General Motors' Profits Surge Amid Gas-powered Truck Demand

General Motors reported a standout second-quarter profit and revenue, smashing Wall Street's expectations. The company's gas-powered trucks fueled strong results, with a heightened annual profit forecast. Amid progress with electric vehicles (EVs), GM faces challenges in China and lowered its EV output goals for the year.

General Motors reported a standout second-quarter profit and revenue on Tuesday that surpassed Wall Street's expectations, leading to a rise in its annual profit forecast for the second time this year. Strong pricing and demand for gas-powered trucks primarily drove these impressive results. GM executives believe they have now established the foundation needed to achieve ambitious ramp-up targets for electric vehicles (EVs).

"We're encouraged by the early results we're seeing in EVs now that we can build at scale," CFO Paul Jacobson said in a call with reporters. The company's shares saw a 4% increase in premarket trading.

GM raised its adjusted pre-tax profit projection for the year to $13 billion to $15 billion, up from the previous range of $12.5 billion to $14.5 billion. The company reported adjusted earnings per share of $3.06, well above Wall Street's average estimate of $2.75, as per LSEG data. The carmaker announced $48 billion in revenue for the three-month period, beating analysts' consensus of $45.5 billion for the June quarter.