General Motors announced a first-quarter net income of $2.62 billion, reflecting a nearly 6% decrease due to lower vehicle sales, excluding trucks and crossovers. The automaker’s performance was significantly boosted by software and services like OnStar and Super Cruise.
GM recorded a $500 million benefit from expected tariff refunds after a Supreme Court decision deemed certain tariffs unconstitutional. This comes as the company paid $900 million in tariffs in Q1 2026. The automaker also absorbed a $1 billion charge for settling supplier contracts related to its reduced electric vehicle production.
Last year, GM wrote off $7.6 billion in losses from scaling back its EV manufacturing footprint. An additional $3.1 billion hit was taken from automobile and parts tariffs throughout 2025. The recent Supreme Court ruling on February 20, overturning former President Trump's tariffs, provides some financial relief as businesses can now apply for refunds.
For the full year 2026, GM updated its guidance, now projecting net income between $9.9 billion and $11.4 billion, with adjusted net income expected between $13.5 billion and $15.5 billion. The company anticipates automotive business revenue of $16.8 billion to $20.8 billion.
CEO Mary Barra credited the results to a "strategic product portfolio and disciplined execution." She highlighted the strong sales of crossover vehicles and the growth of high-margin revenue from OnStar and Super Cruise, emphasizing GM's focus on automated driving technology and a robust balance sheet.