General Motors (NYSE: GM) is set to report its third-quarter 2025 earnings on October 21, with analysts forecasting a decline in both revenue and earnings per share. The company anticipates a $1.6 billion financial charge due to adjustments in its electric vehicle (EV) strategy. This charge includes $1.2 billion in non-cash impairment related to EV capacity adjustments and $400 million in contract cancellations and commercial settlements. The reevaluation is a response to the expiration of the federal $7,500 EV tax credit and relaxed emissions regulations, which have impacted EV demand and profitability. Reuters+1
Despite these challenges, GM reported a 110% year-over-year increase in U.S. EV sales, delivering 66,501 EVs in the third quarter. The Chevrolet Equinox EV emerged as the top-selling non-Tesla EV, with 25,085 units sold. However, the company faces intensified competition from Tesla, which holds over 50% of the U.S. EV market share. Barron’s
Looking ahead, GM is focusing on expanding its EV portfolio with models like the Chevrolet Equinox EV and the Cadillac Lyriq, aiming to balance innovation with profitability. The company’s ability to navigate the evolving EV landscape and manage production costs will be critical for sustaining growth and shareholder value.
Investors will be closely monitoring GM’s upcoming earnings report for insights into the company’s financial health and strategic direction in the face of shifting market dynamics.
By: Montana Newsroom staff
