Driving the news: General Motors $GM ( ▲ 8.67% ) beat Wall Street's second-quarter earnings expectations but still took a $1.1 billion hit from Trump's auto tariffs.
For context: GM reported adjusted earnings of $2.53 per share versus $2.44 expected, with revenue of $47.12 billion topping estimates of $46.28 billion.
The automaker affirmed its full-year guidance that includes a potential $4-5 billion tariff impact, with CFO Paul Jacobson telling CNBC the second-quarter hit was "in line with expectations."
Why it matters: The results show GM can still deliver decent numbers while absorbing massive tariff costs, but CEO Mary Barra warned the company is working to "greatly reduce our tariff exposure" through manufacturing shifts. The second half of the year will be tougher with two full quarters under President Trump's levies.
What we're watching: Whether GM can execute its $4 billion plan to move Mexican production to U.S. plants while hitting its goal of cutting tariff costs by 30%.
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