The automaker lowered its full-year profit expectations as it plans to pause some truck production General Motors’ production plans could mean fewer cars in the near term — as well as less profit overall. The company’s latest outlook is weighing on shares Tuesday. Down 5.3%, General Motors’ stock is on pace for its worst single-day decline since July 22, 2025, according to Dow Jones Market Data.
GM expects a fourth-quarter downshift as it changes production lines to make newer models. Paul Jacobson, GM’s chief financial officer, said on a call with investors on Tuesday that the company expects 35,000 fewer full-size pickups to be sold in the quarter compared with the same time in 2025. Last quarter, the company shut down its Silao Assembly plant in Mexico for four weeks in preparation for making 2027 Chevrolet Silverado 1500 and GMC Sierra 1500 trucks there.
Production at GM’s facility in Fort Wayne, Ind., will stop in mid-December and restart in January, Jacobson told investors. Don’t Short Yourself offers weekly money tips to help you earn it, stack it and grow it. I would like to receive updates and special offers from Dow Jones and affiliates.
I can unsubscribe at any time. The company also said Tuesday that it expects some weakness in its international business, excluding China. GM lowered its guidance for full-year 2026 adjusted earnings before interest and taxes, a measure of profit.
It now expects Ebit of between $14.5 billion and $15.5 billion, compared with a prior target of as much as $16 billion. On the positive side, GM raised its forecast for automotive free cash flow, or the money it has left over from its vehicle business after expenses. The carmaker posted third-quarter adjusted Ebit of $4.1 billion, up 22% from a year earlier.
GM reported earnings per share of $3.70, up 32% from the same period in 2025. The Detroit-based company said it made $45.7 billion from selling cars, a slight year-over-year increase, despite selling fewer vehicles. GM has benefited from its lineup of trucks and its resistance to boosting discounts, according to analysts.
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