GM boosts 2026 outlook on premium pricing for trucks, cost cuts

Skip to Content News Archives Economy Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions Saved Articles My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials This advertisement has not loaded yet, but your article continues below.HomeTransportationAutosGM boosts 2026 outlook on premium pricing for trucks, cost cutsThe Detroit automaker said it now expects its earnings before income and taxes of as much as US$16 billion this yearAuthor of the article: You can save this article by registering for free here. Or sign-in if you have an account.Cars exit the General Motors' CAMI auto assembly plant in Ingersoll, Ontario, on October 24, 2025, a few days after the company announced it will stop producing the BrightDrop electric delivery van that is only made at this facility. Photo by GEOFF ROBINS/AFP via Getty ImagesGeneral Motors Co. raised its full-year profit forecast by another US$500 million after beating second-quarter earnings estimates, powered by stronger margins on its largest vehicles and lower tariff costs.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountThe Detroit automaker said Tuesday it now expects its earnings before income and taxes of as much as US$16 billion this year. The upgraded projections came after GM said it made US$3.57 a share, exceeded Wall Street analysts’ consensus forecast of US$3.19, after buying back more shares.GM’s brighter outlook came despite a tough second quarter in which its U.S. sales fell, including the large pickup trucks and SUVs that make most of its earnings. But with pricing for those models holding up and cost-cutting in other areas, chief executive Mary Barra expects the company’s growth rate to stay on track and continue into next year.Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try again“We expect these trends will continue to strengthen our performance into 2027 and beyond because we have multiple engines of margin expansion and growth while maintaining our capital discipline,” Barra said in a said in her quarterly letter to shareholders.Adjusted earnings before interest and taxes this year will range from US$14 billion to US$16 billion, above a 2026 forecast of US$13.5 billion to US$15.5 billion it made in April and the US$13 billion to US$15 billion it saw in January.GM lowered its guidance for net income by at least US$1.5 billion to a range of US$9.9 billion to US$11.4 billion, due to electric vehicle-related charges.It also said it bought back US$2 billion in shares in the quarter ended June 30.Revenue in the three-month period came to US$48.03 billion, compared with analysts’ estimates for US$46.61 billion. That came after it posted a 4.2 per cent drop in sales last quarter on weaker demand for its best-selling trucks and Equinox crossover SUV. For the first six months, GM’s’ deliveries fell 6.8 per cent.The carmaker said it made about US$1.3 billion in net income in the second quarter, down from US$1.9 billion last year, partly due to a writedown on EV and battery production.The company’s China business equity income rose US$83 million, up from US$71 million a year ago but below US$165 million in the first quarter.This advertisement has not loaded yet.Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.