General Motors reported adjusted earnings per share of $2.51 for the fourth quarter, comfortably above consensus estimates, driven by robust demand for full-size SUVs and pickup trucks. While total revenue dipped 5.1% year-over-year to $45.3 billion, GM generated $5.6 billion in automotive operating cash flow and $2.8 billion in adjusted free cash flow during the period. The board approved a 20% increase in the quarterly dividend to $0.18 per share and a new $6 billion share repurchase authorization, underscoring management’s commitment to returning capital as automotive net cash provided by operations remains resilient despite softer pricing in some segments.

In response to slowing consumer uptake of electric vehicles and recent federal policy changes, GM took $7.2 billion in special charges related to its EV capacity and investment plans. These charges primarily reflect the realignment of manufacturing footprints and supply-chain investments, as well as the wind-down of certain battery cell ventures. Management believes that these one-time adjustments will improve margin visibility in 2026, where guidance calls for adjusted EBIT of $13 billion to $15 billion and diluted EPS in the $11.00–$13.00 range, as cost savings from onshoring and reduced incentive expenses begin to materialize.

GM’s in-vehicle technology business generated nearly $2 billion in software and subscription revenue over the past nine months, with future contracts signed totaling approximately $5 billion. The company now counts 11 million subscribers to its OnStar safety and connectivity suite—up 34% year-over-year—and half a million paid Super Cruise driver-assist users. With roughly 70 cents of every software dollar retained as gross margin, GM is accelerating feature rollouts over cellular and over-the-air updates, positioning its vehicles as recurring-revenue platforms to offset lower maintenance income from electric powertrains.