General Motors and Ford have slogged through a tough first half of 2026, but both are optimistic about the second half of the year, raising their earnings expectations for the year and the reason for their glasses being half full can be summed up in one word: trucks.
Detroit’s automakers are the leaders in highly profitable full-size pickup sales arena and both are expecting to see truck sales to jump in the final six months of year. They’re expecting those sales to be “resilient” enough, according to GM CFO Paul Jacobson that each company revised their full year earnings numbers upward — each for the second time this year.
GM raised its full-year 2026 EBIT-adjusted guidance to range between $14 billion and $16 billion, up $500 million at both ends. Additionally, the company expects net income attributable to stockholders to be $8.4 billion to $9.8 billion; Adjusted automotive operating cash flow to rise $500 million, with a range of $9.5 billion to $11.5 billion; and EPS-diluted-adjusted to be $12 to $14, an increase of 50 cents.
Ford raised its full-year forecast from $8.5 billion to $10.5 billion to $10 billion to $11 billion in earnings before interest and taxes and adjusted free cash flow to $6 billion to $7 billion from $5 billion to $6 billion.
“Our team is improving the way we operate — sharpening our industrial system, fundamentally reducing costs, and partnering in global markets for speed and efficiency,” said Ford CFO Sherry House in a release. “We are not just executing to plan; we are building a company able to perform through a wide range of uncertainties, and that gives us confidence in the earnings power we’re creating.”
The folks at the Blue Oval are happy because their aluminum supplier, Novelis, restarted production at the New Yor plant that supplies Ford in June after its second fire at the plant. Ford’s sales have been crimped by a lack of supply, not a lack of demand — and now that’s going to change.
Meanwhile, GM Chair and CEO Mary Barra noted in her quarterly letter to shareholders the company “continues to perform very well. Customer demand in North America remains strong driven by our very attractive lineup of pickups and SUVs.”
GM’s revenue during the first half of the year was basically flat while it reported a 16 percent loss compared to year-ago numbers, while Ford saw a small increase in H1 revenue of 1 percent and net income was just into the black, despite $1.3 billion loss in Q2.
[Images: Ford, General Motors]
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via Autobuzz Today
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