General Motors NYSE:GM is scheduled to report second-quarter results before U.S. markets open on Tuesday, with investors expected to focus on whether demand for its high-margin trucks and SUVs can continue supporting earnings as tariff-related costs increase.
General Motors previously reported adjusted earnings of $3.2 per share on revenue of $47 billion, topping Wall Street expectations. Following those results, the automaker raised its full-year adjusted EBIT outlook to $13.5 billion to $15.5 billion and adjusted EPS guidance to $11.50 to $13.50. The company also reduced its estimated gross tariff exposure to $2.5 billion to $3.5 billion, while factoring in about $500 million in expected Section 232 tariff refunds.
Attention has since shifted to trade policy after General Motors warned in late June that new tariffs could lift its annual tariff exposure to $4 billion to $5 billion. Investors are also expected to seek updates on North American manufacturing, electric vehicle profitability, capital allocation and the outlook for the USMCA trade framework.
Wall Street expects General Motors to report second-quarter adjusted EPS of $3.18 on revenue of $47.09 billion. The automaker has exceeded EPS estimates in each of the past eight quarters and topped revenue expectations in seven of those reports.