General Motors (GM) earnings Q1 2026

DETROIT — General Motors raised its 2026 guidance after significantly beating Wall Street’s first-quarter earnings expectations following a roughly $500 million benefit from the U.S. Supreme Court decision to terminate and refund certain levies paid under President Donald Trump’s tariffs.

Shares of GM were up roughly 5% during premarket trading. The stock closed Monday at $77.96 a share, down less than 1% for the day but off 4.1% so far this year.

Here’s how the company performed in the first quarter, compared with average estimates compiled by LSEG:

• Earnings per share: $3.70 adjusted vs. $2.62 expected
• Revenue: $43.62 billion vs. $43.68 billion expected

GM’s International Emergency Economic Powers Act tariff benefit was largely expected by Wall Street analysts, but the exact amount it would receive was unknown. It is part of $160 billion in potential refunds expected to return to companies after the levies were ruled illegal in February by the Supreme Court in a 6-3 decision.  

The automaker has not received IEEPA refunds yet, but expects to and decided to book it during the first quarter. Trump last week told CNBC that he would gratefully “remember” U.S. companies that do not seek refunds for the tariffs.

Excluding the IEEPA tariffs, GM still expects gross tariff costs of $2.5 billion to $3.5 billion from other levied this year, down from the original estimate of $3 billion to $4 billion.

The Detroit automaker changed its 2026 guidance to include adjusted earnings before interest and taxes of between $13.5 billion and $15.5 billion, or $11.50 to $13.50 a share, up $500 million, or 50 cents per share, from its previous expectations; net income attributable to stockholders of $9.9 billion to $11.4 billion, up from $10.3 billion to $11.7 billion; and automotive operating cash flow between $16.8 billion and $20.8 billion, up from between $19 billion and $23 billion.

GM CFO Paul Jacobson on Tuesday told CNBC’s Phil LeBeau that the company did not raise its automotive free cash flow guidance of between $9 billion and $11 billion due to uncertainty about the tariff refund process and timing.

Without the tariff adjustment, the company’s first-quarter adjusted earnings would have still beat expectations and been up about 7.5% compared to a year ago. GM CEO Mary Barra in a letter to shareholders said the quarter surpassed the company’s expectations.

“We have solid momentum in our core operations,” Barra said in the letter. “As we move forward, I’m confident this will continue to differentiate GM and support long-term value creation for our owners.”

The company booked $1.1 billion in special charges related to its pullback in all-electric vehicles as it negotiates and pays suppliers. That adds to $7.6 billion in special charges related to EVs for its 2025 results.

The charges impact GM’s net income but not adjusted results. Automakers commonly exclude “special items” or one-time charges from their adjusted financial results to provide investors with a clearer picture of their core, ongoing business operations.

Regionally, the company’s North American operations continue to lead the company, up 11.4% in adjusted earnings compared with a year ago, to $3.66 billion. Its operations in China and other international markets also were profitable.

“The North America team, I think, did a tremendous job of managing the market with, really, challenges on inventory throughout the whole quarter,” Jacobson said Tuesday on CNBC’s “Squawk Box.” “I also think we got a little bit ahead of the game on costs. That’s really where I think the beat came from in the quarter.”

GM’s first-quarter revenue was in line with Wall Street’s expectations, but down about 1% from a year earlier.

GM’s 2025 first-quarter results included $44.02 billion in revenue, net income attributable to stockholders of $2.78 billion, and adjusted earnings before interest and taxes of $3.49 billion.

The company’s non-adjusted net income was $2.71 billion during the first quarter, down 5.19% compared to a year earlier.