General Motors has raised its full-year profit forecast by $500 million to a range of $14 billion to $16 billion after reporting stronger-than-expected second-quarter results. The automaker posted adjusted earnings of $3.57 per share for the quarter, beating analyst estimates of $3.20, and lifted its full-year adjusted EPS guidance to $12–$14, up from $11.50–$13.50.
Revenue rose 2% to $48 billion in the quarter, while operating profit climbed to $3.9 billion from $3 billion a year earlier. North America margins improved to 8.6%, supported by incentives running at just 4.7% of sticker price. However, net income fell 31% to $1.3 billion due to $2.3 billion in restructuring costs tied to its electric vehicle business.
GM said its first-half earnings were the highest in company history. The company continues to face a tariff headwind of $2.5 billion to $3.5 billion for the year. Shares rose 5.2% to $79.82 following the results.