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General Motors is trading nicely higher after reporting impressive upside fiscal Q4 results. The company delivered a solid EPS beat, while revenue declined yr/yr as expected. Importantly, investors focused on GM's encouraging FY26 outlook, a dividend hike, and a new share repurchase authorization. Revenue declined 5.1% yr/yr to $48.59 bln, a slightly larger drop than expected.

• The company also raised its quarterly dividend 20% to $0.18/sh from $0.15/sh, lifting confidence despite a modest 0.9% yield. GM also approved a new $6 bln share buyback authorization.
• FY26 adjusted EPS guidance of $11.00-13.00 was in-line but up from $10.60 in FY25. FY26 EBIT-adjusted guidance of $13-15 bln increased from $12.7 bln in FY25.
• GM led the industry in full-size pickups and SUVs and posted its best-ever year in crossovers, driven by redesigned models such as the Chevrolet Equinox and Traverse. Smaller crossovers like the Chevrolet Trax and Buick Envista continued to gain traction due to strong value, styling, technology, and safety features at attractive price points.
• GM expressed confidence in the turnaround of its China business, with new energy vehicles now accounting for ~50% of sales and profitability across all price tiers.
• Of particular note, Q4 tariff costs totaled $700 mln, below expectations, bringing FY25 tariff costs to $3.1 bln, below prior guidance of $3.5-4.5 bln. FY26 gross tariff cost guidance of $3-4 bln was viewed as manageable, aided by a reduced Korea tariff and expanded MSRP offset programs. GM expects Q1 tariff impacts of $750 mln to $1 bln.

Briefing.com Analyst Insight:

General Motors delivered a reassuring quarter highlighted by upside EPS, a dividend increase, and a meaningful expansion of its share repurchase program. While revenue softness was expected, the strength of FY26 guidance helped reinforce confidence in GM's earnings power. Investors were also relieved to see tariff costs come in below expectations, with the FY26 outlook appearing manageable despite incremental exposure. GM's leadership in trucks and crossovers, improving China performance, and disciplined capital returns position the stock favorably. Overall, this was a confidence-boosting report that supports a more constructive near- to intermediate-term outlook for the shares.