Financial Highlights – First Half and Second Quarter 2025
-
GM reported a record $91 billion in total revenue for the first half of 2025, driven largely by strong sales in North America, which contributed nearly $77 billion, marking a first-half record.
-
For Q2 2025 alone, revenue reached $47.1 billion, surpassing expectations and representing a slight year-over-year growth.
-
Adjusted earnings before interest and taxes (EBIT) for Q2 2025 were $3.0 billion, down 32% year-over-year primarily due to a $1.1 billion tariff impact.
-
Net income attributable to stockholders was $1.9 billion in Q2 2025, declining from the prior year largely because of increased costs.
-
Earnings per share (EPS) adjusted for the quarter was $2.53, beating forecast expectations by 7.7%.
Profitability and Tariff Impact
-
Tariffs imposed on imported components cost GM approximately $1.1 billion in Q2 2025, affecting margins despite mitigation efforts.
-
The company expects to offset about 30% of the $4-5 billion full-year tariff impact through manufacturing adjustments, cost initiatives, and pricing.
-
EBIT margins for North America were 6.1% in Q2 2025.
-
Adjusted automotive free cash flow for Q2 was $2.8 billion, down by about $2.5 billion year-over-year due to tariffs, working capital changes, and inventory adjustments.
Sales and Market Share
-
GM’s U.S. market share rose to 17.3% in the first half of 2025, increasing 1.2 points year-over-year, outperforming competitors.
-
Strong SUV sales contributed heavily, with Chevrolet Equinox total sales up over 20% year-over-year.
-
The company reduced U.S. dealer inventories by nearly 10% year-over-year to 526,000 vehicles, improving supply-demand balance.
-
Chevrolet remains a key brand within GM’s portfolio, holding a strong position in trucks, SUVs, and increasingly in electric vehicles.
Electric Vehicle Development
-
Chevrolet is now the #2 EV brand in the U.S., boosted by launches such as Equinox EV, Blazer EV, and Silverado EV.
-
New EV models have shown rapid adoption rates, although some legacy EVs like the Bolt have been discontinued, leading to fluctuating short-term EV sales.
-
GM continues to focus strategic investment on its Ultium EV architecture and expanding its electric vehicle lineup.
Financial Position and Capital Allocation
-
GM’s strong liquidity, with cash and equivalents supporting operations and investments, enables continued capital expenditures in EVs and technology.
-
The company has actively engaged in share repurchases, retiring 43 million shares to date under accelerated share repurchase programs, enhancing shareholder returns.
-
GM Financial, GM’s financing arm, posted net income of $510 million in Q2 2025, a slight decline from the previous year but maintained steady retail loan originations at $9.5 billion.
Operational Outlook
-
Despite headwinds, GM maintained full-year 2025 guidance, expecting adjusted EBIT between $10 billion and $12.5 billion and EPS in the range of $8.25 to $10.
-
Efforts to mitigate tariff impacts, control costs, and optimize production footprints are underway.
-
Market dynamics such as improving semiconductor supply and tariff stabilizations support cautious optimism.
Sales by Major Brand and Models (U.S. Market, 2025 Highlights)
-
Chevrolet remains dominant with strong volumes from Silverado full-size pickup (second bestselling truck nationally), Equinox compact SUV, and large SUVs like Tahoe and Traverse.
-
The Bolt EV series is being phased out, replaced by newer Ultium-based EV models showing strong initial sales growth.
-
GM’s market share gains were driven by product strength rather than aggressive pricing.
Summary Table of Key Financial Metrics for GM Q2 2025
| Metric | Value | Change vs. Prior Year |
|---|---|---|
| Total Q2 Revenue | $47.1 billion | Slight increase |
| First Half 2025 Revenue | $91 billion | Record high |
| Adjusted EBIT (Q2) | $3.0 billion | Down 32% |
| Net Income Attributable (Q2) | $1.9 billion | Declined due to tariffs |
| Adjusted EPS (Q2) | $2.53 | +7.7% vs forecast |
| U.S. Market Share (H1) | 17.3% | +1.2 percentage points |
| Automotive Free Cash Flow | $2.8 billion | Down $2.5 billion |
| Tariff Impact Q2 | $1.1 billion cost | Significant headwind |
| Dealer Inventory in U.S. | 526,000 units | Down ~10% year-over-year |
| GM Financial Net Income (Q2) | $510 million | Slight decline YoY |
Conclusion
General Motors demonstrated operational strength in 2025 amid tariff pressures and an evolving automotive landscape. Strong North American sales, especially in SUVs and emerging electric vehicles, helped drive record revenues. Profitability was constrained by tariffs and supply chain costs, but strategic initiatives and capital discipline underpin a stable outlook for the remainder of the year. GM remains one of the largest and most resilient automakers globally, continuing to aggressively transition toward electric mobility while managing near-term headwinds with targeted mitigation strategies.
