GM beats Wall Street estimates, forecasts another year of strong earnings in 2025
DETROIT — General Motors beat Wall Street's top- and bottom-line expectations for the fourth quarter, while forecasting continued strong results for 2025.
The Detroit automaker believes it can have another solid year despite industry sales slowing, a restructuring of its operations in China, and increased geopolitical and regulatory uncertainty in the U.S. as President Donald Trump begins his second term.
GM's 2025 guidance includes net income attributable to stockholders of $11.2 billion to $12.5 billion, or $11 to $12 in earnings per share; adjusted earnings before interest and taxes (EBIT) of $13.7 billion to $15.7 billion, or $11 to $12 adjusted EPS; and adjusted automotive free cash flow between $11 billion and $13 billion.
GM's 2025 financial guidance met or exceeded many forecasts from Wall Street analysts. Most notably, analysts were expecting adjusted earnings of around $14 billion.
That compares with the automaker's 2024 results of adjusted EBIT of $14.9 billion, or $10.60 adjusted EPS, and net income attributable to stockholders of $6 billion, or $6.37 EPS. The adjusted figures and the $14 billion in adjusted auto free cash flow were records for the automaker, GM said.
GM CFO Paul Jacobson said the company's 2025 guidance does not take into account any potential regulatory changes such as tariffs on vehicle imports or tax reform.
Here's how the company performed in the fourth quarter, compared with average estimates compiled by LSEG:
Jacobson said the company's 2024 performance was "outstanding," citing growth in its EV and traditional internal combustion engine businesses.
GM's 2024 net income was hampered by a roughly $3 billion loss during the fourth quarter. Net income during the last three months of the year