General Motors delivered its Q2 2025 results, surpassing analysts' expectations for earnings per share, yet saw a decline in its stock due to investor concerns over tariffs.
GM's Financial Results for Q2
General Motors reported adjusted earnings per share of $2.53, exceeding analyst expectations of $2.44, while revenue stood at $47.12 billion compared to forecasts of $46.28 billion.
Impact of Tariffs on Profitability
The company faced significant losses from tariffs amounting to $1.1 billion, impacting its margins. Adjusted earnings before interest and taxes fell 31.6% to $3.04 billion.
Market Reaction to GM's Report
Despite strong financial results, GM's shares dropped 6.99% following the market open, reflecting investor concerns about margin compression and trade policy uncertainty.
While GM demonstrated solid financial performance, the impact of tariffs and investor unease about forthcoming trade challenges significantly affected the company's stock.
