Skip to content
Trending
June 30, 2025H&M shares jump as it flags summer shopping pick-up, says considering tariff price hikes June 30, 2025Bank investors bet on looser regulation under Trump. They are starting to see it July 2, 2025Modelo owner Constellation Brands misses on earnings as aluminum tariffs hit profitability June 30, 2025Bulgaria is set to join the euro zone. But its citizens aren’t convinced July 3, 2025Trump’s deportations are hurting Constellation Brands’ beer sales July 2, 2025Inflation fears receded in May as Trump eased some tariff threats, New York Fed survey shows June 30, 2025โ€‹Here’s how the luxury real estate market is splitting up July 3, 2025UK’s popular sausage roll seller plunges 15% as heatwave hurts sales July 2, 2025Drone maker AeroVironment shares pop 21% on earnings beat
EverydayRead
  • HOME
  • Business
  • Earnings
  • Economy
  • Finance
  • Lifestyle
EverydayRead
EverydayRead
  • HOME
  • Business
  • Earnings
  • Economy
  • Finance
  • Lifestyle
EverydayRead
  Earnings  GM expects 2025 earnings to be similar to this year’s despite industry headwinds
Earnings

GM expects 2025 earnings to be similar to this year’s despite industry headwinds

AdminAdmin—October 10, 20240

New GMC trucks are displayed on the sales lot at Hanlees Hilltop GMC in Richmond, California, July 2, 2024.

Justin Sullivan | Getty Images

DETROIT โ€” General Motors expects its 2025 adjusted earnings to be in a “similar range” to the company’s results this year, CFO Paul Jacobson said Tuesday during the company’s investor day.

The Detroit automaker’s targeted adjusted earnings before interest and taxes for 2024 were between $13 billion and $15 billion, or $9.50 and $10.50 per share, up from previous guidance of $12.5 billion to $14.5 billion, or $9 to $10 per share, earlier this year.

Achieving its 2024 targets as well as similar earnings next year would be quite an accomplishment. Auto industry sales and consumer spending have been slowing and many on Wall Street expect that 2025 will be a significantly more challenging year for automakers.

Jacobson declined to provide specific financial targets until the company formally releases its 2025 financial guidance early next year.

More stories

Oracle shares climb 8% as earnings, revenue top estimates

June 12, 2025

Oracle shares jump on earnings and revenue beat

September 10, 2024

Carnival shares pop on earnings beat and raised full-year outlook

June 25, 2025

Drone maker AeroVironment shares pop 21% on earnings beat

July 2, 2025

He said the earnings, which many expect to be down for most automakers, will be assisted by $2 billion to $4 billion in better earnings for electric vehicles, as well as growing sales and profits of traditional gas-powered vehicles.

Jacobson said based on current assumptions, GM will have eight vehicles in the market that, on average, will be approximately nine points higher in EBIT margin than previous comparable models.

“We expect to see the benefits grow in the coming years as the organization continues to embrace more efficient ways to engineer, produce and sell our vehicles,” Jacobson said.

He said GM’s capital spend also is expected to be consistent in 2025 with this year. GM’s 2024 financial guidance includes anticipated capital spending of between $10.5 billion and $11.5 billion.

The EV tailwinds are split between savings from increases in volume and lower costs, including for raw materials and battery production.

GM has improved its EV variable profit by more than 30 points year over year through the third quarter, Jacobson said.

GM CEO Mary Barra said Tuesday the automaker is on pace to produce and wholesale about 200,000 EVs for North America in 2024, achieving profitability on a production, or contribution-margin basis, by the end of this year. That guidance is down from a prior target of 200,00 to 250,000 EVs, which had been lowered from as high as 300,000 units.

Also assisting GM’s earnings in 2025 are expected reductions to fixed costs, which have come down by $2 billion over the past two years net of depreciation and amortization, as well as relatively stable demand and incentive spend by the automaker.

Other than the financial targets for 2025, the automaker provided few significant updates at its investor day.

Shares of GM closed Tuesday essentially unchanged at $46.01. The stock remains up about 28% this year, but it has been under pressure of late due to several downgrades and price target adjustments by Wall Street analysts.

Correction: GM has improved its EV variable profit by more than 30 points year over year through the third quarter. A previous version misstated that figure.

CVS, UnitedHealth, Cigna say FTC should take Lina Khan and two commissioners off drug middlemen case
Hurricane Milton could cause as much as $175 billion in damage, according to early estimates
Related posts
  • Related posts
  • More from author
Earnings

UK’s popular sausage roll seller plunges 15% as heatwave hurts sales

July 3, 20250
Earnings

Drone maker AeroVironment shares pop 21% on earnings beat

July 2, 20250
Earnings

H&M shares jump as it flags summer shopping pick-up, says considering tariff price hikes

June 30, 20250
Load more
Read also
Earnings

UK’s popular sausage roll seller plunges 15% as heatwave hurts sales

July 3, 20250
Business

Trump’s deportations are hurting Constellation Brands’ beer sales

July 3, 20250
Economy

Inflation fears receded in May as Trump eased some tariff threats, New York Fed survey shows

July 2, 20250
Earnings

Drone maker AeroVironment shares pop 21% on earnings beat

July 2, 20250
Business

Modelo owner Constellation Brands misses on earnings as aluminum tariffs hit profitability

July 2, 20250
Finance

Bank investors bet on looser regulation under Trump. They are starting to see it

June 30, 20250
Load more
ยฉ 2023, All Rights Reserved.
  • About Us
  • Advertise With Us
  • Contact Us
  • Disclaimer
  • Cookie Law
  • Privacy Policy
  • Terms & Conditions