DETROIT – General Motors Co. on Tuesday reported a fourth quarter net loss of $3.3 billion, resulting from $7.2 billion in charges that the automaker said was largely attributed to the realignment of its electric vehicle business.
GM previously had announced the charges, and the automaker’s earnings beat Wall Street expectations. GM said earlier that it would reduce production of EVs in favor of internal combustion vehicles, since federal incentive programs such as a $7,500 EV tax credit program toward EV purchases expired at the end of September.
“We continue to believe in EVs, and our portfolio brought almost 100,000 new customers to GM in 2025,” GM Chairwoman Mary Barra said in a letter to shareholders. “We know these drivers do not often go back to gas, so we will continue executing our plan to reduce EV-related costs and remain confident in our path to EV profitability.”
GM’s revenue fell to $45.282 billion during the fourth quarter from $47.702 billion during the same period in 2024, GM said. For all of 2025, GM reported revenue of $185.019 billion, compared with $187.442 billion in 2024. Net income for 2025 stood at $2.7 billion, compared with $6 billion in 2024.
GM also boosted its net income guidance for 2026 compared with its 2025 forecast. This year, the automaker expects net income attributed to shareholders to land between $10.3 billion and $11.7 billion and adjusted earnings before interest and taxes between $13 billion and $15 billion.
The automaker also announced that its board of directors has authorized a $6 billion share repurchase program. GM also announced a 20% increase in its quarterly dividend.
“For several years now, consistently strong cash generation has allowed us to execute all phases of our capital allocation program, from investing in the business and our people, to maintaining a strong balance sheet, and returning capital to shareholders,” Barra said in her letter. “We believe this is sustainable, so we are increasing our dividend rate by 20% and our Board authorized a new $6 billion share repurchase program.”
Barra added that the company now operates in a U.S. regulatory and policy environment that is increasingly aligned with customer demand.
“As a result, we continue to onshore more production to meet strong customer demand for our vehicles,” she said. “Over the next few years, our annual production in the U.S. is expected to rise to an industry-leading 2 million units.”
The automaker also said its exposure to tariffs fell below its anticipated impact. GM said the full-year impact from tariffs stood at approximately $3.1 billion, lower than the expected $3.5 billion to $4.5 billion. GM estimates that tariffs could cost the company an additional $3 billion to $4 billion in 2026.