjusted increased significantly by 42.7% for Q2 2026 and 24.6% for H1 2026, driven by strong operational performance and favorable pricing.
- Significant charges of $2.3 billion for Q2 2026 and $3.4 billion for H1 2026 were recorded due to EV strategic realignment, including commercial negotiations and supply agreement losses.
- GM Financial's EBT-adjusted declined by 14.0% for Q2 2026 and 6.9% for H1 2026, primarily due to increased operating and leased vehicle expenses.
- The company maintained a strong liquidity position with combined automotive and GM Financial available liquidity of $65.9 billion as of June 30, 2026.
- GM reiterated its full-year 2026 guidance, projecting net income attributable to stockholders between $8.4 billion and $9.8 billion and adjusted diluted EPS between $12.00 and $14.00.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ2 FY2026filed July 21, 2026Financial Statements
Q2 FY2026 against Q2 FY2025
| Line item | Q2 FY2026Q2 FY2025 | Change |
|---|---|---|
| Revenue | $48.03B$47.12B | +1.9% |
| Operating Expenses | $46.57B$44.99B | +3.5% |
| Operating Income | $1.46B$2.13B | −31.4% |
| Net Income | $1.30B$1.90B | −31.1% |
| EPS (Basic) | $1.44$1.94 | −25.8% |
| EPS (Diluted) | $1.41$1.91 | −26.2% |
| Shares Outstanding (Basic) | 896.00M963.00M | −7.0% |
| Shares Outstanding (Diluted) | 910.00M976.00M | −6.8% |
05—Questions
Frequently Asked Questions
What were the primary drivers behind the decrease in net income for the six months ended June 30, 2026?
The decrease in net income attributable to stockholders for the six months ended June 30, 2026, compared to the prior year, was primarily driven by significant charges related to General Motors' EV strategic realignment. These charges, amounting to $3.4 billion year-to-date, include ongoing commercial negotiations with suppliers and joint venture partners, losses on contractual supply agreements, and costs associated with compliance-related assets, partially offset by recoveries. These one-time charges significantly impacted the reported net income.
How did GMNA perform financially in the first half of 2026?
GM North America (GMNA) demonstrated strong operational performance in the first half of 2026. Despite a slight decrease in total net sales and revenue due to lower wholesale volumes and unfavorable mix, EBIT-adjusted saw a substantial increase of 24.6% year-over-year, reaching $7.1 billion. This improvement was driven by favorable pricing, cost efficiencies from lower warranty and inventory adjustment costs, and a favorable mix of higher-margin vehicles.
What is the financial health of GM Financial, and how is it impacting the overall company?
GM Financial's financial performance showed a decline in EBT-adjusted for the first six months of 2026, down 6.9% to $1.3 billion. This was due to increased operating expenses, particularly related to insurance and vehicle protection businesses, and higher leased vehicle expenses, largely from depreciation on EVs. However, the segment continues to provide essential financing for vehicle sales and maintain a strong liquidity position with $32.3 billion in available liquidity. Overall, GM Financial's stability is crucial for supporting GM's automotive sales and operations.
What is the company's outlook for the remainder of 2026, and what are the key financial targets?
General Motors has reaffirmed its full-year 2026 financial outlook. The company expects net income attributable to stockholders to be between $8.4 billion and $9.8 billion, and adjusted diluted earnings per share (EPS-diluted-adjusted) to be between $12.00 and $14.00. Management's priorities include achieving sustained EBIT-adjusted margins of 8.0-10.0% in GMNA and continuing to grow the business while maintaining a strong balance sheet and returning cash to stockholders.
06—Continue