From The Motley Fool · Motley Fool Transcribing · · 2m
GM Q3 2026 Earnings Report
GM reports record Q3 revenue and updates full-year guidance with $20 billion share repurchase authorization.
In brief
GM reports record Q3 revenue and updates full-year guidance with $20 billion share repurchase authorization. GM reported $50 billion Q3 revenue, 2.9% YoY growth, and updated full-year EPS guidance to $12.75-$13.75 per share. Originally reported by The Motley Fool.
Q3 Revenue
GM reported record Q3 revenue of $50 billion, a 2.9% year-over-year increase driven by strong truck and SUV demand.
Non-GAAP EPS
Non-GAAP EPS rose to $3.70, a 32.2% year-over-year increase reflecting higher earnings and share repurchases.
EBIT-Adjusted Performance
EBIT-adjusted profit reached $4.1 billion, a 21.6% year-over-year increase from improved product mix and lower warranty expenses.
North America Margin
North America margin improved to 8.7%, a 2.5 percentage point year-over-year gain from core business performance and rightsizing EV capacity.
Adjusted Automotive Free Cash Flow
Adjusted automotive free cash flow reached $5.9 billion, up $1.7 billion year-over-year reflecting higher earnings and tariff timing.
Full-Year Guidance
Full-year EBIT-adjusted guidance narrowed to $14.5 billion-$15.5 billion, with free cash flow guidance updated to $11.5 billion-$12.5 billion.
Share Repurchase Authorization
GM announced a new $20 billion multiyear share repurchase authorization, representing more than 25% of market capitalization.
Digital Revenue Growth
Digital revenue exceeded $800 million in Q3, representing 15% year-over-year growth for OnStar and Super Cruise services.
Deferred Revenue
Deferred revenue approaching $7.5 billion by year-end, driven by 1 million new OnStar subscriptions and expanded Super Cruise adoption.
EV Loss Reduction
EV loss reduction expected to reach $1 billion-$1.5 billion for the full year through capacity alignment with demand.
Warranty Expense Improvement
Warranty expense improvement reached $1.1 billion year-to-date, with full-year benefit expected to reach high end of $1 billion-$1.5 billion range.
Commodity and Logistics Headwinds
Commodity and logistics headwinds expected to cost $2 billion for the full year, with $400 million impacting Q4 due to high steel and copper prices.
U.S. Vehicle Sales
U.S. vehicle sales totaled 671,000 units, including a 9% year-over-year increase in light-duty full-size pickup deliveries.
China Equity Income
China equity income reported $32 million, marking eighth consecutive quarter of profitability despite challenging industry environment.
GM Defense Growth
GM Defense expected annual top-line growth of more than 30% supported by new multiyear contract awards.
Tariff Costs
Tariff costs totaled $1.8 billion year-to-date, with full-year gross cost expected at low end of $2.5 billion-$3.5 billion range.
The essence
GM reported $50 billion Q3 revenue, 2.9% YoY growth, and updated full-year EPS guidance to $12.75-$13.75 per share.
