GM earnings increased in the third quarter of 2026, with revenue reaching $50.0 billion and adjusted earnings before interest and taxes rising 21.6% to $4.1 billion. On October 20, General Motors raised its full-year adjusted automotive free cash flow outlook, narrowed its adjusted profit forecasts and announced a new $20 billion multiyear share repurchase authorization.
Key Takeaways
- Third-quarter net income attributable to stockholders rose to $3.3 billion from $1.3 billion a year earlier.
- GM raised its annual cash-flow forecast, while adjusted EBIT and adjusted EPS guidance narrowed around unchanged midpoints.
- The board authorized another $20 billion of buybacks after GM completed its previous $6 billion program.
Table of Contents
- GM earnings grow faster than revenue
- Cash-flow guidance rises, while profit ranges narrow
- North America offsets weaker international earnings
- New buyback authorization follows completed program
- Conclusion
GM earnings grow faster than revenue
GM’s third-quarter results announcement showed revenue increasing 2.9% from $48.6 billion in the three months ended September 30, 2025. Adjusted EBIT grew considerably faster, lifting the adjusted EBIT margin to 8.2% from 6.9%.
Net income attributable to stockholders reached $3.335 billion, compared with $1.327 billion a year earlier. Diluted earnings per share increased to $3.73 from $1.35, while adjusted diluted EPS rose 32.2% to $3.70.
Cash generation also strengthened. Automotive operating cash flow increased 32.6% to $8.0 billion, and adjusted automotive free cash flow rose 40.0% to $5.9 billion. The adjusted earnings and free cash flow figures are non-GAAP measures and are distinct from reported net income and operating cash flow.
| Item | Details |
|---|---|
| 2026 adjusted EBIT guidance | $14.5–$15.5 billion, previously $14.0–$16.0 billion. |
| 2026 adjusted diluted EPS guidance | $12.75–$13.75, previously $12.00–$14.00. |
| 2026 adjusted automotive free cash flow guidance | $11.5–$12.5 billion, previously $9.5–$11.5 billion. |
Cash-flow guidance rises, while profit ranges narrow
The updated outlook makes an important distinction between higher cash expectations and narrower earnings expectations. GM increased both ends of its adjusted automotive free cash flow forecast, but raised the lower bounds and reduced the upper bounds of its adjusted EBIT and adjusted EPS ranges.
As a result, the midpoint remained $15.0 billion for adjusted EBIT and $13.25 for adjusted EPS. Those changes narrow the range of management’s expected outcomes rather than increase the central profit forecast.
GM also expects full-year net income attributable to stockholders of $8.9 billion to $9.5 billion and diluted EPS of $9.72 to $10.72. Its guidance excludes the potential impact of future adjustments related to special items.
North America offsets weaker international earnings
North American adjusted EBIT rose 43.4% to approximately $3.6 billion, with the regional adjusted margin increasing to 8.7% from 6.2%.
Performance elsewhere was weaker. GM International adjusted EBIT fell to $28 million from $226 million, while China equity income declined to $32 million from $80 million. GM Financial’s adjusted earnings before taxes decreased 16.9% to $668 million.
The figures show that the improvement in group adjusted earnings was not uniform across the business, with North America providing the largest regional contribution.
New buyback authorization follows completed program
GM completed the $6 billion share repurchase program announced in January 2026. Its board then approved a new $20 billion authorization with no expiration date. The authorization permits future purchases; it does not mean the shares have already been repurchased, and GM may suspend or discontinue the program.
Shares outstanding totaled 849 million on September 30, down from 904 million at the end of 2025.
The board also declared a quarterly cash dividend of $0.18 per common share, payable December 17, 2026, to shareholders of record at the close of trading on December 4.
Conclusion
GM’s quarter combined stronger profitability and cash generation with a larger buyback authorization. The next confirmed shareholder dates are December 4 for dividend eligibility and December 17 for payment; the new repurchase program has no fixed completion deadline.
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