General Motors Company

GM delivered strong 2Q/1H performance and raised full-year 2026 guidance (again): - 1H 2026: $92B revenue and $8.2B adjusted EBIT; adjusted diluted EPS $7.27, up >35% YoY (best first-half EPS diluted adjusted ever). - 2Q: $48B revenue (+~$0.9B YoY), adjusted EBIT $3.9B (+~$0.9B YoY), adjusted automotive FCF $5B (+$2.2B YoY). - Raised 2026 guidance: Adjusted EBIT $14B–$16B (from $13.5B–$15.5B), EPS $12–$14 (from $11.50–$13.50), adjusted automotive FCF $9.5B–$11.5B (from $9B–$11B). - Pricing discipline highlighted: incentives ~1.5–2 points below industry average, supporting margin expansion (total company margin +1.8 points YoY in 1H).

North America profitability is back in the target range; key tailwinds (pricing, warranty, regulatory, EV losses improving): - 2Q North America: adjusted EBIT $3.4B, up >40% YoY; margin 8.6%, up +2.5 pts YoY, returning to GM’s 8%–10% target range. - Improvement drivers: stronger pricing, lower EV losses (right-sizing), and warranty/emissions-related regulatory tailwinds. - Warranty benefit: ~$500M improvement in the first half; full-year benefit expected to be +$1B–$1.5B YoY, with most remaining benefit flowing through 3Q.

Cash generation + capital returns remain strong: large share repurchases supported by strong free cash flow: - 1H adjusted automotive FCF: $6.3B. - 2Q open-market buybacks: $2B, retiring ~25M shares; 1H repurchases $2.8B and 36M shares retired. - Ending Q2 diluted share count: 893M (about 8% below Q2 2025; 35% below Q2 2023). - $3.5B remaining under current repurchase authorization; Q2 automotive cash balance $19.7B. - Dividend policy: GM Financial paid $250M dividends to GM in the quarter; full-year dividend expectation similar to last year.